Metals form a crucial part of our renewable energy assets, including rare earth elements for wind turbine magnets, copper for transportation cables, and lithium for batteries. Building an offshore wind farm requires more metals compared with building, for example, a gas-fired power station with a similar capacity.
We believe that the growth of renewable energy shouldn’t come at the expense of human rights, neither in our own operations nor in our supply chains.
Like those in the tech and automotive industries, we in the renewable energy sector need to actively guard against any harmful effects the mining of these metals and minerals could have on people and the environment.
The mining industry can bring economic benefits to the countries where metals and minerals are extracted, for example through creating jobs and tax revenue, which can be used to improve infrastructure.
However, mining can also have unwanted side effects, including pollution, the displacement of communities, precarious working conditions, and effects on biodiversity.
We’re not directly involved in the mining of metals and minerals, nor do we have direct control over the conditions under which they’re mined, because this work occurs deep in our supply chains. However, as an end user, we promote responsible and sustainable practices and develop ways of sourcing these metals more responsibly.
Simplified supply chain for renewable energy products
Supply chains tend to be long and complex. If we’re to address any risks, we need to work together with other stakeholders, not only across the renewable energy sector, but also in other sectors.
Our metals and minerals sustainability programme covers ten metals with the highest risk of adverse social and environmental impacts that end up in our wind turbines, foundations, cables, components, solar panels, or energy storage systems: cadmium, cobalt, copper, iron, lithium, manganese, nickel, rare earth metals, silicon, and tellurium.
Our work has three strategic pillars:
Engaging with our suppliers and industry partners has shown us that there’s momentum to address risks relating to the mining of the metals and minerals that fuel the renewable energy transition.
However, it’s also brought home to us the full extent of the challenge. We’re committed to taking on this challenge and to working together with others to ensure that the growth of renewable energy is beneficial, and sustainable, for everyone involved.
For more information, please see our annual report 2024, section ‘E5: Resource use and circular economy’, ‘S2: Workers in the value chain’ and read more here: Asset-specific LCAs for supply chain emissions | Ørsted
We follow and adhere to several international guidelines and principles for respecting and promoting human rights globally, including:
Accountability lies with our Chief Operating Officer.