Proposed UK Minerals Strategy Supplying Demand for the Next Generation

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1 Proposed UK Mineras Strategy Suppying Demand for the Next Generation A Consutation Prepared by the UK Minera Extraction Industry* *This consutation sets out a proposed strategy prepared on behaf of the UK Minera Extraction Industry faciitated by the CBI Mineras Group and the Minera Products Association. The strategy takes account of two previous documents The Future of our Mineras, pubished by the UK Mineras Forum November 2014 and The UK Minera Extraction Industry pubished by the CBI Mineras Group February Stakehoder responses are sought to ensure that the proposed strategy considers a reevant issues so that demand is suppied for the next generation. Responses are sought by 1st Apri Pease repy to Nige Jackson (nige.jackson@mineraproducts.org) or Ken Hobden (ken.hobden@cbi.org.uk). Overview The geoogy of the UK has shaped andscapes, natura habitats, towns and cities and provided essentia energy, non- energy metaic and non- metaic minera resources. Cay has been extracted to make bricks and roof ties. Stone has been quarried to construct magnificent buidings. Mineras suppy energy and the raw materias for manufacturing and construction. Our industria revoution reied upon our minera weath and heped put the Great in Great Britain. Mineras and minera products sti constitute the argest materia fow in our economy. They are fundamenta to our current and future prosperity because they contribute to a of our industries as we as the maintenance of our essentia nationa infrastructure. Fortunatey, we sti have abundant and diverse minera resources and a heathy and productive industry that is committed to suppying both indigenous demand and vauabe export markets. Maintaining suppy depends on securing panning permissions and suitabe trade agreements. Probems are ooming because reserves are not being repenished fast enough and some major extraction permissions wi be coming to an end in the near future. Options for new sites are increasingy constrained by environmenta designations. Unike other forms of deveopment, mineras can ony be dug where they ie. Timey repacement is needed but the ead times for securing new permissions are usuay protracted, party because some minera panning documents are not being kept up-to-date. This makes onger term commercia panning more difficut for operators. Security of suppy from other countries is becoming increasingy uncertain because of internationa competition, the need for new and diverse trade reationships and internationa poitica instabiity. The nation is approaching a potentiay critica time when mineras suppy wi be adversey affected with significant consequences for our whoe industria base if issues are not addressed now. The industry beieves that there is an urgent need for a UK Mineras Strategy to ensure medium and ong-term demand is suppied to support economic growth and deivery of the Government s emerging UK Industria Strategy and the Nationa Infrastructure Deivery Pan. The proposed strategy Ensure an adequate and steady suppy of UK mineras to meet demand Encourage trade and export of UK mineras and reduce risks from internationa insecurity of suppy Safeguard both minera resources and crucia transport infrastructure Mitigate impacts of extraction, processing and transportation Deveop better information for poicy formation Maintain an up-to-date pan-ed system Ensure heath & safety remains a top priority Provide good quaity career opportunities and meet skis needs Improve pubic understanding of the need for mineras Encourage innovation, research and deveopment in the mineras sector Cut and improve red tape particuary in reation to panning and permitting Suppying Demand for the Next Generation 1

2 UK Mineras Forum and CBI Mineras Group reports In 2014, a Government response in Engand to a Seect Committee Report on the Extractive Industries Sector encouraged industry to deveop a strategy (Appendix A). Two reports have heped in this regard. The UK Mineras Forum (UKMF) ooked at the history of UK Minera Extraction and aso ooked forward in its report The Future of our Mineras, pubished in November The key recommendations recognised the need for: A nationa ong-term vision and strategy for UK mineras suppy as an integra part of Britain s future industria strategy Concerted action to hep poicymakers understand the importance of mineras suppy to the UK economy and society Effective review and monitoring by a parties of progress in deivering an agreed mineras strategy, and responding to emerging events to keep it on track Significance of mineras The quaity of ife and economic success of the United Kingdom depends on a heathy environment and our diverse andscapes as we as the sustainabe provision of