Australia BHP to steer mining lobby groups' climate change policies

11:15  14 august  2020
11:15  14 august  2020 Source:   reuters.com

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BHP accepts the Intergovernmental Panel on Climate Change (IPCC) assessment of climate change science, which has found that warming of the climate is unequivocal, the human influence is clear and physical impacts are unavoidable. Read our full climate change position statement.

Global miner BHP Billiton said on Thursday it had made a final decision to leave the World Coal Association (WCA) over differences on climate change “The WCA’s position has always been clear; we support a balanced approach that integrates climate and energy policy that works towards a low

A tonne of nickel powder made by BHP Group sits in a warehouse at its Nickel West division, south of Perth © Reuters/MELANIE BURTON A tonne of nickel powder made by BHP Group sits in a warehouse at its Nickel West division, south of Perth MELBOURNE (Reuters) - BHP Group said on Friday it will closely monitor the work of industry associations to ensure they match its climate position on keeping the world's warming to well less than 2 degrees Celsius.

The world's largest listed miner has faced increasing pressure from investors worried that some mineral lobby groups, particularly in Australia, are promoting coal use in contravention of the goals of the Paris climate pact, and have urged BHP to stop funding them.

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BHP , the world’s biggest mining company, could end its membership of powerful lobby groups , including the Minerals Council of Australia, if they are found BHP reviewed its membership of industry associations in 2017 and found material differences on climate and energy policy with three bodies

BHP agreed to let shareholders vote on the resolution submitted by an ethical investing group , the Australasian Centre for Corporate Responsibility (ACCR), which says BHP should quit any industry groups whose views on climate change and energy policy conflict with the company’s own views.

BHP said it would instead work with industry associations to outline its priorities and approach for advocacy around climate goals.

"As industry leaders like BHP make firm commitments on climate transition, we welcome this effort to ensure that trade associations remain in step with their more forward-thinking members,” said Thomas O’Malley, Global Head of Corporate Governance, HSBC Global Asset Management and co-lead of the Climate Action 100+ engagement with BHP.

BHP, which quit the World Coal Association in 2018, said it will publish annually a list of material association memberships and disclose in real time if one any of the associations breaches its global climate policy standards.

It also said industry groups it supports should not advocate in favour of Australia's use of Kyoto carryover credits, a controversial accounting method that would allow Australia to use its old carbon credits from the 1992 Kyoto Protocol to meet Paris targets.

Last year, BHP said it was reviewing its membership of four industry associations including the New South Wales Minerals Council due to concerns about their climate and energy policies.

The NSW Minerals Council last month petitioned the state government to fast track approvals for 21 new coal mines, the majority containing thermal coal.

The Minerals Council of Australia said it welcomed BHP's findings and would will work with BHP and state associations to progress the key issues raised.

(Reporting by Melanie Burton; Editing by Lincoln Feast.)

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