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- + \ No newline at end of file diff --git a/assets/js/4152776b.2d40f6f4.js b/assets/js/4152776b.a525379f.js similarity index 53% rename from assets/js/4152776b.2d40f6f4.js rename to assets/js/4152776b.a525379f.js index 4166e078..df2748e9 100644 --- a/assets/js/4152776b.2d40f6f4.js +++ b/assets/js/4152776b.a525379f.js @@ -1 +1 @@ -"use strict";(self.webpackChunkproject_crm_website=self.webpackChunkproject_crm_website||[]).push([[331],{5318:(e,t,a)=>{a.d(t,{Zo:()=>c,kt:()=>m});var i=a(7378);function n(e,t,a){return t in e?Object.defineProperty(e,t,{value:a,enumerable:!0,configurable:!0,writable:!0}):e[t]=a,e}function r(e,t){var a=Object.keys(e);if(Object.getOwnPropertySymbols){var i=Object.getOwnPropertySymbols(e);t&&(i=i.filter((function(t){return Object.getOwnPropertyDescriptor(e,t).enumerable}))),a.push.apply(a,i)}return a}function l(e){for(var t=1;t=0||(n[a]=e[a]);return n}(e,t);if(Object.getOwnPropertySymbols){var r=Object.getOwnPropertySymbols(e);for(i=0;i=0||Object.prototype.propertyIsEnumerable.call(e,a)&&(n[a]=e[a])}return n}var s=i.createContext({}),p=function(e){var t=i.useContext(s),a=t;return e&&(a="function"==typeof e?e(t):l(l({},t),e)),a},c=function(e){var t=p(e.components);return i.createElement(s.Provider,{value:t},e.children)},d={inlineCode:"code",wrapper:function(e){var t=e.children;return i.createElement(i.Fragment,{},t)}},u=i.forwardRef((function(e,t){var a=e.components,n=e.mdxType,r=e.originalType,s=e.parentName,c=o(e,["components","mdxType","originalType","parentName"]),u=p(a),m=n,h=u["".concat(s,".").concat(m)]||u[m]||d[m]||r;return a?i.createElement(h,l(l({ref:t},c),{},{components:a})):i.createElement(h,l({ref:t},c))}));function m(e,t){var a=arguments,n=t&&t.mdxType;if("string"==typeof e||n){var r=a.length,l=new Array(r);l[0]=u;var o={};for(var s in t)hasOwnProperty.call(t,s)&&(o[s]=t[s]);o.originalType=e,o.mdxType="string"==typeof e?e:n,l[1]=o;for(var p=2;p{a.r(t),a.d(t,{assets:()=>s,contentTitle:()=>l,default:()=>d,frontMatter:()=>r,metadata:()=>o,toc:()=>p});var i=a(5773),n=(a(7378),a(5318));const r={title:"Terms of Reference"},l=void 0,o={unversionedId:"deliverables/ToR",id:"deliverables/ToR",title:"Terms of Reference",description:"Project Purpose",source:"@site/docs/deliverables/ToR.md",sourceDirName:"deliverables",slug:"/deliverables/ToR",permalink:"/project-crm/docs/deliverables/ToR",draft:!1,editUrl:"https://github.com/uncefact/project-crm/edit/main/website/docs/deliverables/ToR.md",tags:[],version:"current",frontMatter:{title:"Terms of Reference"},sidebar:"tutorialSidebar",previous:{title:"Project Delivery",permalink:"/project-crm/docs/deliverables/"},next:{title:"Project Management",permalink:"/project-crm/docs/deliverables/management"}},s={},p=[{value:"Project Purpose",id:"project-purpose",level:2},{value:"Project Objectives",id:"project-objectives",level:2},{value:"Principles",id:"principles",level:2},{value:"Governance",id:"governance",level:2},{value:"Participant types",id:"participant-types",level:2},{value:"Scope & Areas of Focus",id:"scope--areas-of-focus",level:2},{value:"Technology interoperability standards",id:"technology-interoperability-standards",level:3},{value:"Sustainability criteria equivalency mapping standards",id:"sustainability-criteria-equivalency-mapping-standards",level:3},{value:"Legal/ethical considerations",id:"legalethical-considerations",level:3},{value:"Implementation",id:"implementation",level:3},{value:"Working groups",id:"working-groups",level:2},{value:"Deliverables",id:"deliverables",level:2},{value:"Criteria for assessing deliverables.",id:"criteria-for-assessing-deliverables",level:2},{value:"Criteria for assessing implementation.",id:"criteria-for-assessing-implementation",level:2},{value:"Work plan, including activity schedules",id:"work-plan-including-activity-schedules",level:2}],c={toc:p};function d(e){let{components:t,...r}=e;return(0,n.kt)("wrapper",(0,i.Z)({},c,r,{components:t,mdxType:"MDXLayout"}),(0,n.kt)("h2",{id:"project-purpose"},"Project Purpose"),(0,n.kt)("p",null,"The purpose of this project is to create for the trusted exchange of supply chain sustainability information between traceability platforms in a scalable, high integrity, low cost, and privacy-preserving manner. 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About this project

Critical raw materials sustainability & resilience​

In line with the UN sustainability goals and building on the success of the UNECE Textile & Leather traceability project, this project seeks to develop a traceability and sustainability framework for critical raw materials (CRM). This project supports the UN focus on extractive industries and builds on the UN/CEFACT role & capabilities to deliver digital standards for sustainable supply chains.

The purpose of this project is to combat greenwashing and uplift verifiable critical raw materials supply chain sustainability and resilience.

  • Sustainable supply chains are designed to minimize environmental impacts and maximise human welfare.
  • Resilient supply chains are designed to avoid risky dependencies and can withstand disruptions.