water, food, energy, non-energy mineras. In voume/tonnage terms mineras and minera products constitute the argest materia fow in the economy, accounting for about 16% of the tota. Non-energy minera extraction is the major part. Annua consumption is typicay around 210 mtpa and approximatey 5 Biion tonnes every 25 years, i.e. each generation. Even so, extraction has a sma footprint of under 0.5% of and area. In contrast, around 33% of UK and mass has some form of restriction on uses. Economic significance of the UK mineras industry (see Appendix B) 210mt 15Bn 68Bn UK Minera Extraction Turnover of minera extraction Turnover of minera products manufacture Continued coaboration between Government and industry to deiver the vision in any Mineras Strategy that might be deveoped Boost the resiience of the UK mineras industry. 5Bn 22Bn 209Bn Gross Vaue Added (GVA) of minera extraction GVA of minera products manufacture GVA of first use markets The CBIMG pubished The UK Minera Extraction Industry in February 2016, which quantified the economic contribution of the industry. These two reports provide usefu information for the preparation of a UK Mineras Strategy. Memberships of the CBIMG and UKMF are isted at the end of this document. 235Bn Tota GVA of minera extraction, product manufacture and first use markets 16% Share of the UK tota economy directy attributabe to mineras 34,000 Peope directy empoyed in minera extraction 4.3m Jobs supported throughout the downstream suppy chain Mineras, after vaue adding processes, are the principa constituents of most construction products; many pharmaceutica, chemica, agricutura, automotive, oi-industry, metaurgica, eectronics, aerospace, pastics, ceramic and paper products and are a fundamenta part of the energy mix. They directy contribute to the UK economy by generating 235Bn in gross vaue added( GVA), 16% of the tota economy. Construction reated mineras and minera products are essentia for housing and infrastructure such as schoos, roads, raiways, airports and food defences. Recycing reduces some requirements but, as this is virtuay maximised, arge quantities of newy dug primary mineras are sti needed and wi form the vast majority of future suppy. Adequate and steady suppy is essentia to the economy and our quaity of ife. Sufficient minera reserves must be secured to support deveopment but with minimum environmenta impacts. The UK has an abundant and diverse minera base but options for indigenous extraction are increasingy constrained by environmenta and socia factors which can threaten ong term competitiveness. Extraction can cause disturbance 2 Suppying Demand for the Next Generation

3 to peope, widife and the andscape, but unike other forms of deveopment, mineras can ony be dug where they ie, extraction is temporary, and sites are restored to sociay and environmentay beneficia after-uses. It makes economic and environmenta sense for essentia mineras which can be obtained from indigenous sources to be extracted to reduce our import dependency of what shoud be seen as strategic materias for our economy, improving our security of suppy and sustainabiity. Trade is nonetheess important for those materias not avaiabe in the UK or where reserves are insufficient to meet demand. But some of our minera resources have been depeted and we do not have indigenous sources of others and therefore some mineras must be imported. As word demand rises and some producer countries restrain trade, concern about security of suppy of certain important mineras increases. Shortages and price increases woud adversey affect the UK economy and manufacturing industry. Conversey, some reativey scarce mineras are exported. There is current internationa interest in investing in the future deveopment of some of our ess-expoited minera resources, with potentia benefits for future trade. The forecasting of suppy required by the and-based panning system needs to take fu account of mineras from marine sources. Access to mineras Adequate access to the UK s minera resources is crucia for our society and economy. An efficient system for converting demand for mineras into permissions to extract is at the core of a more strategic approach. Some oca shortages in mineras suppy, particuary for construction aggregates, the argest component of suppy, are aready evident and are ikey to increase. Aready, indigenous and imported buk mineras are being moved over greater distances, mainy by road, adding to environmenta impacts and costs to society. The icence to operate, i.e. securing panning permission and environmenta permits, is, at present, unnecessariy sow, compex and expensive. 