Modern life relies heavily on minerals, and nickel is a vital component in electric vehicle batteries. The rising demand for electric vehicles has led to consistent year-on-year growth in nickel consumption. Indonesia plays a key role as one of the world’s largest producers and exporters of nickel.
Indonesia possesses the largest reserves and production of nickel, and the price is relatively affordable. However, there is a narrative surrounding business competition and lobbying that distinguishes between “dirty nickel” and “clean nickel.” Is this true?” asked Dr. Ir. Muhammad Hanafi, M.B.A., IPU., Chairman of PROMETINDO, during a Training of Trainers (ToT) session titled “Responsible Business Conduct & ESG Strategy in the Mining Industry,” organized by the Center for Policy and Public Management at the School of Business and Management, Institut Teknologi Bandung (SBM ITB) (May 20).
Hanafi stated that the nickel industry is increasingly demanding the implementation of ESG standards, such as those of the Initiative for Responsible Mining Assurance (IRMA) and the International Council on Mining and Metals (ICMM), because sustainability is now a primary concern in the global electric vehicle supply chain.
Meanwhile, SBM ITB lecturer Dr. Manahan Siallagan discussed “Responsible Business Conduct and ESG Strategy in the Mining Industry” with a case study on “Dirty Nickel.”
Manahan presented the relationship between geopolitics and the mining industry, the green premium concept, and a case-based learning approach to addressing ESG issues in the mining industry.
The forum encouraged participants to recognize that the future of Indonesia’s nickel industry depends not only on the size of its resources but also on how it can develop more sustainably and build global trust.
