Aligning Mining With UN´s SDGs Facilitates Energy Transition

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29 de Julio 2024

Q: Why are services like those offered by ALS Consultoría necessary for companies in the mining industry? 

A: ALS Consultoría was established by a majority -female team with extensive experience (more than 20 years) in mining companies to address the specific needs of the sector. We identified critical areas where significant improvements could be made. We focus on enhancing relationships with communities, government agencies, and ensuring rigorous compliance with legal and environmental standards. Our diverse team of experts in biology, political science, forestry, anthropology, and other fields enables us to address a broad spectrum of issues effectively. We are dedicated to integrating ESG considerations into mining operations. Our approach emphasizes clear and transparent communication — an area often lacking in the industry — to ensure that mining companies can clearly articulate and efficiently implement their projects on-site.

Q: How does having a majority female board help the company enhance its services?

A: Our majority female board emerged organically and reflects a distinct blend of perspectives and expertise that we believe is pivotal for addressing the mining sector's complex challenges. This leadership enables us to bring a unique focus to integrating ESG practices with the UN’s Sustainable Development Goals (SDGs) outlined in the 2030 Agenda.

Our experience is exemplified through our pioneering operational role in a UN pilot project on the extractive sector, which has allowed us to learn the UNFC-UNRMS*  methodology for aligning mining activities with actionable SDG metrics and ensuring precise reporting. ALS Consultoría is the first firm to formalize an agreement with this UN methodology through the ICE-SRM**. By creating tailored roadmaps for each mining operation, we evaluate existing practices and pinpoint areas for improvement. Our approach not only addresses existing gaps but also sets a benchmark for sustainable and responsible mining practices.

*UNFC: United Nations Framework Classification; UNRMS: United Nations Resources Management System. 

**ICE-SRM: International Center of Excellence on Sustainable Resources Management.

Q: How does the company assess alignment with SDGs goals in mining operations, and what distinguishes your approach from others in the industry?

A: Our methodology is tailored to each mining operation, evaluating all stages, from exploration and permitting to construction, operation,  closure and post-closure. It begins with data collection through detailed questionnaires. That is followed by verification and analysis. Results are visualized through graphs that map alignment with the SDGs. This approach allows companies to assess their ESG performance against SDGs and obtain accreditation for applying the UN’s methodology for SDGs compliance***, providing a clear measure of their alignment with both national and global sustainability targets.

*** Graph of ESG compliance, transferring to UN SDG’s.

We also offer continuous support beyond the initial roadmap. We assist clients in jointly developing and implementing recommendations effectively, ensuring strategies are integrated into their specific operational contexts. Our objective is to facilitate the incorporation of SDGs into mining practices, advancing sustainable and responsible operations.

Q: What technologies can be used to improve the ESG performance of mining projects in Mexico? 

A: Although our recommendations vary based on whether the mining site is remote or urban, we consistently advocate for adopting alternative energy sources and vehicles that minimize fuel consumption and greenhouse gas emissions. We also emphasize integrating technologies in the supply chain that mitigate climate impacts and align with ESG principles. We also recommend using biodegradable products and advanced technologies to manage dust. The integration of electric or biodiesel-powered heavy machinery is also crucial for reducing emissions and enhancing sustainability in mining operations.

Q: How has the strengthening of environmental mining regulations impacted the sector, and what are the expectations for the forthcoming government?

A: The recent regulatory changes have posed significant challenges due to their increased stringency. While these new regulations have introduced friction, they underscore the need for better alignment between regulatory frameworks and industry practices. In the mining industry, ESG efforts can sometimes come across as transferring responsibilities traditionally held by the municipality/state — such as providing water and infrastructure — onto companies. Thus, establishing a robust foundation is essential. It is also crucial to enhance communication and transparency at local, state, and national levels, including financial institutions and investors. 

Engaging with industry experts will be vital to future legislative efforts. This collaboration will help ensure that regulations are based on a thorough understanding of mining operations, benefiting both the government’s goals and the mining sector. 

Q: What are ALS Consultoría’s strategic plans for the short term? 

A: Our strategic focus is to promote and apply the UN-based methodology, merging the ESG guidelines mining companies already have in place with the one from the UN, complementing and transferring them onto SDGs metrics  on a global scale. Which is the common ground within Sustainable Development that can be measured and compared between companies and countries. We aim to demonstrate its efficacy in improving the mining sector, facilitating the transition to sustainable energy, and ensuring adherence to high sustainability standards. We seek to serve as a bridge between companies and regulators, providing education and fostering collaboration to achieve shared goals.

The mining sector holds significant potential for positive transformation, and it is crucial to realize this potential. We are dedicated to facilitating this change and ensuring it endures.

ALS Consultoría is a consultancy firm specializing in ESG matters that comes from a mining background. It also provides various services, including environmental and social research and other comprehensive business solutions.