5 to 15 years can eapse between the identification of a potentiay workabe deposit and production, so considerabe ead-time is needed in panning for suppy. Panning and permit costs are typicay between 100k and 1m per deveopment and can be higher for arge scae projects. The cumuative impacts of reguation can be significant and are not we understood by Government. There is a need to cut red tape and improve impementation particuary with regard to panning and permitting. provide an opportunity to review the present range of environmenta reguation based on numerous EU Directives, whist aso seeking opportunities to reduce the present god pating. Over compex and repetitious approva processes aso waste reguators scarce resources whie oca communities and other third parties can strugge to engage and consequenty fee disadvantaged. Panners, reguators and the pubic woud benefit from a ess cumbersome approach that reinstates the primacy of the panning system over other reguatory measures. Panning authorities shoud be propery equipped to continue to administer the system we, as they have done for many years, using resources diverted from other reguatory bodies that have different responsibiities. In the case of the energy intensive sectors of the industry, e.g. cement, ime, brick and ceramic manufacturing, the unnecessariy high costs of permits adds to those aready faced as a resut of the Cimate Change Levy and other carbon mitigation measures, such as EU ETS and UK Carbon Price Foor. Need for a strategic framework Industry and investors need a cear, strategic, supportive and encouraging operating evironment to boost confidence, justify investment and ensure continuity of suppy. Loca communities and other key stakehoders aso require carity about potentia future working and confidence that amenity and environmenta concerns wi be addressed. Most arge UK mineras companies are now foreign-owned, making investment confidence through streamined and simper reguation even more important because they face commercia risks that coud be avoided by investment in other countries. Underpinning the emerging UK Industria Strategy and Nationa Infrastructure Deivery Pan with a mineras strategy wi demonstrate that the UK is open for mineras business and wi enabe deivery of Government s own agenda for the buit environment. It woud hep Government to deveop effective poicies for panning and management to achieve security of suppy of mineras essentia to the UK economy and for industry to deveop export pans. The strategy wi provide a benchmark for assessing impications of the EU Raw Materia Suppy Initiative s Mineras Strategy and Land Use Poicy, soon to be impemented, and strategies beyond the EU that are reevant to future trade agreements after the UK eaves the EU. Devoved administrations have differing approaches to minera panning issues but, there are significant cross boundary minera movements, so common strategic interests exist. Whie the current system ensures that high environmenta standards are maintained and that socia and economic benefits are maximised, it can be wastefu and unjustifiaby expensive. For some minera operators, this can be an unacceptabe commercia risk and discourages investment in new proposas. The Brexit process shoud Suppying Demand for the Next Generation 3

4 The proposed strategy Deivering the strategy The proposed strategy sets out actions to ensure that the need for essentia mineras is met primariy from indigenous resources. It considers and-based minera extraction (incuding coa, which is reguated in the same way as other and-based mineras), and is aso reevant to marine mineras, but excudes oi and gas (which mainy have their own separate poicy and reguatory regimes). It has regard to the scae of the current industry and the contribution that it makes to the UK economy. It deas with future trends, chaenges and opportunities. It wi hep Government, industry and others to dea with essentia suppy issues in good time, whie minimising adverse effects. It shoud aso hep other stakehoders to engage fuy in the panning system and to deveop a better understanding of the industry. The overa principes are to: ensure that an adequate and steady suppy of UK won mineras is permitted for extraction in the UK to meet demand for the ong term through managed suppy, whie maximising recycing and reuse and contributing to a ow-carbon and circuar economy encourage trade and export of UK won mineras and reduce risks from internationa insecurity of suppy safeguard both minera resources and crucia transport infrastructure to ensure sustainabe suppies for the foreseeabe future and avoid encroachment from other types of deveopment mitigate impacts of extraction, processing and transportation and return and to sustainabe beneficia uses expeditiousy deveop better information for poicy formuation through surveys, modeing and forecasting The industry cannot ensure that objectives are achieved without engagement and understanding from others such as Government, panning authorities and