Rio Tinto responds to investor calls for better climate advocacy

The Australasian Centre for Corporate Responsibility​ (ACCR) is responding to a public statement from Rio Tinto, in which the company gives its support for reforms to the Environment Protection and Biodiversity Conservation Act (EPBC Act) - including support for the “transparent disclosure of project climate emissions”.

Rio Tinto’s statement follows months of pressure on the company from institutional investors, who want to see companies like Rio use positive advocacy to secure better climate policies from government.

In July, it was revealed that Rio Tinto had participated in lobbying the Prime Minister to exclude climate from the EPBC Act. As a result, ACCR disengaged from Rio Tinto on improving its climate-related lobbying.

Now, in light of Rio Tinto’s updated position, ACCR will recommence engagement with Rio Tinto on its climate and decarbonisation opportunities.

Naomi Hogan, Company Strategy Lead at the Australasian Centre for Corporate Responsibility (ACCR) said:

“This outcome demonstrates that activated and informed investors can make an impact on improving a company’s climate-related lobbying.

“ACCR met with Rio Tinto’s major institutional investors who then raised their own concerns directly with Rio Tinto. Investor pressure played a crucial role in prompting Rio Tinto to update its position on the EPBC Act.

“Investors are increasingly looking for companies to lead on decarbonisation and to support stronger climate policies. By listening to investors, Rio Tinto now has the opportunity to rebuild trust and demonstrate leadership by ensuring that its advocacy aligns with its public commitments on climate.”