The mining industry is one of South Africa’s most vital contributors when it comes to economic growth, but at what environmental cost?
For years, the mining and minerals industry has been classified as one of the biggest users of electricity and natural resources, such as water.
It is also one of the biggest contributors to carbon emissions and negative environmental impacts, such as erosion, water pollution, and habitat modification.
A renewed focus on Environmental, Social, and Governance (ESG) principles is being driven through corporate governance and financial reporting standards.
Environmental sustainability and conservation are two of the most topical elements of ESG, and two of the aspects that are usually most evident or measurable when change is implemented.
Environmental conservation is not a new concept, but it is one that the mining industry has been taking more seriously than ever before.
Mining strategies have changed enormously in the past decade to include comprehensive environmental management systems, alternative mine planning, and greater emphasis on mine closures and mine rehabilitation.
Globally, mine designs are deliberately focusing on minimising the impact on the environment in a sustainable manner. Environmental and regulatory considerations are taken more seriously by all stakeholders and investors.
South Africa’s Integrated Resource Plan (IRP2019) addresses the environmental considerations not only for the mining industry, but for the country as a whole. One of the considerations is the expectation that larger electricity users, like mines, will start generating their own power to migrate away from the country’s traditional electricity provider, and to even supplement the grid supply.
VBKOM offers risk management services that will support mining companies through the three maturity levels:
It is no longer just about the bottom line. It is about investing responsibly in the future of our people’s lives and environment.
The VBKOM team of experts can help you identify, understand, and manage your ESG risks into investment analysis that offer long-term advantages in the mining sector. Our tailored approach is designed to fit the solution to the exact need and risk appetite of the client, organisation, or specific project.
Contact us for more information.
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