Russian Federation aluminium behemoth UC Rusal said yesterday that it has signed an agreement with PJSC Sberbank to collaborate on their Environment, Social and Governance (ESG). The agreement’s ultimate aim is to attain UN Sustainable Development Goals.
The announcement was made at the 2020 Russian and CIS Metals and Mining Industry Joint Summit earlier this week. Rusal says it intends to consult with Sberbank on information regarding sustainable development initiatives, specifically regarding current practices and financial tools and how they may be used to aid existing environmental and social welfare initiatives.
Anatoly Popov, Sperbank’s Deputy Chairman of the Executive Board, noted the importance of this partnership in a related press release.
“RUSAL is a world leading aluminium producer and is one of the most responsible companies with regards to its efforts to minimise its carbon footprint. The ESG agenda is becoming a wholly separate branch of our cooperation. By accomplishing the tasks specified in our agreement we will make a significant contribution to environmental preservation for future generations, improvements in corporate governance and the broader landscape of social responsibility for large businesses as whole. I am sure that the signing of this document is a landmark event not only for Sberbank and RUSAL, but also for developing the “green” economy as a whole.”
Rusal’s Director for Strategy, Business Development and Financial Market Oleg Mukhamedshin explained the role the new agreement plays in his firm’s overall strategy.
“Investment in ‘green’ projects and compliance with ESG principles are two key areas in our company’s whole business operation. We are sure that the agreement with Sberbank will promote not only the company’s dynamic economic development, but also the stronger social and environmental aspects of our business.”
This agreement is the latest in several recent initiatives entered into by the firm aimed at increasing sustainability. Last year Rusal opened a sustainability-linked syndicated pre-export finance facility for over US$1 billion, with interest on the loan tied to sustainability benchmarks set for the firm.