A guide to leading practice sustainable development in mining

Conversely, positive and proactive biodiversity management can offer opportunities
and benefits including:
shorter and less contentious permitting cycles, as a result
of better relationships with regulatory agencies.
reduced risks and liabilities.
improved community and NGO relations and partnerships.
improved employee loyalty and motivation.
For these reasons, the minerals industry is increasingly adopting measures to
conserve and sustainably manage natural resources. Gaining the support of
international institutions such as the International Finance Corporation, World
Bank and private financial organisations is now conditional on complying with
internationally-recognised biodiversity principles and standards such as the Equator
Principles voluntary social and environmental standards. Leading financial lenders
and export credit agencies are increasingly integrating assessments of biodiversity
impacts into their mainstream financial decisions. These financial institutions see
environmental assessment as a key element of the overall risk management process.
Increasingly, a mining company’s ability to achieve high standards of biodiversity
management is recognised as a competitive advantage. As a result companies that
develop sophisticated policies and practices for managing biodiversity enjoy greater
opportunity, particularly with respect to land access.
Maintaining the Social Licence to Operate
Mining activities often occur in remote environments where local communities engage
in subsistence agricultural practices or sustainable livelihoods based on surrounding
natural resources. In these circumstances, the human (social and economic) dimensions
of biodiversity take on critical importance. This is particularly true in the rural areas of
developing countries, where entire communities are directly dependent on biodiversity
and ecosystem services and therefore more vulnerable to their degradation.
Public concern over biodiversity loss and ecosystem damage is reflected in a
growing number of initiatives. These range from civil society and local community
action to international, national and local laws, policies and regulations aimed at
protecting, conserving or restoring ecosystems. To maintain their social licence to
operate, mining companies are responding to expectations and pressures for stricter
measures to conserve and manage remaining biodiversity. They are increasingly
being called upon to:
make ‘no go’ decisions on the basis of biodiversity values, which may include
pristine, sensitive or scientifically important areas, the presence of rare or
threatened species, or where activities pose unacceptable risks to ecological
services relied upon by surrounding populations (see Shelburne Bay case study).
alter the project development cycle where there is insufficient baseline
information or where scientific uncertainty mandates a precautionary
approach in relation to mitigating or avoiding impacts on biodiversity;
and, where practicable, mitigate impacts and positively enhance
biodiversity outcomes in areas where they currently operate.
A GUIDE TO LEADING PRACTICE SUSTAINABLE DEVELOPMENT IN MINING 91