Both goals are met through digitising traceability and transparency at scale. In order to scale from pilots to global scale production volumes, this project focuses on two key challenges

  • Interoperability: There are different types of supply chain traceability platforms on the market. Since they will not lead the world’s supply chains, end-to-end traceability will depend on standards-based interoperability between platforms. This project will define interoperability standards and implementation test services in which supply chain actors can pick any compliant platform.
  • Core Vocabulary: There are already hundreds of ESG standards or related criteria as well as several emerging regulatory criteria specific to geographic or industrial sectors. This complexity imposes challenges for supply chain actors who must understand how their domestic sustainability measures map to the standards or regulatory criteria of their export markets. This project will focus on the mapping of current ESG standards by developing a core vocabulary of criteria and a legal framework for mutual recognition.

Greenwashing​

Greenwashing is a term used to describe a false, misleading, or untrue action or set of claims made by an organization about the positive impact that a company, product or service has on the environment or on social welfare.

The evidence from multiple research activities is that greenwashing is already endemic with around 60% of claims being proven to be false or misleading. But there is room for optimism because around 70% of consumers expect higher integrity behaviour and are willing to pay for it. There are two plausible pathways ahead of us.

race to the top or bottom

To win the race to the top, fake claims need to be hard to make. The best way to achieve that is to make supply chains traceable and transparent so that unsustainable practices have nowhere to hide. But, to have any impact, the traceability and transparency measures must be implemented at scale. The world's supply chains must move beyond low-volume traceability pilots and "walled garden" proprietary solutions to the point where verifiable traceability and transparency information is available to motivate consumers for the majority of products on the market.

Therefore, scalability and associated evidence of high-volume production implementation is this project's key measure of success. We will be able to claim a moderate level of success for the pilot implementation phase if we have evidence that:

  • at least 50 different CRM supply chain actors
  • using at least 5 different software platforms
  • across at least 5 different value chains
  • spanning at least 5 different countries
  • can reveal transparent supply chain evidence for at least 10,000 consignments.

To win the race to the top, fake claims need to be hard to make. The best way to achieve that is to make supply chains traceable and transparent so that unsustainable practices have nowhere to hide. But, to have any impact, traceability and transparency measures must be implemented at scale. The world’s supply chains must move beyond low-volume traceability pilots and "walled garden" proprietary solutions to the point where verifiable traceability and transparency information is available to motivate consumers for most products on the market.

This is still a tiny fraction of actual global trade volumes but is probably sufficient to prove that the framework is scalable.

Participation​

This project will be of interest to primary producers, manufacturers, regulators, ESG standards authorities, certifiers, and ESG/traceability software solution vendors.

Under the UN/CEFACT Open Development Process (ODP), participation in this project is open to all. There are three types of participation:

  • Observers: Anyone who is interested in following the activities and outcomes from this project but will not be actively contributing to the standards development work nor participating in pilot implementations. Observers may join the conversation on our Slack channel and/or subscribe to our monthly project newsletter.
  • Contributors Anyone who is able to provide the skills and commitment to contribute to standards development. Participants in this category should either have deep business domain knowledge in CRM supply chain sustainability or technical skills in decentralized architectures and data modeling. As a contributor, you must conform to UN/CEFACT IPR policy and must join UN/CEFACT as a registered expert. Note that this will require the approval of your country's head of delegation.
  • Implementers: Any CRM supply chain actor (e.g. producer, manufacturer, certifier, software vendor) that wishes to participate in early pilots and/or certify their software against the standards defined by this project.

Please email the project lead if you wish to participate as a contributor or implementer.

Reference material​

Frequently Asked Questions

1. What are critical raw materials (CRMs)?​

Critical minerals are metals and non-metals, such as cobalt or lithium, that are considered essential to the economy and whose supply may be at risk due to geological scarcity, geopolitical issues, trade policy or other factors.

2. Why do CRMs require high levels of traceability?​

Due to their scarcity and concentration in select geographic regions, many countries rely on the import of CRMs, creating a high supply risk. Critical minerals receive increased pressure for traceability in accordance with international climate regulation, and digital technology has been identified as a valuable tool to support these initiatives.  

3. What is the UN/CEFACT Critical Raw Materials Traceability and Sustainability Project?​

Critical raw material (CRM) producers provide essential materials like lithium, cobalt, copper, and graphite to countries across the world. CRM supply chains are often long and complex, involving multiple organizations and crossing several international borders as materials move from raw material extraction to finished products.

Globally, sustainability data is held on various platforms using differing standards. CRM producers are increasingly being asked to meet a range of evolving domestic and international requirements to satisfy regulatory and consumer demand. There are many supply chain traceability solutions on the market, but most do not allow data to be shared between them. CRM producers need an efficient and trustworthy way to prove their sustainability performance along international supply chains.

The UN/CEFACT Critical Raw Materials Traceability and Sustainability Project (CRM Project) is connecting experts from across the world to research current international sustainability standards and reporting platforms. The project will use this research to identify ways to improve compatibility between current sustainability standards and digital tools and create a framework for international data exchange that increases trust and traceability.

With simple and secure methods to prove their sustainability performance, actors along CRM supply chains are better positioned to compete in global markets that prioritize sustainable goods, encouraging a wider adherence to responsible mining practices.

4. What is the CRM Project trying to achieve?​

The CRM project seeks to make CRM supply chains more sustainable and resilient by improving transparency and traceability.

  • Sustainable supply chains minimize environmental impacts and maximise human welfare.
  • Resilient supply chains avoid risky dependencies and can withstand disruptions.