reguatory agencies, environmenta NGOs and the wider pubic to maintain a resiient suppy chain for these vita materias. The UK Mineras Forum is the principa interface between the industry and many of these stakehoders and is commended as the forum for future debate and advice. The industry is eager to faciitate discussions on deivery and best practices, initiay by engaging, at officia eve with Government in Engand and, ater, with the devoved Administrations. It beieves that the UK Mineras Forum can pay an important part in that process. An indicative action pan for deivery of the proposed strategy is shown in Appendix C. Concusion The nation is approaching a potentiay critica time when mineras suppy wi be adversey affected with significant consequences for our whoe industria base if issues are not addressed now. The UK Minera Extraction Industry commends this proposed strategy to Government and others for deveopment and monitoring of future economic poicy and use in the mineras panning process. Engagement of stakehoders with the industry wi ensure that the next generation continues to benefit from sustainabe management of our minera resources so that demand can be suppied for the next generation. maintain an up-to-date pan ed system and we resourced panning teams to process panning appications ensure heath & safety remains a top priority and aim to achieve Zero Harm to the workforce, visitors and the pubic through carefu heath and safety practices provide quaity career opportunities and meet skis needs for a we-educated and trained workforce and encourage peope to choose to work in the industry improve pubic understanding of the need for mineras and of minera working and processing through open discussion about their concerns encourage innovation, research, and deveopment in the mineras sector and exporation for and use of resources cut and improve red tape in reation to panning and permitting 4 Suppying Demand for the Next Generation

5 Appendix A: Background For decades, the UK has had no overarching nationa minera strategy, poicy or pan recognising the economic importance of a steady suppy of essentia mineras, from domestic sources or imported. In Engand, the Nationa Panning Poicy Framework (NPPF) is the ony poicy document recognising the significance of mineras within the framework of sustainabe deveopment. Nationa Panning Poicy Framework (Engand) Chapter 13 Faciitating the sustainabe use of mineras (Para. 142): Mineras are essentia to support sustainabe economic growth and our quaity of ife. It is therefore important that there is a sufficient suppy of materia to provide the infrastructure, buidings, energy and goods that the country needs. However, since mineras are a finite natura resource and can ony be worked where they are found, it is important to make best use of them to secure their ong-term conservation In Scotand, Scottish Panning Poicy 4: Panning for Mineras, a andbank poicy is appied to the provision of aggregates because of their importance to the construction industry. It is stated that Minera working provides empoyment in rura areas, bringing associated economic benefits, suppying oca needs and minimising ong distance hauage. The city regions consume the greatest voumes of mineras and panning authorities for a market areas shoud maintain a minimum 10-year suppy of construction aggregates to ensure continuity of suppy, subject to other panning considerations. This, however, is dependent on there being accurate and up to date data an area that Scottish Government acknowedges is probematic, and which has resuted in an independent review being commissioned. The findings have yet to be pubished. Section 2 of SPP4 aso states that The avaiabiity of mineras is essentia to support economic deveopment and prosperity. The mineras industry provides raw materias for construction, manufacturing, agricuture and other speciaist sectors. The Executive recognises the strategic importance of the construction industry to the economy and the need for mineras to serve it. The construction of new buidings and supporting infrastructure a depend to varying degrees on a continuing and steady suppy of construction aggregates. The industry is a significant empoyer in Scotand, providing important direct empoyment opportunities for 3000 peope, many in rura areas. Panning Poicy Waes defines the and use poicy for Waes which is to be taken into account when preparing deveopment pans. Chapter 14, Panning Poicy Waes (Nov 2016): It is ikey that society needs, and wi continue to need for the foreseeabe future, a wide range of mineras. The essentia roe of minera panning authorities2 in reation to minera working is to ensure that a proper baance is struck between that fundamenta requirement, the need to ensure a prudent use of finite resources, and the protection of existing amenity and the environment. Panning Poicy Waes is suppemented by topic-based Mineras Technica Advice Notes (MTANs). MTAN1 (March 2004) provides guidance on the mechanism for deivering the poicy for aggregates by minera panning authorities and the aggregates industry. 