Due Diligence in

the Copper Industry

The members of the International Copper Association (ICA) EXAMPLES OF THE MAIN
are invested in sustainable and responsible sourcing and ESG Focus Areas
production efforts that support the UN 2030 Sustainable FOR ICA MEMBERS

Development Goals (SDGs). This is driven by:

▸ industry’s proactiveness in addressing investors’, customers’ and civil
society’s concerns around ethical business conduct; and
▸ lawmakers’ ambition to ensure through legally-binding rules that global
value chains operate in a sustainable and socially responsible manner.
ENVIRONMENTAL
Air, water and soil management
ICA members strive to prioritize responsible practices at every level, from worker Energy, resource and material efficiency
safety to local community development to environmental protection. Their own Hazardous substances exposure control
operations and business partners are governed by a corporate code of conduct
that defines the companies’ environmental, health & safety, human rights and
social performance, and management systems. The Global Reporting Initiative
(GRI) is the main sustainability reporting standard our members use to publicly
report on their Environmental, Social, and Governance (ESG) performance.

Beyond compliance with national, regional and international laws, ICA members
are invested in multiple activities, initiatives, and efforts at site-, firm-, group-,
and corporation-level. SOCIAL
Human and labour rights
These include: Local communities well-being
and development
1. Incorporation of government-backed international standards and rules
in corporate responsible sourcing policies and management systems Health and safety of workers and employees
2. Uptake of voluntary industry and multi-stakeholder initiatives
for the promotion of ESG good practices
3. On-the-ground corporate projects and partnerships

GOVERNANCE
Ethical business and zero-corruption
Fair competition
Transparency and data privacy
 The responsible sourcing and production efforts that ICA members undertake enhance regulatory compliance and can be
classified under the three main following categories:

1. Incorporation of government-backed international standards 2. Uptake of voluntary industry and multi-stakeholder

and rules in corporate responsible sourcing policies and initiatives or the promotion of ESG good practices: Copper
management systems: Copper producers’ ambition is to align producers are increasingly assuring their sites using voluntary
their sustainability systems with international standards on schemes and due diligence standards (namely ‘sustainability
ethical sourcing and production of raw materials. The OECD Due systems’). Participation to such initiatives and schemes helps
Diligence Guidance for Responsible Supply Chains of Minerals our companies comply with the matrix of different legislation
from Conflict-Affected and High-Risk Areas (so-called ‘Minerals at international level as well as at the respective jurisdiction of
Guidance’) constitutes the cornerstone international framework operation. In this way, compliance is secured through rigorous
for responsible supply chain management of minerals from assessments and independent auditing processes.
conflict-affected areas, to which ICA members are committed.
Upon this, copper producers adapt their mineral purchasing Main examples include:
decisions and practices to respect human rights and avoid ▸ The Copper Mark
contributing to conflict. This builds on the OECD Due Diligence ▸ Joint Due Diligence Standard for Copper, Lead,
Guidance for Responsible Business Conduct (so-called ‘RBC Molybdenum, Nickel and Zinc
Guidance’) that supports our members efforts in implementing
due diligence as recommended in the OECD Guidelines for ▸ Global Industry Standard on Tailings Management (GISTM)
Multinational Enterprises (so-called ‘Guidelines for MNEs’). By ▸ LME responsible sourcing requirements
following closely the OECD framework, ICA members make their ▸ RMI standards
positive contribution by preventing and mitigating material
▸ ICMM mining principles and associated ESG
ESG risks and impacts, as well as by practically improving the
performance expectations
situation in third countries.
▸ Extractive Industries Transparency Initiative (EITI)
Main examples include:
3. On-the-ground corporate projects and partnerships:
▸ OECD framework for due diligence (Guidelines for Multinational
Enterprises, Due Diligence Guidance for Responsible Business Conduct, These can contain dedicated internal governance structures
Due Diligence Guidance for Responsible Supply Chains of Minerals from and external actions upon own initiative or in cooperation
Conflict-Affected and High-Risk Areas) with other parties in other countries (e.g., use of funds towards
▸ United Nations Guiding Principles on Business & Human education, re-skilling, awareness-raising, etc.). Through
Rights (so-called UNGPs) cooperation with other platforms and organizations, our
members foster cross-industry knowledge and best practice
▸ Regional legislation (e.g., EU Conflict Minerals Regulation, EU
Corporate Sustainability Due Diligence Directive, Corporate Sustainability
exchange around responsible sourcing, and leverage initiatives
Reporting Directive) that address ESG shortcomings (e.g., on human rights,
OECD Guideline
corruption, environment) and promote due diligence in their
own operations and business partners.
s for Multinatio
2011 EDITION nal Enterpris
es
Contents
Declaration on
International
Investment and
Part I - OECD Multinational
Guidelines for Enterprises
Business Conduct Multinational
in a Global ContextEnterprises: Recomm
endations for
Preface Responsible
OECD Guideli
I. Concepts
and Principle
s nes
for Multination
II. General Policies