The CRM Project aims to create standards for:

  1. Compatibility between digital tools and reporting platforms;
  2. Identifying areas of consensus within existing sustainability certifications.

These standards will enable data to be exchanged internationally, making it easier to prove where and how critical raw materials are extracted and used.

5. Who is hosting the CRM Project?​

The CRM project is hosted by the UN Centre for Trade Facilitation and Electronic-Business (UN/CEFACT).

Building on the success of the Textile and Leather Traceability project, the CRM project unites organizations from around the world, and all organizations are welcome to participate.

6. What is the timeline for the CRM Project?​

The CRM project has been divided into several phases of work:

TimingProject Stage
May 2023Project Inception
June 2023Call for Participation
July 2023 - January 2024Business Requirements Research and Specification
November 2023 - February 2024Development of the following deliverables: Draft Sustainability Vocabulary and Credential Schema, Test Suite, and Implementation Guide; Pilots – Engagement to inform the above deliverables
March 2024 - September 2024Pilots - Implementation of vocabulary, schema, and test suite
July 2024UN Policy Recommendation
October - November 2024Public Draft Review
December 2024Project Exit

7. How is the CRM Project aligning with existing initiatives?​

The CRM project embraces all environmental, social, and governance (ESG) platforms, standards, and regulations. Our environmental scan illustrates the broad range of platforms, standards, and regulations that inform the project work.

The CRM project will not create a new traceability platform, nor will it define new sustainability standards. Instead, this project is focused on increasing the compatibility and identifying points of consensus between existing tools and standards.

We welcome participation from CRM supply chain participants, technology providers, standards authorities, and regulators to ensure that their work is considered as the project examines tools and regulations across jurisdictional boundaries.

The CRM project will undertake analysis to understand legal and governance considerations related to supply chains. This research will include considerations of how audit and verification processes are connected and recognized across multiple jurisdictions.

9. What is the scope of work for the CRM project?​

The CRM project covers a broad spectrum of environmental, social, and governance (ESG) concerns as they relate to both regulatory purposes and consumer demand.

Existing initiatives, such as the Global Battery Alliance, have identified a range of issues that are valuable to regulators and consumers. The CRM project will build on the work of existing initiatives to focus on areas of work that are of the highest priority for the global community.

The CRM project will not recreate or reinvent ESG standards or traceability solutions. Rather, this work will focus on mapping between existing standards and providing a framework for determining points of convergence. This includes primary production to finished product, encompassing all stages of supply chain exchange.

10. Which digital platform will the CRM project use?​

The CRM project will not identify a single platform or technical solution. There are thousands of platforms for the exchange of sustainability data worldwide, and the challenge being explored cannot be solved with a single tool. Our focus is on the exchange of trusted data between many users across various platforms.

Technology vendors are welcome to participate in the project through voluntary contributions to standard development and implementation testing. This offers the opportunity to be listed as a compliant vendor by UN/CEFACT.

11. Why is the CRM Project focused on decentralization?​

In the journey from extraction to final product, information about a critical mineral shipment crosses multiple countries, sectors, and technology platforms.

Successful global scale data exchange is reliant on:

  • a range of interoperable tools, and,
  • consensus on data standards and policies.

While the CRM project aims to identify tools and standards for critical raw material supply chains, there are examples of this model at work for other purposes worldwide today, demonstrating the viability of this model.

For example, a traveler with a Canadian passport can enter Australia without the need for an Australian passport. There are existing policies in place that enable the Canadian passport to be recognized by Australian border patrol. There is no need for a single, central database of global passports since the standards between Canada and Australia are mutually recognizable.

12. How can I participate in the CRM Project?​

There are three ways that organizations across the world can get involved:  

  • Contributors participate in meetings, draft key deliverables, and support policy recommendations.  
  • Observers join meetings, receive emails, and participate in the Slack chat to stay informed on project progress.  
  • Implementers will test and offer feedback on project standards and deliverables after drafts are completed.  

13. What is the time commitment for participation? ​

Participation in the CRM project is voluntary, meaning that we welcome as much or as little time as participants are able to commit. The average expected time commitment depends on the level of participation:

  • Contributors – 4-8 hours per week.
  • Observers – As needed.
  • Implementers – 4-8 hours per week, during the implementation phase.

14. How will my contributions be used?​

Contributors to the CRM Project will register as UN Experts. We are happy to assist you with this process if you are not already registered. All contributions made to this project are the intellectual property of the UN.

Ideas, deliverables, or language developed as part of this project cannot be commercialized or patented.

15. What value will I receive from participating in the CRM Project?​

This project offers value to many different sectors, but will be of particular interest to:

  • Primary Producers & Manufacturers: Digital technology has the potential to reduce the administrative burden of sustainability reporting, streamline business processes, and lower the cost of ESG compliance. Using interoperable technology, CRM producers can share information about their sustainable practices in seconds. By proving their ESG performance, CRM producers are better positioned to compete in global markets that prioritize sustainable goods.
  • Certifiers, Auditors, and Standards Setters: As more companies are incentivized to comply with ESG regulations, the demand for sustainability audits will increase. Current certifications, standards, and audit reports will become more valuable as they become globally recognized.
  • Software Providers: Technology platforms that are compatible with other platforms offer higher value to customers who need to exchange credentials internationally.
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Terms of Reference

Project Purpose​

The purpose of this project is to create for the trusted exchange of supply chain sustainability information between traceability platforms in a scalable, high integrity, low cost, and privacy-preserving manner.

Project Objectives​

  • We aim to facilitate and prove scalable technical interoperability (data portability). We are not creating another traceability platform nor are we planning to pick any winners.
  • We aim to scale mutual recognition of sustainability standards and jurisdictional regulations through equivalency mapping and creating (or building on existing) frameworks for determining points of convergence. We are not defining new sustainability standards.