7. The overarching objective in panning for aggregates provision therefore is to ensure suppy is managed in a sustainabe way so that the best baance between environmenta, economic and socia considerations is struck, whie making sure that the environmenta and amenity impacts of any necessary extraction are kept to a eve that avoids causing demonstrabe harm to interests of acknowedged importance. Seect committee investigation into the Extractive Industries sector A House of Commons Business Innovation and Skis Seect Committee examined the Extractive Industries Sector in The Government response in Engand decined to set out measures to directy support the UK Minera Extraction Industry, beyond the existing NPPF, but did encourage industry to prepare a strategy. House of Commons Seect Committee for the Department of Business Innovation and Skis Seect Committee report of an investigation into the Extractive Industries Sector (November 2014): The Government has expressed support for the enargement of the UK s domestic extractive sector. However, it is uncear how the Government intends to promote the growth of this sector. We recommend that the Department pubishes a domestic extractives pan setting out the extent and range of its support both structura and financia and how it intends to reaise that ambition. We wecome the Minister s offer to meet with industry and dea with roadbocks. We further recommend that the Government sets out in its response the best mechanism for taking this forward. Government response, Engand (January 2015): There is a variety of work underway as part of the industria strategy. This incudes work on procurement, access to finance, technoogies, skis and sectors as we as reforms to the panning process. We recognise the importance of minera products in suppy chains and these are covered by existing sectoria strategies, particuary in construction. As part of industria strategy, it is important that businesses within each sector come together to identify ong-term priorities for the sector as a whoe. We understand that the Mineras Products Association is deveoping a strategy for the sector and ook forward to discussing the priorities with them. We beieve these represent a coordinated approach to supporting growth in the UK s extractive industries. Suppying Demand for the Next Generation 5

6 Appendix B - Key economic data (Source: The UK Minera Extraction Industry, CBI, 2016) Key Facts 210mt UK minera extraction 15bn 68bn 5bn 22bn 209bn 235bn 16% 34, m Turnover of minera extraction Turnover of minera products manufacture Gross vaue added of minera extraction Gross vaue added of minera products manufacture Gross vaue added of first use markets Tota gross vaue added generated by mineras, incuding minera extraction, products manufacture and first use markets Share of the UK tota economy directy attributabe to mineras Peope empoyed directy in minera extraction Jobs supported through the suppy chain Estimated turnover of UK non-energy mineras and coa (2013) (Source: ONS, ABS, MPA) Peat 162m Sat 413m Sand & grave, industria sand, cays & china cays 7,049m Chemica fertiisers and other mineras 786m Coa & ignite 301m Buiding stone, imestone, gypsum, chak & sate 6,133m Mineras production in the UK (2013) (Source: BGS) Construction mineras Incuding Igneous rock (inc granite) Limestone, doomite & chak (construction uses) Sandstone Sand & grave - Land-won Sand & grave - Marine Sate Gypsum Firecay Cay & shae Industria mineras Incuding Limestone, doomite & chak (industria & agricutura uses) Tota Siica (industria) sand China cay (kaoin) Sat Potassium compounds (potash) Ba cay Peat Other industria mineras (1) Iron ore Tungsten Tin God Siver Zinc Copper Lead Oi (2) Gas Coa (1) Incudes Fuer s earth (bentonite), barytes, fuorspar, tac, cacspar, chert & fint, china stone (fedspar), phosphorus. (2) Non-energy Metas Incuding Energy Incuding Miion tonnes < <0.001 < < Suppying Demand for the Next Generation

7 Vaue of UK mineras production (2011 prices) (Source: BGS) 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1, Coa Limestone, doomite & chak Cay & shae China & ba cay Igneous rock Sandstone Sat Other mineras (1) Sand & grave Siica sand Potash (1) Incudes god, siver, other non-ferrous metas, gypsum & anhydrite and misceaneous mineras. GVA generated by mineras at various stages of the suppy chain (2013) (Source: ABS, ONS, LFS, MPA) Rest of the economy 1,283bn 84% Mineras 235bn 16% First use markets (3) 209bn Notes: (1) Production of raw materias. (2) Manufacture of enabing minera products, eg cement, paper etc. (3) First use markets for minera or minera products, incuding construction. Products manufacture (2) 22bn Mineras extraction (1) 5bn Suppying Demand for the Next Generation 7