Main examples include:

III. Disclosure
IV. Human Rights
V. Employment
and Industria
al Enterprise
s GuidinG PrinciPles
VI. Environm
ent
OECD DUE DILIGENCE GUIDANCE
l Relations

gence on Business
OECD Due Dili ponsible
VII. Combati
ng Bribery, Bribe
VIII. Consume Solicitation and

FOR RESPONSIBLE
r Interests Extortion
and Human riGHts
OECD Due Diligence

IX. Science and

2011 EDITION
Res
Guidance for of Minerals
X. Competition Technology
XI. Taxation
nce Guidance
BUSINESS OEC
CONDUCT Minerals
OECD Guidelin

D Due Dilige

▸ Internal corporate units and departments dedicated on

ly Chains of
onsible supp
supply Chains fected
Part II - Impleme
ntation Procedur
Areas
for Resp -Risk
ffected and High
Amendment of es of the OECD
the Decision Guidelines for

from Conflict-A t-Af

from Conflic Areas
Enterprises of the Council Multinational
on the OECD Enterprises
Procedural Guidance Guidelines for
Multinational
Guidance for

and High-Risk
Commentary
THiRD EDiTiO
es for Multinat

on the Impleme
ntation Procedur
es

ESG matters
Supply
Contents Responsible
Guidance for
on Due Diligence n
of the Council High-Risk Areas
Recommendation from Conflict-Affected and THiRD EDiTiO
Responsible supply

of Minerals from
Chains of Minerals Supply Chains
Responsible
Guidance for
OECD Due Diligence High-Risk Areas
ional Enterpr

and
Conflict-Affected
and tungsten
Supplement on
tin, tantalum Implementing

▸ Participation in funding programs on a series of actions

Please cite this Supplement on
gold
the United Nations
Chains of Minerals

publication as:
“Protect, Respect and
ises

OECD (2011),
OECD
http://dx.doi.org/10 Guidelines for Multinatio
nal Enterprise
Remedy” Framework
.1787/978 92641154 s, OECD Publishing
This work is 15-en .
2011 EDITION

published
statistical databases on the OECD iLibrary,
. Visit www.oec which gathers
information. d-ilibrary.org, all OECD books,
and do not hesitate periodicals and
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(e.g., fight child labor, provide training to indigenous

for more
from Conflict-A
Geneva — GE.11-46529 — January 2012 — 4 951 — HR/PUB/11/4
Designed and printed by the Publishing Service, United Nations,

ffected and High-Risk

people, run health campaigns for employees, support

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entrepreneurship, and help local communities grow socially,

Areas

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on line at http://dx. books, periodicals
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20 2016

