Nornickel has been historically engaged in dialogues with stakeholders while drafting sustainability reports. On 8 December 2021, the Company held a dialogue dedicated to definition of the Report’s material topics*.
Stakeholder dialogue minutes: “Discussing material topics of the 2021 Sustainability Report”
Date and time: 8 December 2021,
Format: online conference
Item 1. Report: “Setting Priorities in Environment Protection and Climate Change”
Item 2. Report: “The Company’s commitments in Environment Protection and Human Rights”
Item 3. Report: “The Framework of Nornickel’s 2021 Sustainability Report”
Item 4. Verification of the materiality matrix
Item 5. Assessment of additional disclosures
ITEM 1. Report: “Setting Priorities in Environment Protection and Climate Change”
- Stanislav Seleznev, Vice President for Ecology and Industrial Safety at MMC Norilsk Nickel
Stanislav Seleznev spoke about the Holistic Environmental Strategy adopted by the Board of Directors which aims to promote Nornickel as a metals and mining leader in protecting the environment and combating climate change, as well as its cascading to the Company’s divisions. The Strategy covers six key areas: climate change, air, water, tailings and waste, and biodiversity. To this end, the Company intends to spend around USD 6 bn in 2022. He also highlighted Nornickel’s current priorities. In line with the global agenda, the Company focuses on climate change, while reducing sulphur dioxide emissions would be a more impactful topic for the country at large. On top of that, Nornickel actively engages in clean-up campaigns to remove both leftover industrial waste and residues of its operations.
The dialogue participants asked follow-up questions to clarify details.
ITEM 2. Report: “The Company’s commitments in Environment Protection and Human Rights”
- Svetlana Ivchenko, Head of the Sustainable Development Department of MMC Norilsk Nickel
Svetlana Ivchenko shared her experiences and takeaways from drafting ESG-related policies. 2021 saw seven new policies adopted and another five policies updated. As part of the process, Nornickel maintained a dialogue with a wide range of stakeholders, including in the regions of its operations. The policies now feature a newly introduced governance section which helps reshape the current management system.
ITEM 3. Report: “The Framework of Nornickel’s 2021 Sustainability Report”
- Inessa Chernova, Head of Sustainability Reporting of MMC Norilsk Nickel
Inessa Chernova announced the key topics to be disclosed in the 2021 Sustainability Report, including key environmental performance results, industrial safety practices, interaction with indigenous peoples, and beyond. The objectives while preparing the Report include demonstrating the Company’s transparency, ensuring a more detailed disclosure for stakeholders and compliance with international standards, providing for bilateral and public verification, and external audit. Inessa Chernova said that the Report would have 3 sections (E, S & G) dedicated to the respective activities of the Company.
ITEM 4. Verification of the materiality matrix. Expert discussion and voting.
Stakeholders were asked to assess the current materiality matrix on a scale from 0 to 100, with 0 standing for “insignificant” and 100 for “highly significant”.
8 topics were put to vote:
- supply chain responsibility;
- training and developing our staff;
- energy consumption and efficiency;
- greenhouse gas emissions and climate change;
- science, technology and innovation;
- participation in Russian national projects;
- emergency forecasting and technogenic safety;
- promotion of the healthy lifestyle, fitness and sports among local communities and employees.
The participants voted.
The most significant topics were chosen as follows:
- Science, technology and innovation (77.6 points)
- Emergency forecasting and technogenic safety (77 points)
- Greenhouse gas emissions and climate change (75.2points)
- Training and developing our staff (73.9 points)
- Energy consumption and efficiency (73.4 points)
- Promotion of the healthy lifestyle, fitness and sports among local communities and employees (65.8 points)
- Supply chain responsibility (58.5 points)
- Participation in Russian national projects (56.9 points)
ITEM 5. Assessment of additional disclosures. Expert voting.
The participants were asked to assess, on a scale from 0 to 100, three additional disclosures of the 2021 Sustainability Report that were proposed during the survey.
The participants voted.
The stakeholder vote assigned the following points to three topics:
- Norilsk renovation and comprehensive social and economic development plan implementation until 2035 (79 points)
- Support for educational institutions and career guidance (73.1 points)
- Support for small and medium enterprises (SMEs) in the regions of operation (60.7 points)
Follow-up questions by participants
1. Alexander Stotsky, CEO of the Project Office for Arctic Development: How does, and will, the Company cater to the needs of indigenous northern minorities?
Svetlana Ivchenko, Head of the Sustainable Development Department of MMC Norilsk Nickel: The Company has adopted its Indigenous Peoples’ Rights Policy, with a number of other by-laws to follow, providing for engagement with indigenous northern minorities. On top of that, the existing agreement for infrastructure development in the regions of operation covers a host of initiatives supporting indigenous peoples.
Vasily Zakharov, Chief Manager of the Federal and Regional Programmes Department of MMC Norilsk Nickel: The Company runs a large-scale programme for interaction with indigenous peoples, which draws on extensive negotiations with local communities, opinion leaders, and the associations of indigenous minorities in Taimyr. In line with the newly adopted policy, we have recently held discussions in indigenous peoples’ settlements, also attended by international experts. The first-hand feedback will help Nornickel develop initiatives fully reliant on inclusive consultations.
2. Sergey Shestakov, Director of the Lapland State Nature Biosphere Reserve: What nature reserve projects is the Company willing support?
Irina Lukacheva, Senior Manager of the Environmental Policy Division of MMC Norilsk Nickel: The Company will continue to support the ongoing nature reserve projects, while also elaborating individual programmes in cooperation with partner nature reserves, which we believe will result in more fascinating and insightful projects going forward.
3. Nikolay Doronin, Chairman of the Management Board of the Project Office for Arctic Development: How are Norilsk residents involved in discussions about renovation and comprehensive social and economic development?
Vasily Zakharov, Chief Manager of the Federal and Regional Programmes Department of MMC Norilsk Nickel: Numerous surveys and polls have been held in Norilsk by the Norilsk Development Agency and the municipal administration.
Svetlana Ivchenko, Head of the Sustainable Development Department of MMC Norilsk Nickel: The Norilsk Development Agency is a platform for communication and interaction between various stakeholders as regards renovation. In November 2021, we gathered many experts from all walks of life for a strategic session to discuss the long-term city development strategy from a variety of perspectives, including renovation, not to mention other regular stakeholder engagement campaigns which are many.
4. What about the large-scale biodiversity study around production sites? Do you happen to know any specific schedule? When is biodiversity restoration expected to commence?
Irina Lukacheva, Senior Manager of the Environmental Policy Division of MMC Norilsk Nickel: Please see the White Paper for more details on site renovation and the Great Norilsk Expedition. In partnership with the Russian Academy of Sciences, we will be studying the biodiversity situation around all Nornickel’s industrial facilities during the next year, following which we will make findings, give consideration to stakeholders’ recommendations, develop key performance indicators and a system to manage biodiversity preservation.