8 Productivity by industry, per empoyee (2013) (Source: ABS, ONS, LFS, MPA) Rea estate Mining & quarrying (inc oi & gas) Mining & quarrying (exc oi & gas) Eectricity, gas, steam & air conditioning Financia & insurance Information & communication Water, sewerage, waste Minera extraction & products manufacture (1) Professiona, scientific & technica Administrative & support services UK Economy (A-S) Manufacturing Transport & storage Construction Whoesae & retai trade Pubic administration & defence Other service activities Agricuture, forestry & fishing Education Arts, entertainment & recreation Accommodation & food service Human heath & socia work (1) This is not an officia ONS. Standard Industria Cassification but represents the mineras industry as defined in this pubication. 133, , ,596 81,616 80,749 62,114 55,244 52,097 51,390 50,447 42,988 42,871 42,771 41,545 39,978 33,440 32,883 31,618 28,195 26, , ,318 GVA and empoyment generated by the mineras industry reative to the tota UK economy (2013) (Source: ABS, ONS, LFS, MPA) GVA ( m) 1,600 1,400 1,200 1, Mineras Industry (2) UK Economy (1) GVA Mineras Industry (2) UK Economy (1) Empoyment (1) Sections A-S of the Standard Industria Cassification (SIC 2007). (2) Incudes minera extraction, products manufacture and first use markets Empoyment (m) UK baance of trade in mineras and minera-based products (Source: BGS) Net importer Net exporter Coin other than god Manufacture of metas Non-ferrous metas Iron & stee Non-metaic minera products Misceaneous chemica products Manufactured fertiisers Inorganic chemicas Organic chemicas Coa, coke & briquettes Meta ores & scrap Crude mineras & fertiisers -3,500-3,000-2,500-2,000-1,500-1, ,000 m Suppying Demand for the Next Generation

9 Appendix C - Indicative action pan for deivery of the proposed strategy ISSUES INDUSTRY UNDERTAKES TO: INDUSTRY NEEDS GOVERNMENT AND OTHER STAKEHOLDERS TO RECOGNISE THAT: SUPPLY AND DISTRIBUTION Do the utmost to maintain a steady and adequate suppy of mineras from indigenous sources, if panning permissions are forthcoming, whie recognising that imports sometimes represent the most sustainabe and economic means of meeting demand; Our diverse indigenous mineras are strategicay important and their extraction, processing and use are essentia to the economy and our way of ife, nationa productivity, Nationa Industria Strategy and Nationa Infrastructure Deivery Pan; Promote the need for timey repacement of major permissions for extraction that wi end or expire over the next few decades to avoid any threat to steady and adequate suppy; Promote opportunities for maximising the efficiency of use of a sources of suppy, improving productivity of the industry, identifying and deaing with barriers to investment (incuding energy and abour costs), strengthening the resiience of the suppy chain and increased downstream manufacturing; Promote understanding of threats to internationa security of other mineras, particuary energy and metaic, as background to investment decisions and negotiation of trade agreements. Maximise the reuse and recycing of mineras and minera derived products, incuding secondary aggregates, to maximise the environmenta benefits and contributing to a ow-carbon and circuar economy. Use the most economicay viabe options for transporting minera products to the point of use. Suitabe poicies are needed for the sustainabe suppy of mineras to meet society s needs by deivering sufficient panning permissions for extraction in the UK; There is a need to maximise indigenous production, reduce minera imports and maintain support for exports to counter an increasingy negative baance of trade; Devoved Governments shoud be invoved in the deveopment of a UK strategy because of crossboundary transport of mineras; The contradiction between Government in Engand decining to set out measures that support the UK Minera Extraction Industry (other than the NPPF) whie encouraging the deveopment of an industry-ed strategy; It is important to address risks of reduced security of suppy of essentia imported mineras, particuary energy and metaic, by monitoring and, perhaps, stockpiing; Whie maximising eves of recycing and reuse, newyextracted materias wi aways be the main component of suppy to most sectors of UK industry; TRADE Seek export opportunities for UK won mineras and minera products. SAFEGUARDING Identify minera resources and faciities (road, rai, waterways and coasta freight faciities) that need to be safeguarded from other types of deveopment and excessive use of conservation and heritage designations for ong term security of suppy; Energy Intensive Industries such as cement, ime and ceramics are at risk from carbon and energy poicies. It is important to promote export opportunities for UK won mineras through trade negotiations Effective safeguarding of potentiay workabe minera resources and freight faciities from other forms of deveopment is vita and excessive use of conservation and heritage designation shoud be avoided other than in exceptiona circumstances; Suppying Demand for the Next Generation 9

