due diligence

The new OECD Handbook on Environmental Due Diligence in Mineral Supply Chains is a milestone for environmental protection in global value chains. For the first time, a clear description is given of how companies can identify, assess and prioritise environmental issues at the beginning of their global supply chains and take measures to prevent, mitigate or find solutions to arising problems.

100 major copper, iron ore and bauxite (“aluminium ore”) mine sites worldwide have been assessed for their environmental hazard potentials. Results have been published in an interactive map with a number of filter functions. In particular, companies can use the map to analyse environmental risks along supply chains and to support their environmental due diligence.

The minerals and metals industries, including the mining sector, have been associated with human rights violations and serious environmental impacts. How to address human rights violations and conflict related risks has been taken up broadly in due diligence guidance and company practice in mineral supply chains. Sector specific practical guidance on environmental issues is missing so far.

This is the message of a virtual panel discussion hosted by OECD, UBA and UNEP in the context of current debates on the vulnerability of global value chains to crises and the legal regulation of human rights and environmental due diligence. The discussion focused on the need to better dovetail environmental protection and respect for human rights.