To the Bureau of the EGRM:
The UNFC Adoption Group (AG) has considered measures based on the United Nations Framework
Classification for Resources (UNFC) to provide decision support for resource governance, business
management and capital allocation that may also may serve academia and the public .
in their considerations.
The AG recommendations aim to provide enhanced UNFC-based decision support for governments
in establishing framework conditions that allow businesses to deploy their best capabilities in ways
that capital allocators can finance to reach the UN climate and sustainable development goals. This
should secure affordable and sustainable resource-based services for a large and growing population
towards improving their quality of lives. coming out of poverty.
The decision support is tailored to serve public-private partnerships (PPPs) involved in the resource
activities, in enabling informed dialogues and decisions in sustainable energy, critical resource
materials, building decarbonization roadmaps, for which the UNFC is developed. It is foreseen that it
could extend to activities beyond these. The support should be digitally and FAIRenabled.
The AG recommends that the Bureau considers the following eight actions for approval by the
Expert Group on Resource Management (EGRM) at its 15th Session. The se eight actions are to be
owned by EGRM:
1. Clarify the purpose of using UNFC - To Provide comparable Project Information and Enable
Informed Dialog and Decisions in Sustainability. EGRM to deliver a promotion strategy with
user-specific activities and communication material.
[2.] Add Metrics that Matter - covering physical, economic, environmental, and social metrics that
most users need in addition to volumes of sources and products , . The initially recommended
metrics are listed in the appendix to this note. EGRM should extend UNFC to include these and
also develop bridging guidelines to existing metrics standards.
[3.] Establish Alliances with Standard-Setting Organi zsations. – EGRM to build on, and develop
strategic partnerships with, established organi zsations and standards for industry sectors,
finance, and national and international legal and regulatory bodies seeking to implement
sustainability. Sign MOUs with such organizations specifying mutual support in how to unleash
acceleration in resource management for sustainable development, supporting the Agenda 2030
andby achieving the SDGs.
[4.] Develop Strategic Use Cases – actively support a few highly compelling cases showing tangible
benefits in facilitating informed dialogue, testing key metrics, leading to constructive public-
private partnerships (PPP) in resource management for sustainable development, e.g.,
operationalizing EU-CRM Act, the EU-AU partnership in CRM, the positioning of geothermal
energy in SICA states. EGRM to actively engage with and support use cases with agreed activities
and success criteria.
[5.] Engage with Potential Adoption Champions – such as the Norwegian government for assessing
deep-sea mining, EU member states applying for funding of for strategic CRM projects,
ISSB leveraging UNFC with S1/S2 for project assessments, regulators to promote UNFC for
investors in assessing ESG, energy companies for enhancing energy efficiency and decarbonizing
their energy services, NGOs as a proxies to public concerns in resource projects. EGRM is
recommended to engage and support use cases with these organizations. Furthermore, it is
recommended that EGRM continues to facilitate a dialogue between lead and follower adopters
with common interests.
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[6.] Establish UNFC Support Organization to govern the UNFC for consistent use (´common language
´) and to enable capacity building / user support. This will involve coordinated and supported
ICEs and will include training, templates, help lines, platform s for collaboration, FAIRdata and
digital enablement, competent persons, building trust in reported information. All global
standards rely on effective support organizations (like ISO, IFRS, etc.). EGRM is recommended to
create, mandate, and secure resourcing and supervise a UNFC Support Organization. Such
organization would also be extended in its mandate to support the adoption of UNRMS.
2.[7.] Update UNFC Supplementary Specifications - complete the consolidation of the
commodities specifications to align with UNFC´2019 where this has not already been done.
3.[8.] Digitalize - initiate common, open source digitally supported data management and analysis
systems for the application of the UNFC for resource management in sustainable development.
Importantly, it is recommended that in owning these activities, EGRM adequately plan, resource,
and fund the above activities for 2024+. Adequate financing of these activities, possibly by benefiting
organizations like the EU, AU, or others, is seen as critical given the urgency in progressing the
Agenda 2030 and in accelerated adoption of UNFC (and UNRMS) in direct support thereof.
The recommendations are supported by the comprehensive report of the AG “Informed Dialog ue &
Decisions in Sustainable Development – Adoption of UNFC”, providing an explanatory, non-binding
addendum to the recommendations and the identified barriers and challenges in accelerated UNFC
adoption.
Appendix – List of Recommended Initial Metrics
It is recommended that EGRM develops guidelines for the use of metrics that projects carry and that
users need in line with its decision at EGRM -13. In addition to life cycle quantities of sources and
products, the following metrics should be considered:
a. These recommendations are agreed by all members of the AG. Physical metrics.
[i.] Time distributions series and cumulative of sources and of products (as applicable)
i.
Input factors (supplies of energy, water, transport capacities, and supply chain deliveries etc.) through time
ii. Products consumed in operation in time. Total quantities are already included through
UNFC category E3.1.
b. Economic metrics.
i. Investments through time and cumulative.
ii. Operating costs through time and cumulative.
iii. Prices in time, including the basis for estimating prices.
iv. Revenues through time and cumulative.
v. Net present values of cash flows.
vi. Resource value at the point of production through time and cumulative.
c. Environmental metrics.
i. Emissions through time and cumulative. Emissions corresponding to Scope 1 and Scope
2 should be prioritised over Scope 3 type emissions.
ii. (quantity) and water quality measures through time and cumulative.
iii. Water balance Biodiversity impacts through time and cumulative.
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d. Social metrics.
i. Employment through time and cumulative.
ii.
[iii.] Socially necessary projects to ensure resources to populations that otherwise would suffer from UNFC
non-viable outcomes
[iv.] .
Social consequences (such as displacement of population and impact on labour market for non-
project activities) through time and cumulativeGuidelines for the conversion of project-based
metrics to asset and entity-based metrics.
