Yves Bawa and Kay Nimmo - 7th Multi-Stakeholder Forum on Responsible Mineral Supply Chains
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Transcript of Yves Bawa and Kay Nimmo - 7th Multi-Stakeholder Forum on Responsible Mineral Supply Chains
iTSCi: leading minerals traceability and due diligence in Central Africa
Kay Nimmo, ITRI Representative to iTSCi Governance [email protected], http://www.itri.co.uk
Yves Bawa, iTSCi Regional Programme Director, Pact [email protected], http://www.pactworld.org
OECD, ParisMay 2014
Introduction – iTSCi
The joint industry programme for 3T minerals from mine to smelter• 12,000,000 kgs of artisanal minerals in the last year, >1,000 identified sites
Developed from 2009 around key international expectations (OECD, UN)• Prior to Dodd-Frank and OECD Guidance and continually improved
Harmonized with and supporting end user smelter audits (CFSP)• Almost all iTSCi minerals go through CFS compliant smelters
Enabling access to international markets for African mineral sector • Four Provinces of the DRC + Rwanda + Burundi
Enabling SEC/other companies to source responsibly in region• Supporting Solutions for Hope, Conflict Free Tin Initiative, ICGLR certificates etc
Going beyond conflict• Capacity building, formalisation, training, child labour, business advice etc
Holding commercially confidential information for the supply chain
tin tantalum tungsten (not gold)
Structure – multi-stakeholder/partnerships
Company membership National and local Government Stakeholder engagement
iTSCi is practical application of OECD Guidance at all levels
OECD as a global industry standard
COMPANY SUMMARY & MEMBERSHIP STATUS: licences, conflict mineral policies, due diligence plans, supplier evaluations etc.
COMPILATION OF COMPANY DOSSIER: evaluation of role in the supply chain and extent of OECD understanding at joining
94 accepted full members plus 84 provisional full members From co-operatives to multinationals 28 countries
All monitored for progress to standards of OECD Free market competition within common system and standards
On the ground implementation
MINE MONITORING: mine location, owners, operators, production, civil society, trade routes, taxes and security
• Date• Time• Mine name• Mine location• Tag number• Miner / cooperative• Weight• Price• Grade• Transport route• Transport method• Security• Staff present
FIELD DATA RECORDS (3): in country data on minerals at the mine, processor and exporter, collated by the Programme
SUPPLY CHAIN DOCUMENTS (2): once exported, shipping and trade documents provided by supplier to smelters
Monitoring & Mitigation
PROJECT COMMITTES: local stakeholders, or project Governance committee, to determine, agree and implement actions
INCIDENT REPORTS: Reports from field staff, or any other source. Record of plan and actions until closed/resolved.
Most incident types are errors in tagging ~75% of incidents are resolved at local level
Independent evaluation & audit
GOVERNANCE FIELD ASSESSMENTS: field visits to evaluate progress and challenges, risks and recommendations
COMPANY AUDITS: site visits to audit for progress on OECD implementation and minerals traceability. Local & international
“verifiable, reliable, up-to-date information on the qualitative circumstances of mineral extraction, trade, handling and export from conflict-affected and high-risk areas”
o Update on security and Annex II issueso Specific focus issues (e.g. tax payments)o Activities of Government and other partnerso Progress and challenges
Evidence based approachISO 19011:2002(E), ISO 17021: 2006(E)Specific checklists106 due diligence vs 41 tagging procedures
“… auditing should be… reasonable and in good faith in relation to company size, location and circumstance”
Moving on from conflict
70,000 miners in 662 active mines across 3 countries; working securely without threat, force, or abuse producing conflict free minerals
International companies can continue to make this possible by sourcing conflict free minerals through iTSCi and CFSI
Apple
Practicalities: roads and infrastructure
Practicalities: limited local resources
Example alerts in supply chain
Local Committees play a key role
Formalisation of mining
Equal gender opportunities
Social programs by members