Sustainability challenge
Minerals and metals for green energy deployment
The build-out of renewable energy will increase mining activities for certain requisite metals and minerals. Since a significant share of the global extraction and production of those resources takes place in countries with high likelihood of negative social and environmental impacts, there is an increased risk of adverse impacts on supply chains.
Our approach
The mining of minerals and metals takes place deep within supply chains, and Ørsted does not have direct control over how these activities are performed. To help shape solutions in this space, we are engaging with key suppliers based on the first three steps of the OECD Guidelines: (i) Establish strong company management systems, (ii) Identify and assess risks in the supply chains, and (iii) Design and implement a strategy to respond to identified risks. We are also addressing the topic through industry initiatives, including WindEurope and the Dutch Wind Covenant.
Our progress
- We have mapped and prioritised ten metals which are being used in our offshore and onshore operations.
- We have started a dialogue with ten key suppliers to understand the current level of supply chain transparency for priority metals, and whether social and environmental risks within these networks have been identified.
- We have joined the cross-industry Initiative for Responsible Mining Assurance (IRMA), which focuses on responsible mining practices. With our membership, we want to promote responsible mining practices in our supply chains and learn how other IRMA members are addressing societal and environmental risks in their supply chains.
Actions for the future
To be able to address specific societal and environmental risks in our metal supply chains, we need a clearer understanding of how priority metals used in our renewable energy are sourced. We will continue to investigate this in collaboration with our first-tier suppliers and industry initiatives.