Principles​

  • UN/CEFACT Open Development Process is consensus driven, collaborative, open and transparent.
  • Aligned to UN SDGs (United Nations Sustainable Development Goals).
  • The project will define and deliver practical, useful ways to add value. We will build real useable tools that facilitate global implementations.
  • The project will build upon related work already completed and underway by UN/CEFACT and other organizations and initiatives.

Governance​

  • Project Lead (Nancy Norris): The Project Lead will coordinate the planning, implementation and monitoring of activities. The Project Lead will facilitate the implementation of the project in all its stages and provide leadership in alignment with the UN/CEFACT’s goals throughout the context of the project.
  • Lead Editor (Steven Capell): The Lead Editor will collate (and edit as necessary) contributions from team members / sub-editors. If there are conflicting opinions on a topic from the team, the lead editor will seek consensus wherever possible and make decisions as a design authority between possible options in accordance with the project goals & principles.
  • Sub Working Group Leads: Each work stream will have an associated sub working group with a lead. The Working group lead is responsible for organizing meetings, consolidating the working groups’ contribution to the draft deliverables, and reporting on progress to the Contributors Working Group on a bi-weekly basis.
  • UN/CEFACT Bureau & Secretariat: The UN/CEFACT Bureau collectively represents the community of, the members of and contributors to UN/CEFACT. It works on the development of the Centre and its recognition at the international level as the reference entity for global Trade Facilitation and Electronic Business. The Secretariat supports the UN/CEFACT program of work.
  • Heads of Delegation: Heads of Delegation represent their member States on a standing basis, as well as to provide a mechanism to ensure effective public-private partnership in this UNECE programme and its monitoring by member States.

Participant types​

  • Observer: Participants who are not active contributors but nevertheless want to maintain a watching brief on the UN/CEFACT project.
  • Contributor: Contributors to the development of the digital standards or policy recommendations that are the output of this project.
  • Early Implementer: Supply chain actors or their software providers that wish to be early implementers of the standards defined by this project.

Scope & Areas of Focus​

Contributor activities have been scoped to ensure project deliverables add value, are not duplicative and are informed (by other related projects).

Technology interoperability standards​

  • Focus: Research and develop standards for technological interoperability between global CRM (Critical Raw Materials) supply chains.
  • Expertise required: Expertise in technological interoperability between supply chains, experience building open standards and contributing to interoperability solutions (i.e. blockchain or otherwise). Experience leading research projects related to verification, digital fingerprinting, traceability of materials within supply chains.

Sustainability criteria equivalency mapping standards​

  • Focus: To define how sustainability information criteria will be exchanged along the supply chain, developing an understanding of equivalency across borders and unique supply chain systems.
  • Expertise required: Expertise in the development of sustainability standards, mining performance certifications, and efforts focused on improving the overall sustainability and social impact of supply chains.

Legal/ethical considerations​

  • Focus: To understand legal and governance considerations related to supply chains, including audit/verification processes are connected and recognized across multiple jurisdictions. Scope will include
  • Legal enforcement of false claims
  • Mutual recognition of laws along the supply chain
  • Expertise required: Law professionals, especially those focusing on conflict of law on free trade agreements. Professionals with experience in privacy law, information sharing agreement law, and security of digital information regulatory compliance.

Implementation​

  • Focus: As standards are developed, the implementation pilots will test them along various supply chains (copper, graphite, lithium, cobalt).
  • Expertise required: Requires technical expertise to apply and integrate specific supply chain standards developed throughout the project into solutions/technology systems.

Working groups​

The Contributors working group consists of members who indicated their willingness to participate and have sufficient expertise. This working group will meet on a bi-weekly basis. -Each area of focus will have an associated sub-working group, or workstream, with a lead. The leads will be selected from those who have indicated their interest using the following criteria:

  • Capability (must have sufficient domain knowledge to do the job)
  • Capacity (must be able to allocate sufficient time to do the job) and
  • Neutrality (must be acceptable as independent / non-competitive to all team members)

Workstreams will meet as needed in order to contribute meaningfully towards the development of draft deliverables. Workstream leads will report on their progress to the Contributors working group at the bi-weekly meeting. Workstreams (sub-groups) include:

  1. Traceability Interoperability - Zachary Zeus
  2. CRM Sustainability Claims Mapping - Kim Swanzey
  3. Implementation Pilot - Lithium supply chain originating in Australia - Prokopiy (Prok) Vasilyev
  4. Implementation Pilot - Copper supply chain originating in Canada - TBD
  5. Implementation Pilot - Cobalt supply chain originating in DRC - TBD
  6. Legal Analysis - Required for all workstreams - Dr. Jeanne Huang

Deliverables​

This project will deliver a suite of materials that support government policy makers, CRM industry actors, and traceability technology providers. The blue colured deliverables are expected to be re-usable across other supply chain domains such as garmets & footwear and agri-food. The yellow coloured deliverables are specific to the critical raw materials domain.

deliverables

Each deliverable is described on this website.

Criteria for assessing deliverables.​

  • Affordability : Affordability of the deliverable is defined as how many adopters along the supply chain are able to invest in and implement the recommendations without prohibitive cost.
  • Reliability : The standards and recommendations developed and implemented by this group must be reliable across different supply chain ecosystems and jurisdictions.
  • Accommodability: Deliverables are assessed on their ability to accommodate multiple supply chain solutions across jurisdictions through maintaining a technologically agnostic approach.
  • Scalability: Deliverables will be assessed based on their ability to scale across multiple jurisdictions, legal frameworks, regulatory environments, and technological limitations.
  • Alignment to SDGs: Deliverables will be assessed based on their alignment with the UN SDGs.
  • Privacy-preserving : Deliverables will be assessed on information security and privacy preserving characteristics.
  • Transparency-creating: Deliverables are assessed on their ability to further transparency and trust along supply chains.

