Presentation by Daniel Guyader
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Transcript of Presentation by Daniel Guyader
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Economic Security and Raw Materials Conference
Raw Materials 2015 Policy Options
Den Haag, 30th January 2015 Daniel GUYADER
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Outline of presentation
Context and objectives
A responsible trading strategy for minerals from conflict zones: objectives and outcome
Conclusion but open questions
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Context • Mining industry a major economic sector (in
terms of outputs and exports and involvement of international companies)
• Element of international relations (many issues at stake), not new on diplomatic agenda but increasing attention
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Context
• G8 summit expressed concerns centred on raising global standards for extractive transparency, reporting rules and responsible, conflict-free sourcing of minerals from conflict-affected regions.
• In the UN family
- UNSC Resolution 1952/2010)
- UN SC debate on 19/06/13: focus on how to help national government of countries producing them.
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Context Wide range of already existing initiatives on transparency and natural resources: concept of responsible sourcing
- within the EU (Flegt, regional and strategic frameworks for Great Lakes Region…)
- bilateral (Dodd Frank section 1502…)
- international ( Kimberley, CITES, Extractive Industries Transparency initiative, OECD due diligence guidance, Great Lakes Region )
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Context
• Economic development
• Security, Stability
• Governance in third countries
• As well as more traditional ones, such as adequate sourcing and management of reputational risks for EU firms, sustainability, and so on…
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Context
• How to proceed?
- A concrete example: Responsible sourcing of minerals from conflict-affected areas
- Inclusion in global supply chain involving many economic partners from different countries
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Context
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Context
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Communication and draft regulation
• Responsible sourcing of minerals originating in conflict affected and high-risk areas
• Address three main problems
- Financing of armed groups
- Allow local development
- Companies to behave responsibly
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Communication and draft regulation
• Implementation challenges
• EU list of responsible smelters and refiners
• Promote voluntary certification schemes
• Enhance political and sectorial dialogues and cooperation with governments
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Mapping Exercise
• MFA responsability: Security, Stability
• Economic development and Governance of/in third countries
• As well as more traditional ones, such as adequate sourcing and management of reputational risks for EU firms, sustainability, and so on…
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Member States Objectives
• Promote free trade on a non-discriminatory basis, tackling the possible restrictive measures.
• Attention paid to the necessary infrastructure, environmental and social standards in raw material extraction (e.g. through mandatory certification)
• Human rights, environmental protection, and good governance
• Transparency and accountability in the supply chain
• Private sector shall be involved
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Main input from MS • Promote the global frameworks (from UN and OECD)
• Major producers of critical RM should be targeted (for instance, China for rare earths), but multilateral actions should be also engaged in parallel (NB: some differences on that issue among MS)
• Tools to be used: support for technology exports, multilateral and bilateral confidence-building activities (capacity building/vocational training, technology transfer e.g. environmental mitigation technologies), long-term supply agreements, infrastructure and other offset packages etc.
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Conclusion EU policy
• How to proceed?
• Which type of approach?
• Which raw materials?
• Which country to cover?
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Economic Security and Raw Materials Conference
Raw Materials 2015 Policy Options
Den Haag, 30th January 2015