10 ISSUES INDUSTRY UNDERTAKES TO: INDUSTRY NEEDS GOVERNMENT AND OTHER STAKEHOLDERS TO RECOGNISE THAT: ENVIRONMENTAL IMPACTS Ensure that the environmenta impacts of minera extraction are mitigated to acceptabe eves through the highest standards of operationa working, incuding minimising operationa use of energy, reducing emissions and the need for, and impacts of, ong distance minera transport; Work cosey with environmenta and heritage interests to ensure that assets and andscapes of acknowedged importance are conserved appropriatey and opportunities to improve knowedge of the historic environment are taken where possibe; It is necessary for stakehoders to draw the attention of industry to environmenta concerns and constructivey discuss practica means of deaing with these; A significant proportion of minera resources are within the UK s Nationa Parks and AONBs and that extraction in those areas can often be possibe without detracting from the vaues for which those areas were designated if high quaity management, restoration and after-care are undertaken, and that continuing panning permissions wi need to be permitted in the pubic interest if there are no viabe aternatives; Ensure that a former minera working sites are restored as soon as possibe to beneficia after-uses and have adequate provision for after-care, in consutation with stakehoders, whie enhancing biodiversity, natura capita and geodiversity. That environmenta and heritage permits and schemes shoud be reasonabe, proportionate and consistent; Panning authorities, reguatory agencies and oca communities shoud engage constructivey with the industry in discussions on restoration and after-use options to maximise subsequent benefits. Reiabe nationa and internationa data and improved monitoring, modeing suppy scenarios and forecasting of future demand and trends are needed to strengthen the ink between the need for mineras and industria, deveopment and panning poicy; PLANNING AND ENVIRONMENTAL REGULATION Co-operate fuy and openy with others to ensure that forecasts and strategic pans meet society s need for mineras and assist in strengthening the monitoring, pubication and promotion of data on the economic contribution of the industry; Support the Managed Aggregate Suppy System as the key component of strategic panning for aggregate suppy in Engand and promote both discussions with the Devoved Administrations and expansion to a managed approach for other mineras; The Managed Aggregate Suppy System is the key component of strategic panning for aggregate suppy in Engand that shoud be propery funded, discussed with the Devoved Administrations, and expanded to a managed approach for other mineras; Support proper consideration of the three eements of sustainabe deveopment socia, economic and environmenta in panning for mineras suppy; Making the UK panning and reguatory regimes more supportive of the economic and socia aspects of minera sustainabiity in poicies and decision making is essentia; Promote the need for panning decisions to have primacy over environmenta permitting and improve the interface between these two aspects of reguation because panning takes account of socia and economic factors as we as the environment; The need for panning decisions to have primacy over environmenta permitting and to improve the interface between these two aspects of reguation to achieve sustainabe deveopment by cutting and improving red tape ; Co-operate in the deveopment of mineras panning documents to hep ensure that an effective pan-ed system is in pace with fu pan coverage. The centra importance of the pan-ed system, the urgent need to secure up-to-date minera panning documents and the need to ensure the process is propery resourced and efficienty impemented; Minera Panning Authorities need to be adequatey resourced and, in particuar, staffed with panners having speciaist experience and skis required for deaing with minera matters. Care is needed to heed warnings, foow industry advice, and not enter sites without authorisation. HEALTH AND SAFETY Continue to support achievement of Zero Harm to empoyees, contractors and visitors at a industry operations through safe and heathy working environments and practices, and of the pubic around active and reevant disused sites. 10 Suppying Demand for the Next Generation