Criteria for assessing implementation.​

The ultimate goal of this project is to facilitate the scalable uptake of digital traceability & transparency measures across the international supply chain. Delivery of standards is only a necessary milestone towards real production implementations. Therefore, this project will only be considered successful when:

  • at least 50 different CRM supply chain actors
  • using at least 5 different software platforms
  • across at least 5 different value chains
  • spanning at least 5 different countries
  • can reveal transparent supply chain evidence for at least 10,000 consignments

This is still a tiny fraction of actual global trade volumes but is deemed sufficient to prove that the framework is scalable.

Work plan, including activity schedules​

DeliverablesExpected timeline
Project Inceptionmonth 1
Call for participationmonth 1
Business requirements specificationsmonth 3 - 6
sustainability vocabulary, Credential schemamonths 4 - 8
Implementation guide, Test suitemonths 6 - 9
Pilots - engagementmonths 2 - 6
Pilots - implementationmonths 6 - 18
UN Policy recommendationdue month 12
Public Draft Reviewmonth 16 - 17
Project Exitmonth 18
- +Each area of focus will have an associated sub-working group, or workstream, with a lead. The leads will be selected from those who have indicated their interest using the following criteria:

  • Capability (must have sufficient domain knowledge to do the job)
  • Capacity (must be able to allocate sufficient time to do the job) and
  • Neutrality (must be acceptable as independent / non-competitive to all team members)

Workstreams will meet as needed in order to contribute meaningfully towards the development of draft deliverables. Workstream leads will report on their progress to the Contributors working group at the bi-weekly meeting. Workstreams (sub-groups) include:

  1. Traceability Interoperability - Zachary Zeus
  2. CRM Sustainability Claims Mapping - Kim Swanzey
  3. Implementation Pilot - Lithium supply chain originating in Australia - Prokopiy (Prok) Vasilyev
  4. Implementation Pilot - Copper supply chain originating in Canada - TBD
  5. Implementation Pilot - Cobalt supply chain originating in DRC - TBD
  6. Legal Analysis - Required for all workstreams - Dr. Jeanne Huang

Deliverables​

This project will deliver a suite of materials that support government policy makers, CRM industry actors, and traceability technology providers. The blue colured deliverables are expected to be re-usable across other supply chain domains such as garmets & footwear and agri-food. The yellow coloured deliverables are specific to the critical raw materials domain.

deliverables

Each deliverable is described on this website.

Criteria for assessing deliverables.​

  • Affordability : Affordability of the deliverable is defined as how many adopters along the supply chain are able to invest in and implement the recommendations without prohibitive cost.
  • Reliability : The standards and recommendations developed and implemented by this group must be reliable across different supply chain ecosystems and jurisdictions.
  • Accommodability: Deliverables are assessed on their ability to accommodate multiple supply chain solutions across jurisdictions through maintaining a technologically agnostic approach.
  • Scalability: Deliverables will be assessed based on their ability to scale across multiple jurisdictions, legal frameworks, regulatory environments, and technological limitations.
  • Alignment to SDGs: Deliverables will be assessed based on their alignment with the UN SDGs.
  • Privacy-preserving : Deliverables will be assessed on information security and privacy preserving characteristics.
  • Transparency-creating: Deliverables are assessed on their ability to further transparency and trust along supply chains.

Criteria for assessing implementation.​

The ultimate goal of this project is to facilitate the scalable uptake of digital traceability & transparency measures across the international supply chain. Delivery of standards is only a necessary milestone towards real production implementations. Therefore, this project will only be considered successful when:

  • at least 50 different CRM supply chain actors
  • using at least 5 different software platforms
  • across at least 5 different value chains
  • spanning at least 5 different countries
  • can reveal transparent supply chain evidence for at least 10,000 consignments

This is still a tiny fraction of actual global trade volumes but is deemed sufficient to prove that the framework is scalable.

Work plan, including activity schedules​

DeliverablesExpected timeline
May 2023Project Inception
June 2023Call for Participation
July 2023 - January 2024Business Requirements Research and Specification
November 2023 - February 2024Development of the following deliverables: Draft Sustainability Vocabulary and Credential Schema, Test Suite, and Implementation Guide; Pilots – Engagement to inform the above deliverables
March 2024 - September 2024Pilots - Implementation of vocabulary, schema, and test suite
July 2024UN Policy Recommendation
October - November 2024Public Draft Review
December 2024Project Exit
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Project Delivery

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Project Delivery

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Project Management

Call Schedule​

  • Workstream Leadership calls: Microsoft Teams Meeting Link; Meeting ID 229 018 415 830 and Passcode: NqSYnV
    • Traceability Interoperability Workstream: Zoom Meeting Link; Meeting ID: 811 2916 4487 and Passcode: 094449
    • Sustainability Vocabulary Mapping Workstream: Microsoft Teams Link; Meeting ID 337 823 397 892 and Passcode: xueW73
    • Legal/Ethical Workstream: Zoom Meeting Link
    • Lithium (AUS) Pilot Implementation: TBA
    • Copper (CAN) Pilot Implementation: TBA
    • Cobalt (DRC) Pilot Implementation: TBA
- + \ No newline at end of file diff --git a/docs/pilots/CRM-requirements/index.html b/docs/pilots/CRM-requirements/index.html index 641df041..d55f0021 100644 --- a/docs/pilots/CRM-requirements/index.html +++ b/docs/pilots/CRM-requirements/index.html @@ -4,14 +4,14 @@ CRM Traceability Requirements | Critical Raw Materials - +

CRM Traceability Requirements

info

Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Introduction​

Some words about sustainability & resilience and the need for digital traceability and transparency. Greenwashing challenge & race to the top/ race to the bottom paths ahead

Document Purpose​

To provide the context and guide-rails for the pilot implementations in the CRM domain.

