Evaluation of Boliden’s sustainability topics in 2021

Boliden took its stakeholder and materiality assessments to the next level in 2021 to further validate its sustainability topics. The assessment was done with a future focus.

 

Future Focus 2030

In 2021, Boliden assessed its sustainability topics with input from a Future Focus report. The report projected how the world might look in the year 2030 and what this will mean for Boliden’s business. It predicted various indicators based around four drivers that are expected to shape the world in 2030:

• (B)reaching limits to growth

• Increasingly inter-connected world

• Shifting demographics

• Changing natural environments

How the world might be in 2030

 

Based on how these drivers are expected to impact the landscape for the metals and mining industry toward 2030, three critical themes were chosen:

• Low-carbon and circular society

• Workforce transition

• Economy and finance

IDENTIFIED RISKS AND OPPORTUNITIES

For each of these critical themes, key drivers were identified as well as how they will shape the metals and mining landscape toward 2030. This involved identifying both opportunities and risks to Boliden’s business.

Low-carbon & circular society

Drivers

Opportunities

Risks

• Population dynamics

• Urbanization

• Biodiversity loss

• Food, water and energy

• Access to natural resources

• Infrastructure development

• Climate change mitigation and adaptation

• Global tech revolution

• Economic growth

• Incorporate long-term climate impacts into mining plans

• Help achieve SveMin’s 2030 biodiversity roadmap

• Provide traceable low-carbon metals

• Build partnerships to innovate low-carbon metal recovery

• Help achieve Sweden’s goal of fossil-free extraction

• Access to fossil free energy

• Low-carbon metals face tough competition

• Barriers toward a low-carbon future by failing to decarbonize

• Climate impacts on dam safety and smelters

• Increased conflicts with neighbors due to climate impacts

• Metal recovery pathways from society are not established

Workforce transition

Drivers

Opportunities

Risks

• Population dynamics

• Access to natural resources

• Infrastructure development

• Global tech revolution

• Economic growth

• Macroeconomic trends and geopolitical shifts

• Strengthen relationships by upskilling ­transitioning workers

• Improve health and safety by adopting ­technology

• Inability to attract top IT talent

• Failure to mitigate transition impacts for communities

• Issue related to job losses due to automation

Economy & finance

Drivers

Opportunities

Risks

• Biodiversity loss

• Access to natural resources

• Infrastructure development

• Climate change mitigation and adaptation

• Macroeconomic trends and geopolitical shifts

• Help other countries achieve low-carbon mining

• Access to green finance (bonds, loans, etc.)

• Failure to receive license to operate for new mines

• EU Taxonomy raises compliance criteria

• TCFD disclosures by finance sector increases cost of capital

VALIDATION OF BOLIDEN'S SUSTAINABILITY TOPICS IN 2021

Each year, Boliden conducts interviews with its managers working with key external stakeholders to identify which topics are important to them. These topics are then rated according to the stakeholder insights and their influence on Boliden’s business.

Every one of Boliden’s sustainability topics is important, but they are important in different ways and require different ­approaches to how Boliden deals with them. For example, some are “hygiene factors” that Boliden must work with every day, whereas others are of critical strategic importance to get the company where it wants to be in 2030. The major difference how Boliden assessed these topics in 2021 was that stakeholder insights were combined with the “future focus 2030” lens to refine and rate them. This resulted in the redefining of some topics and changes in how they were rated.

 

BOLIDEN'S SUSTAINABILITY TOPICS BY GROUP

Another important difference was that the topics were then grouped together for the first time to better understand their influence on the business toward 2030.

The topic financial performance is fundamental to Boliden’s very existence. Climate, Waste & resource usage, and Circular economy all have the potential to provide the greatest value going forward until 2030 if Boliden works with them in the correct manner.

The other topics rated enable Boliden’s strategy and build stakeholder trust.

103-2&3 Management approach, its components and evaluation thereof