AVRA’s Environmental, Social and Governance (ESG) strategy and plan ensures that the company considers urgent global climate, environmental and social issues and supports Asia Pacific’s transition to a lower carbon energy mix, to reflect commitments under the Paris Agreement of the United Nations Framework Convention on Climate Change (UNFCCC).
Developing a low carbon economy in the region will require time, resources, and effort. This is a particularly important consideration for Asia Pacific, with the region currently relying on coal for almost half of its energy mix coupled with its growing need for energy over the next 30 years.
Success will depend on policy, regulation, and investment to incentivise the transition, reducing the use of fossil fuels and adopting renewable and new forms of energy such as hydrogen.
Our approach is to continue to closely monitor developments and work within government frameworks and regulation as they develop. We aim to align with best practices in our industry to support national, regional and global objectives, ensuring our business strategy is appropriate and responsive to the changing operating environment.
Short- and medium-term
In the short and medium term, thermal coal in the region will remain in high-demand, and an important element to support energy transition plans.
AVRA is committed to helping meet Asia Pacific’s demand for coal over this time frame. At the same time, we will ensure we understand our climate impacts and, consequently, ensure that our business strategy mitigates those impacts as much as possible by implementing high standards of governance and supply chain management.
Long-term
In the long-term, coal dependence in the region will decline and we will prepare to adapt our business to ensure it is sustainable and supportive of the transition, identifying opportunities for diversification of the commodities we trade.