11 ISSUES INDUSTRY UNDERTAKES TO: INDUSTRY NEEDS GOVERNMENT AND OTHER STAKEHOLDERS TO RECOGNISE THAT: EDUCATION, SKILLS AND EMPLOYMENT Provide high quaity jobs in mineras extraction, processing and the suppy chain, especiay near operationa sites and in rura areas with imited empoyment opportunities; Counter a decine in the UK mineras industry skis base by ensuring that a empoyees and contractors acquire and maintain practica and technica skis and competences needed to work efficienty and safey in the industry; Encourage peope, particuary students, to consider the mineras industry and mineras reguation as career options through improved education and training in the fieds of mining engineering, quarrying, appied geosciences, minera panning and subjects reated to rehabiitation of sites and to improve inks with schoos, coeges and universities The education and the skis base in the UK minera industry need to be enhanced to demonstrate how minera working can be successfuy integrated in a densey-popuated country with vauabe andscapes; Students shoud be encouraged to consider careers in the mineras industry and mineras reguation as good options through studying fieds such as mining engineering, quarrying, appied geosciences, minera panning and subjects reated to rehabiitation of sites; Provision shoud be made for adequate introductory coverage of mineras issues in schoo curricua particuary in the years before speciaisation. Make representations on the need for adequate coverage of mineras issues in schoo and other curricua. Promote understanding of the need for mineras, their use in society and contribution to socia deveopment through community engagement, education and training by direct contacts and monitoring, pubication and promotion of the economic and environmenta contributions of UK minera extraction. PUBLIC UNDERSTANDING Deveop the minera heritage of the UK in coaboration with reevant stakehoders to provide a nationa network of active and historic minera sites for educationa, heritage and research purposes; Securing better pubic engagement on the benefits of extracting mineras from UK resources is the best route to deveoping a consensus on how best to secure and safeguard suppies; It is important to draw the attention of industry to opportunities to enhance educationa, heritage and research vaue of sites; It is important for stakehoders to engage constructivey with the industry. Promote improved inks and better understanding between the industry and oca communities, schoos, universities and research organisations. Improve the sustainabiity of natura minera resources and recyced mineras through technoogica, operationa and product research, innovation, design and deveopment; RESEARCH, INNOVATION AND DESIGN Encourage exporation for economic minera deposits, when the economic cimate permits, to strengthen the resiience of the mineras suppy chain and identify new options for expoitation. Provision of continuing support for mineras sector research and deveopment is important, especiay on the roe of new technoogy; Provision of continuing support for minera resource use and exporation is an important nationa investment. Suppying Demand for the Next Generation 11

12 Membership of the CBI Mineras Group and the UK Mineras Forum CBI Mineras Group UK Mineras Forum Aggregate Industries British Aggregates Association British Ceramics Confederation British Geoogica Survey* British Gypsum/St.Gobain CEMEX Ceveand Potash/ICL Gerad Eve LLP GVA Hanson Imerys Knights LLP Minera Products Association Mining Association of UK MJCA Nabarro Omya UK Siica and Mouding Sands Association SLR Consuting Stephens Scown LLP Tarmac The Banks Group The Crown Estate* Warde Armstrong LLP British Aggregates Association British Ceramic Confederation British Geoogica Survey Campaign for Nationa Parks Campaign to Protect Rura Engand Confederation of British Industry Mineras Group Department for Business, Energy and Industria Strategy* Department for Communities and Loca Government* Department for Environment, Food and Rura Affairs * Department of the Environment, Northern Ireand* Engish Stone Forum Environment Agency Historic Engand Institute of Materias Mineras and Mining Minera Products Association Mining Association of UK Natura Engand Panning Officers Society Roya Society for the Protection of Birds Scottish Government* The Crown Estate The Nationa Trust The Widife Trusts Wesh Government* WYG *observers This consutation sets out a proposed strategy prepared on behaf of the UK Minera Extraction Industry faciitated by the CBI Mineras Group and the Minera Products Association. For further information, pease contact Nige Jackson (nige.jackson@mineraproducts.org) or Ken Hobden (ken.hobden@cbi.org.uk) Printed on paper from we-managed forests, controed sources and recyced wood or fibre. FSC accredited: TT-COC essentia materias sustainabe soutions