Environmental, Social, and Governance (ESG) standards are key to fostering responsible business practices. They help businesses manage risks to people and nature while increasing resilience, trust, and investment potential. By aligning with international agreements and national development goals, ESG standards contribute to sustainable growth and the African Mining Vision. However, in fragile economies with weak rule of law, delivering on high ESG standards can be particularly challenging. This makes their adoption even more critical, as responsible business conduct can mitigate risks, protect communities, and attract ethical investment.
However, ESG standards aren’t the answer to everything. The multiplication of standards leads to complexity with meeting their requirements, reporting and resources burdens, and a risk of greenwashing.
There is growing momentum to streamline standards and integrate ESG into national development strategies to enhance effectiveness. When applied strategically, standards can shift from being a compliance cost to a driver of value creation, benefiting businesses, governments, and communities alike. By fostering collaboration between industry, governments, regulators, and voluntary initiatives, ESG standards can help build a mining sector that benefits all.
Thank you to the European Commission’s Directorate General for Internal Market, Industry, Entrepreneurship and SMEs (DG Grow), who organised the event on behalf of the Minerals Security Partnership. Find out more: Minerals Security Partnership Forum - European Commission