While it is the responsibility of each company to comply with the applicable

rules, voluntary sustainability systems can verify a site’s conformance with
international standards when those systems are based on:
▸ Transparent, robust, and trustworthy industry schemes, based,
for example, on the ISEAL credibility principles1
▸ An OECD-aligned voluntary standard2
1 Positive contribution to sustainability impacts, collaboration with civil society and other stakeholders, value creation, measurable progress, meaningful
stakeholder engagement, transparency, impartiality, reliability, truthfulness, and continual improvement.
2 Assessment of the incorporation of key OECD due diligence framework characteristics into the standard or in the implementation of a corporate initiative.
The role of voluntary
sustainability standards in
supporting site compliance
with global standards and
applicable rules
For the copper industry, one example
of a voluntary sustainability standard
is the Copper Mark. The Copper Mark
is an assurance framework to promote
responsible sourcing and production.
Through a rigorous site-level assessment
process, it independently verifies whether
individual copper producing sites have
responsible production practices. Over
25% of globally mined copper is currently
produced by Copper Mark-assured sites.
@THINKCOPPER
COPPERALLIANCE.ORG
The Copper Mark’s vision is a sustainable society, enabled by the responsible
production, sourcing and recycling of metals. Separate from the industry it
assesses, the Copper Mark is governed by an equal number of industry and
non-industry stakeholders.
The Copper Mark also plays a leading role with the Joint Due Diligence Standard
for Copper, Lead, Molybdenum, Nickel and Zinc (herein called the JDDS). The JDDS
is independently verified to be 100% OECD-aligned, and is jointly issued by the
Copper Mark, the Responsible Minerals Initiative and the metal associations of the
metals it covers.
The Copper Mark’s assurance process includes five main steps:
Commitment: The site publicly commits to the Copper Mark’s assurance process
and the associated deadlines to fully meet the ESG standards.
Self-Assessment: Participants complete a self-assessment against the Copper
Mark standards, covering all major ESG issues.
Independent Assessment: Participants are assessed by third-party, independent
auditors. All participants must undergo an on-site assessment of their site.
If they successfully meet all criteria or only has minor gaps in their performance,
participants are awarded the Copper Mark at this stage.
Improvement Plan: Gaps identified during the independent assessment must
be addressed and the implementation of the improvement plan must be verified
again by the independent third-party auditor. Participants can only maintain the
Copper Mark if they ‘fully meet’ all applicable Copper Mark standards within 24
months of signing their commitment.
Re-Assessment: Sites that have successfully completed the assurance process are
reassessed at the latest every three years against updated Copper Mark standards.
For more info, click here.
 Annex

International Standards · UN Human Rights Dashboard / Women Initiative /

· London Metals Exchange (LME) responsible sourcing Environmental Program World Conservation
requirements Monitoring Centre

· OECD RBC Guidance / Minerals Guidance / Guidelines Corporate initiatives

for MNEs
· ESG-focused governance structures: Responsible Sourcing
· UNGPs on Business and Human Rights / UN Declaration of Minerals, Know Your Counterparty, Employee Wellness,
on the Rights of Indigenous People / UN Global Compact Health Promotion and Enviromental Hazards Prevention,
Principles / UN International Bill of Human Rights / UN Local Economic Development, Community Engagement
Convention on the Rights of the Child and other programs and dedicated committees
· ILO core conventions on social matters · Awareness, training and educational campaigns, and reskilling
· World Bank Group International Finance Corporation · Activities in third countries
performance standards · Local programs and series of initiatives (incl. funds) to:
· ISO 14001, ISO 9001, ISO 14064, ISO 45001 · Fight child labour and educate children
· GHG Protocol Corporate Accounting and Reporting Standard · Provide training and technical assistance to local
governments, communities and institutions in
Voluntary Sustainability & Due Diligence Initiatives operational areas of influence
· The Copper Mark (TCM) for copper production sites, the · Reduce the infrastructure gap in third countries
Chain of Custody Standard for copper products, and the
· Support entrepreneurship and integrate small
Joint Due Diligence Standard for Cu, Pb, Ni and Zn also for
companies as suppliers
copper production sites
· Protect heritage sites
· Global Industry Standard on Tailings Management (GISTM)
· Grow socially, culturally and economically indigenous
· Responsible Minerals Initiative (RMI) Standards & people, and develop alternative sources of livelihood
Responsible Minerals Assurance for local communities
· Mining Association of Canada’s Towards Sustainable Mining · Other
(TSM) initiative
· RESPECT index for responsibility, ecology,
· ICMM mining principles and associated performance sustainability, participation, environment, community,
expectations transparency
· Responsible Business Alliance Code of Conduct and its · Crime prevention model
standards and Practical Guide to Responsible Sourcing of
· Women in Mining Forum
Goods and Services
· Copper product raw material procurement initiatives
· Initiative for Responsible Mining Assurance (IRMA)
· Golden rules for safety
· World Economic Forum Partnering Against Corruption
Initiative · Health campaigns for employees
· Extractive Industries Transparency Initiative (EITI)
· Global e-Sustainability Initiative (GeSI)
· Global Partnership for Sustainable Development Data
· European Innovation Partnership on raw materials / EIT Raw
Materials Knowledge and Innovation Communities / European
Technology Platform for Sustainable Mineral Resources
· International Union for Conservation of Nature
· World Business Council for Sustainable Development
· Canada Mining Association Towards Sustainable Mining
Initiative (TSM)
· Transparency International
· Financial Stability Board Task Force on Climate-related
Financial Disclosures
· World Benchmarking Alliance Corporate Human
Rights Benchmark
· Voluntary Principles Initiative on Security and Human Rights