Environmental, social, and governance (ESG) standards are becoming increasingly important in the mining sector, but industry experts say their effectiveness depends on simplifying and consolidating reporting frameworks, according to discussions at African Mining Week 2025.
Charlene Wrigley, Vice President of Sustainability Strategy and Disclosures at Gold Fields, said ESG reporting allows companies to better understand the benefits and impact of their investments in minerals. She noted, however, that the proliferation of standards has created complexity.
To address this, Wrigley highlighted the Consolidated Mining Standards Initiative (CMSI), which aims to combine the best elements of four existing frameworks into a single global standard. “The CMSI’s final public consultation, and final opportunity for input, on the draft Consolidated Standard, Assurance Process and Claims Policy is launching 8 October,” she said.
“ESG has to make good business sense, add value, and be fit-for-purpose. A company’s ESG performance must enable its business strategy and demonstrate impact where it matters most,” Wrigley added.
Charmane Russell, Founder and Managing Director of R&A Strategic Communications, noted that the goal of sustainability reporting is to provide decision-useful information. She stressed the importance of considering both financial and impact materiality to help boards understand the company’s ESG impact fully.
Pierre Gouws, Associate Director at SLR Consulting, said ESG standards will continue to evolve, retaining what works and shedding ineffective practices. “Companies with strong ESG metrics have proven to outperform those that don’t,” he said, emphasizing that ESG is here to stay but needs more streamlined implementation.
Amid growing geo-strategic competition for critical minerals, Alex Benkenstein, Head of the Climate and Natural Resources Programme at the South African Institute of International Affairs, called for grounded engagement between governments and civil society to define realistic ESG compliance. He warned that core ESG questions should not be overlooked.
Source: Energy Capital & Power / APO Group