Audience​

The audience for this document include

RoleRationale
Mining operators
Refiners & manufacturers
ESG standards & certifiers
Software vendors
Regulators

Document Context​

TBA

Project Context​

Some words about how this project fit together with and complements other UN work

  • UN SDGs, criteria, indicators & tools. They are national level, our project is entity & product level.
  • Other UNECE traceability & transparency domains (textile & leather, agro-food). We build on common foundations.
  • UN/CEFACT trade vocabularies & standards – we use and, where necessary, extend them.
  • Industry standards (eg GS1 EPCIS) – we use established and relevant standards wherever they exist (so long as they are open & free) and do not re-invent them.
  • Global sustainability standards and regulations – we map them but do not re-invent them.

Design Principles​

Some words about key design principles. For example,

  • simple and implementable always wins over expansive & complex.
  • open and free is a fundamental requirement.
  • collaboratively developed encourages buy-in
  • decentralised over centralised will always be more scalable.

Design Challenges​

Some words about the key challenges that scalable digital traceability & transparency faces. The design must solve these challenges. For example

  • greenwashing
  • plethora of platforms – so we must focus on in interoperability, not picking winners.
  • plethora of standards – so we must focus on mapping between them to maximise reuse.

Scope​

Some words about the scope of this requirements document.

  • Critical Raw Materials supply chain business modelling (actors, processes, products, etc) for at least 3 minerals.
  • Extensions as necessary to traceability standards
  • Mappings as necessary for CRM standards & regulations.
  • Legal and ethical considerations (mutual recognition, disputes, etc)

The Critical Raw Materials Value Chain​

Setting out the language of the domain.

Actors​

List of actors – miners, processors, manufacturers, certifiers, etc Processes

General processes – mining, concentrate, refining, component manufacturing, finished product, lifetime of use, recycling.

Lithium​

Specifics for Lithium

Cobalt​

Specifics for Cobalt

Copper​

Specifics for Copper

Nickel​

Specifics for Nickel

Rare Earths​

Specifics for Rare Earths

EV Batteries​

Value chain from minerals to batteries (EV and household /community storage)

Solar Panels​

Value chain from minerals to solar panels (industrial generation and household)

Traceability Requirements​

Data Model​

Reference the generic traceability & transparency models and specify any extensions.

Vocabulary​

Reference the generic ESG vocabulary and specify CRM specific extensions.

Identifier Schemes​

Reference generic identifier schemes and specific any industry specific requirements.

Trust Anchors​

Identify Specific trust anchors for CRM domain

Sustainability Requirements​

ESG Standards & Regulations​

List standards and regulations relevant to the CRM sector. Including type categorisation

  • Industry standards (IRMA, TSM, etc )
  • Transnational initiatives (WEF GBA etc)
  • National regulations (EU DPP etc)

Vocabulary Mapping​

Requirements for mapping of criteria between standards and to UN vocabulary.

Reference generic legal toolkit and identify CRM specific concerns

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Australian Lithium Pilot

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Australian Lithium Pilot

Key Focus​

This pilot focus is crotical mineral supply chain resilience and guarantee of origin / prevenance verification.

Stakeholders​

List pilot stakeholders here

Value chain​

Diagram the specific value chain(s) this pilot will implement.

Success criteria​

How will we know the pilot was successful?

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Canadian Copper Pilot

info

Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Canadian Copper Pilot

Key Focus​

This pilot focus is crotical mineral supply chain sustainability and environmental credentials verification.

Stakeholders​

List pilot stakeholders here

Value chain​

Diagram the specific value chain(s) this pilot will implement.

Success criteria​

How will we know the pilot was successful?

- + \ No newline at end of file diff --git a/docs/pilots/Pilot-DRC/index.html b/docs/pilots/Pilot-DRC/index.html index 1b95ee48..40ae02a8 100644 --- a/docs/pilots/Pilot-DRC/index.html +++ b/docs/pilots/Pilot-DRC/index.html @@ -4,13 +4,13 @@ Congo Cobalt Pilot | Critical Raw Materials - +

Congo Cobalt Pilot

info

Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Congo Cobalt Pilot

Key Focus​

This pilot focus is crotical mineral supply chain social & governance criteria (human welfare) and peer to peer trust models.

Stakeholders​

List pilot stakeholders here

Value chain​

Diagram the specific value chain(s) this pilot will implement.

Success criteria​

How will we know the pilot was successful?

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CRM Supply Chain Pilots

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

- + \ No newline at end of file diff --git a/docs/standards/Interop-requirements/index.html b/docs/standards/Interop-requirements/index.html index 531e2d9d..9e83a69c 100644 --- a/docs/standards/Interop-requirements/index.html +++ b/docs/standards/Interop-requirements/index.html @@ -4,14 +4,14 @@ Interoperability Requirements | Critical Raw Materials - +

Interoperability Requirements

info

Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Introduction​

Traceability Interoperability for the Critical Raw Materials (CRM) industry has the opportunity to help consumers, manufacturers and miners share data up, down and across the supply chain in a consistent low cost way. We also seek to provide genuine accountability and the potential for independent validation of all types of claims in the supply chain.

