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The carmaker plans to have greater than 7m electrified automobiles on the highway by the tip of this decade, with two thirds of them absolutely electrical. Meaning better sourcing of vital uncooked supplies, akin to these used within the batteries that drive them. These batteries embrace lithium, cobalt and nickel. In addition to the environmental affect of mining these supplies, there are human rights issues associated with some of the areas in which they are mined.
In response to BMW, since 2014 all of its direct suppliers have been contractually obliged to respect human rights, adjust to expanded environmental and social requirements, and to introduce administration programs to advertise occupational security and defend the atmosphere. The carmaker stated these necessities have to be handed on to subcontractors. Mercedes-Benz recently announced similar measures to ensure its battery supply chains are sustainable.
BMW Group Buying has additionally applied measures to make sure cobalt extraction and processing happen in compliance with sustainability requirements and to keep away from issues with working situations, akin to little one labour. The corporate is sourcing cobalt and lithium instantly from the mines and making it accessible to battery cell suppliers, which has the additional benefit of guaranteeing predictable pricing.
“We imagine sustainability is an integral a part of all buying actions,” stated Andreas Wendt, head of the BMW’s buying and provider community. “So, as we accommodate the deliberate progress in electrified automobiles within the provider community, we’re on the identical time integrating our sustainability necessities into all contract awards.”
BMW stated that its buying now focuses on three major areas: compliance with environmental and social requirements, and respect for human rights, safety of pure sources, and the discount of CO2 emissions within the provide chain.
BMW’s buying division is implementing measures past contractual obligations to make the sourcing course of extra clear and moral. It defined {that a} danger filter is used to guage potential provider areas worldwide previous to tenders. Potential suppliers additionally want to stipulate their sustainability actions in an in depth questionnaire. Exterior companions additionally work with inner appraisers to evaluate chosen areas.
“Compliance with the outlined sustainability necessities is a prerequisite for awarding a contract,” stated BMW in a press release. “All through the contract interval, exterior companions work with inner appraisers to confirm compliance with sustainability necessities via questionnaires and audits.”
Similtaneously guaranteeing the sourcing of supplies is extra clear the carmaker outlined the way it was making efforts to restrict their use. In response to the corporate, it has lowered the quantity of cobalt within the cathode materials for the present fifth-generation battery cells to lower than 10%, and elevated the quantity of secondary nickel to as much as 50%. The e-drive used within the BMW iX not requires using uncommon earth minerals, it stated.
Read more about BMW’s efforts to localise battery material supply around the world
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