Our approach to industry associations

Industry association memberships provide benefits to South32, including:

• Collaboration, within regulatory requirements, on issues impacting the sectors we operate in;
• Engagement with government, regulators and other stakeholder groups;
• Involvement in development and implementation of industry policy and standards such as safety, health, environment, tailings management and tax;
• Access to appropriate information, knowledge and support on policy, strategic and tactical issues that supports decision-making;
• Opportunities, within regulatory requirements, to network, exchange international best practice and discuss issues; and
• Contribution to industry leadership and development.
  

We have procedures in place to guide membership of industry associations. This includes:

• A valid business case is required that demonstrates consistency with our principles for participation;
• External Affairs and accountable leaders approve memberships based on information presented in the business case. Approval levels vary based on the size, location and scope of membership, and are outlined in our internal procedure;
• The business case must demonstrate that the industry association’s purpose and policy positions are materially aligned with our strategy and values;
• An internal current register of memberships is maintained with associated fees paid;
• Our membership register and any public issues associated with those memberships are reported regularly to our senior leaders; and
• When membership renewals are due, the original business case for joining is validated before renewal is undertaken.
  

We have procedures in place to guide membership of industry associations. This includes:

• A valid business case is required that demonstrates consistency with our principles for participation;
• External Affairs and accountable leaders approve memberships based on information presented in the business case. Approval levels vary based on the size, location and scope of membership, and are outlined in our internal procedure;
• The business case must demonstrate that the industry association’s purpose and policy positions are materially aligned with our  strategy and values;
• An internal current register of memberships is maintained with associated fees paid;
• Our membership register and any public issues associated with those memberships are reported regularly to our senior leaders; and
• When membership renewals are due, the original business case for joining is validated before renewal is undertaken.

Industry associations are by nature representative of similar member interests, but often from varied backgrounds and perspectives, so consensus on all issues is not possible. We support, and believe in, healthy debate and consideration of other viewpoints. We believe this leads to better understanding, cohesion and beneficial outcomes for members and industry.

As a member of an industry association, we retain the right to represent and advocate our own views. If a material policy difference or other misalignment exists within an industry association, we will take the following actions we consider appropriate:

• Inform the association’s leadership, explain our position and seek clarity on their position;
• Explore opportunities for alignment;
• If alignment is not possible, inform the industry association that we will advocate an alternative view; and
• Where the misalignment is material and outweighs the benefits of belonging, South32 will terminate its membership.

Since 2019, we have annually reviewed alignment of our climate change positions with policy and advocacy undertaken by select industry associations we are a member of. Any potential misalignment is managed in line with Our Approach to Industry Associations, including consideration of membership withdrawal where appropriate.  

To ensure continued depth and impartiality, we engaged an external consultant to support our FY25 review. Building on previous assessments, the FY25 review: 

• Evaluated our memberships in the context of our approach to addressing climate change and our Climate Change Positions, using set criteria to define potential areas of misalignment; 
• Focused on a subset of associations actively engaged in climate change policy and excluded associations exited following our divestment of Illawarra Metallurgical Coal; 
• Considered a range of public materials, including traditional and social media, speeches, submissions, website content and public statements, with a focus on activity undertaken during FY25; 
• Drew on additional sources such as external assessments by InfluenceMap, an independent organisation that analyses corporate climate lobbying and advocacy activity; and 
• Was supplemented by ongoing engagement and participation in industry associations throughout the year via committees, working groups and other forums. 

FY25 Industry Associations Review

For the first time, our FY25 review considered the alignment of our own advocacy activities with our Climate Change Positions and found them to be consistent.  

Other key findings of the review included: 

• The climate change policies and advocacy of the majority of associations reviewed were found to align with our Climate Change Positions.  
• Two associations, Asociación Colombiana de Minería (Colombian Mining Association) and National Mining Association (USA), were found to exhibit inconsistencies, primarily relating to energy coal advocacy and positions on the goals of the Paris Agreement.  
• Some associations were found to advocate for the role of natural gas; however, this advocacy was framed within the context of its use as a transitional fuel; and 
• No findings of the review necessitated an assessment of our ongoing membership. 

Other insights from the review that will inform our ongoing engagement with associations include: 

• In South Africa, associations operate within a dynamic ecosystem, with each playing distinct and complementary roles in climate and energy transition advocacy. Hence, some technically based association positions are shaped by mandates, often focusing on operational and economic priorities such as energy supply and pricing, rather than broader climate objectives. 
• Industry associations are instrumental in influencing how the intent of the Paris Agreement is translated into national policy, particularly through their input into the development and revision of nationally determined contributions. Their technical expertise enables the incorporation of sector-specific realities into these commitments, which in turn shape regulatory frameworks, investment flows, and operational practices. 
• A consistent theme is the recognition of government as a key enabler of an orderly and just energy transition. Associations were found to generally advocate for government action to provide policy certainty, regulatory efficiency, and investment incentives. However, depending on the association’s purpose and operating context, the focus of policy advocacy can vary from support for sector decarbonisation and technological innovation to energy reliability and the competitiveness of energy-intensive industries. This reflects a broader demand for clear, stable, and predictable policy frameworks that underpin national energy strategies and support industry sustainability. 

These findings and insights will form part of our ongoing engagement to sustain alignment, raise any concerns as appropriate, and consider our ongoing participation, as outlined in Our Approach to Industry Associations.  

 

Previous alignment reviews:

Summary of alignment with industry associations - FY24
Summary of alignment with industry associations - FY23

We consider the merits of seeking individual appointment or election to industry association boards or executive committees. These positions provide an additional avenue to derive membership benefits as highlighted.

Outside of director responsibilities applying to individual appointments, holding a board or executive committee position in an industry association does not imply a different South32 approach to that of being an ordinary member.

We maintain a register of industry association memberships and associated fees paid. Our material industry association memberships and associated fees are listed at the end of this page.

We undertake a comparison of material policy positions of industry associations of which we are a member to our own position on specific topics (e.g. climate change), which can be found in our Sustainable Development Report.

We regularly review and update our Approach to Industry Associations to reflect stakeholder feedback and industry developments.