Critical Raw Materials (CRM) are paramount to the functioning of our industrial ecosystems (digital, transport, construction, renewable energy technologies, lightweight batteries). They are essential for the green energy transition.(lithium in batteries, gallium and indium in LED lamps, and rare-earth elements in magnets for digital technologies, electric vehicles and wind generators.) Such elements derived from raw minerals are “critical” as they represent the most economically important source materials with high supply risk and they are concentrated in a few geographical areas. Additionally, The international CRM supply chain is growing in complexity at the same time as nation states seek to improve their border compliance for imports and facilitate access to export markets for their domestic producers. The global value chain is highly dependent on smooth cross-border supply flows (tangible, intangible and data).

There is a significant commercial shift occurring in the expectations for high quality, provable credentials for ESG activities and provenance validation. The companies that are able to demonstrate provable claims about their material sourcing and ESG activities will have easier access to markets and capital. The value of traceability interoperability is to drive down the cost of sharing and demonstrating high quality credentials for provenance claims and ESG activities. By providing standards for granular, provable claims that enable independent validation and assessment, companies that are genuinely in compliance will be easily distinguished from those that cannot be validated.

Document Purpose​

The purpose of this document is to define the requirements for traceability interoperability. This work stream is intended to answer the “How” for data exchange and the sustainability working group is answering the “What” data to exchange.

This document also provides the context and guide-rails for the technical deliverables for the CRM pilots such as credential schema and traceability vocabularies to drive the adoption of traceability standards that enable verifiable claims.

Audience​

The primary audience for this document include the following:

RoleRationale
Mining operatorsThe mining operators are the start of the value chain and for the operators that are generating the origin claims and investing in ESG activities it will be important that they can provably demonstrate their activities so that they can access markets and capital that value those investments in ESG outcomes.
Refiners & manufacturersThe key challenges we’ll be focusing on for refiners and manufacturers will be how they demonstrate the provenance claims and ESG features of the inputs to the products that they produce and how the credentials about those inputs are 'attached' to the goods that they are producing.
ESG standards & certifiersThe value of the standard and/or certifications are tied directly to the value the market places of having a trustable proof that the good or services meets the standard. A verifiable certificate provides this proof. The certification and accreditation community create an important trust anchor.
Software vendorsSharing digital credentials about the material origin and ESG of data of the CRM industry is going to be powered by the digital tools that members of the supply chain use. This paper is intended to articulate how software vendors can extend their existing infrastructure in a low cost and scalable manner to support the industry.
Government organizationswhen governments subsidise the critical minerals for strategic or national interest purposes, proof that the national interest has been met could be provided by leveraging verifiable certificate that provides the proof of the benefit.
RegulatorsRegulators play a unique role in any value chain. They can be a trust anchor that helps their regulated community outcompete in a global marketplace. However, regulators require traceability in order to be effective. This paper will highlight principles to enable regulators to require verifiable and enforceable standards, by providing a model to corroborate and authenticate claims effectively.
PeopleImpacts on people are generally the fundamental driver of regulatory standards. By having an avenue to weigh in on the validation process of claims, people impacted can have some leverage to ensure that regulations are followed in alignment with their original purpose. By providing evidence driven pathways for people to participate, it may be that conflicts of interest can be channeled productively into evidence gathering.

Document Context​

The focus of this document is traceability interoperability of the critical raw materials industry. In addition there is parallel work going in in Recommendation 49 about transparency at scale that this document will inform and we will seek guidance from. It is important that traceability interoperability works for the CRM industry in the same way as it works in adjacent and upstream industries.

Design Principles​

This document is guided by the following principles

  1. Simple and implementable always wins over expansive & complex.
  2. Open and free is a fundamental requirement.
  3. Collaborative development encourages buy-in
  4. Decentralised models will always be more scalable than centralised.
  5. Independently verifiable claims are more credible.
  6. Learn and leverage from existing ecosystems, methodologies, standards and approaches.

Design Challenges​

Implementing end-to-end supply chain traceability at scale faces a number of challenges.

ChallengeOur approach
A plethora of platforms exist alreadyWe must focus on interoperability between systems, not picking winners. We’ll also provide guidance on how existing systems can extend their capability to support interoperability.
Technology maturity is variableWe must accommodate small businesses and developing nations and allow a gradual transition from paper processes.
Most traceability pilots have not scaled to production volumesWe must design simple and scalable solutions that can be implemented at scale
Supply chain actors will not expose sensitive dataWe must allow stakeholders to protect sensitive commercial information whilst revealing ESG info.
ESG claims have different levels of trustWe must provide sufficient evidence to trust the claims.
Greenwashing fraud is endemicWe need to explicitly identify greenwashing fraud vectors and how to solve them – including product substation, mass balance, etc. In particular in CRM, suppliers have taken the approach of inserting a middleman and obscuring the traceability to the source. A goal of this approach must be the traceability of claims back to the point of extraction, as required by the OECD due diligence handbook.
CostThe solution must be cheap enough that there remains plentiful margin incentive for producers and manufacturers to change behaviour.

Scope​

Digital Interoperability standards for scalable traceability & transparency

  • Supply chain events
  • Entity, product, process, time & location identifiers
  • Credential schema
  • Privacy & security controls
  • Linked data vocabularies

NOTE: from here down has not been updated as of Oct 30th 2023. Updates are expected by Nov 21st 2023.

Traceability Interoperability Requirements​

Traceability Data Model​

This section should define a specific data model of the simplest possible EPCIS event structure and vocabulary that is just sufficient for end-to-end value chain traceability. Less is more because simple low cost implementation is key. Draw upon existing UN/CEFACT vocabulary.

Transparency Data Model​

This section should define the simplest possible data model for transparency information including

  • Sensors & measurements
  • Standards & Criteria
  • Audits & certificates
  • Accreditations & trust
  • Facilities, Equipment & capacity

Identifier Schemes​

This section should define prefered identity schemes for each type of identifier.

