Video: EY analyst warns of growing industry pushback against ESG scoring

The mining industry is re-evaluating ESG benchmarking due to its perceived burdensome nature and perceived misalignment with core business objectives, EY Canada’s mining and metals sector leader, Theo Yameogo, says.

“There’s increased pushback against ESG (environmental, social and governance) benchmarking, for various reasons,” Yameogo told The Northern Miner’s western editor, Henry Lazenby, during last month’s Prospectors and Developers Association of Canada’s annual convention in Toronto. “Some I’ve heard say it is too costly, too complex, and really detracts from the core business of doing business.”

On the flip side of the coin, Yameogo touched upon the potential for commodities to earn a green premium based on sustainable and responsible production practices, providing examples where producers have already seen premium pricing for metals produced with a lower carbon footprint, indicating a market shift towards valuing sustainability.

Watch the full interview below.