  • Legal entities (national authority schemes?)
  • Geographic locations (plus codes?)
  • Manufactured products (GTIN?)
  • Bulk product (?)
  • Manufacturing facility / equipment (Asset ID)

Verifiable Credentials​

This section should define VC interoperability profiles and DID methods so that the complexity of this space is simplified to a simple and implementable subset.

  • VC profiles - W3C SVIP, Hyperledger Aries,
  • DID methods for each identity type

Linked Credentials​

This section should define a standard profile for linked credentials – ie how multiple credentials are linked together to construct a trustworthy supply chain traceability view.

  • Link structure (target, type, role, etc)
  • Link integrity (eg issuer of credential is subject of linked credential etc)
  • Verifier behaviour (how to verify a graph of linked credentials as opposed to a single credential).

Trust Anchors​

Define methods by which trust & business integrity can be attached to ESG claims

  • Trust anchors - authoritative roots of trust such as governments & national accreditation authorities. Eg Guarantee of origin certificates.
  • Peer to peer - peer to peer trust networks (is community members keeping each other honest)

Privacy Model​

Define mechanisms to protect commercially sensitive information at any point in the value chain.

  • Document level security - encrypted storage and shared single use keys
  • Field level security - Selective redaction methods

Technology Maturity​

Designs to support stakeholders in the value chain that have zero technology maturity.

  • Human Rendering templates
  • QR links to hosted verifiers

Design solution to verifiably link the digital data to the physical shipment..

  • Finding ESG data from product ID using Digital Link resolvers
  • Doscovering the right resolver service

Provenance verification​

List known mechanisms for provenance verifiaction

  • Chemical / Istopic fingerprints

Sample Value Chain​

Draw a simplified example for lithium/Cobalt/Copper -> EV Battery -> recycling.

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Implementation Guidance

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Guidance for software developers that will implement the traceability interoperability specifications.

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Interoperability Standards

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

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Traceability Schema

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

EPCIS based traceability schema links go here

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Transparency Schema

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Certificate, sensor measurement, equipment schema links go here

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Core Vocabulary

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Legal toolkit

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Legal framework for mutual recognition / compliance management

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Vocabulary Requirements

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Please note that this content is under development and is not ready for implementation. This status message will be updated as content development progresses.

Introduction​

Some words about the plethora of standards & regulations and the need for some shared understanding and mutual recognition, particularly in the cross border context.

Document Purpose​

To provide the context and guide-rails for the deliverables including sustainability vocabularies and legal / ethical guidelines.

Audience​

The following stakeholders will be interested in this document

RoleRationale
Mining operators
Refiners & manufacturers
ESG standards & certifiers
Software vendors
Regulators

Document Context​

TBA

Design Principles​

This document is guided by the following principles

  1. Simple and implementable always wins over expansive & complex.
  2. Open and free is a fundamental requirement.
  3. Collaborative development encourages buy-in
  4. We cant change existing standards & regulations, only map between them.

Design Challenges​

Implementating end-to-end supply chain transparency at scale faces a number of challenges.

ChallengeOur approach
A plethora of standards exist alreadyWe must focus on mapping between standards, not picking winners.
Regulations are emerging nearly as fastWe must focus on mutual recognition arrangements so that compliance in an exporting jusrisdication can be re-used by importing jurisdictions.
Complexity is overwhelmingConsumers and buyers cant be expected to understand every criteria of every standard or regulation and so we must focus on simple aggregated scoring
Involuntary non-compliance is likely to be highWe must find simple legal toolkits to support supply chain actors and regulators in managing involutary non-compliance.
Sustainment CostManually managing mapping between thousands of standards & criteria is likely to be un-sustainable so we should look to AI for help.

Scope​

In scope

  • ESG criteria vocabulary
  • Mapping tools and methods
  • Legal toolkit

Requirements​

Standards & Regulations​

Some words about relevant ESG standards and regulations as well as emerging initiatives

  • Industry standards (IRMA, TSM, etc )
  • Transnational initiatives (WEF GBA etc)
  • National regulations (EU DPP etc)

UN Core Vocabulary​

Assessment of various standards and mapping to UN core

  • A core sustainability vocabulary
  • How to map to the vocabulary
  • Aggregation (view) of the vocabulary to SDGs

Vocabulary Governance​

Mechanisms for long term maintenance of the core vocabulary and tools for ongoing mapping of ESG standards and regulatory frameworks.

Criteria Mapping​

Mechanisms to map claims from one standard to criteria of another.

Legal & Ethical Considerations​

Types of Standards​

Some words about the governance patterns of various standards (who, why, etc).

Types of Audit & Verification​

Some words about different types of verification and trust levels attached to each.

  • Self-assessment / peer group
  • On site instrumentation & measurement
  • Third party audit & certification
  • Funding models (who pays for audits)
  • Transparency models (audit and/or measurements are public/private)

Some words about legal considerations of mapping criteria

  • Self-assessed mapping and liabilitiy
  • Third party assessed mapping (who’s liable if wrong?)
  • Formal one-way recognition
  • Formal mutual recognition
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Critical Raw Materials

Scaling traceability and transparency through decentralisation and digital standards

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CRM Producers Icon

CRM Producers and manufacturers

Participate in global CRM traceability and be able to re-use your domestic ESG claims in export markets.

ESG Standard

ESG standards and certifiers

Map your ESG crtieria to a harmonised vocabulary and empower mutual recognition against other standards.

ESG Traceability Software

ESG Traceability software platforms

Align with interoperability standards and empower your customers to exchange ESG credentials up and down their supply chain.

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