2019 Annual Report
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Members’ Implementation and Reporting Obligation (MIRO)

The Members’ Implementation and Reporting Obligations (MIRO) aim to monitor how Bettercoal Regular Members are implementing their obligations and to disclose to stakeholders how Bettercoal is progressing in positively impacting the coal supply chain.

In 2018, the Bettercoal Board of Directors approved a new MIRO scorecard aimed at increasing the level of disclosure to stakeholders on how Members use the data from the Bettercoal Assessment in their due diligence processes and purchasing decisions.

The MIRO is on its third iteration and the definition of a Bettercoal Supplier has evolved.

In 2015-2017 this meant a Supplier who has conducted at minimum a self-assessment against the Bettercoal Code. Since 2018, a Supplier is a company which has signed the Letter of Commitment (LoC) and is in process of being assessed.

For the last three years, the proportion of Bettercoal Coal purchased has steadily increased from 58% of coal purchased in 2017 to 71% in 2019. At the same time, the total volume of coal purchased from Non-Bettercoal Suppliers through Direct Contracts has been decreasing in the last three years, as well as its proportion out of the total coal purchased, demonstrating our Members’commitment to purchasing from Bettercoal Suppliers.

Assurance System

In line with our purpose of work towards a global responsible supply chain, Bettercoal independently assesses the performance of coal mining operations against the ten principles of the Bettercoal Code through the Supplier Assessment Process.

This process consists of four mandatory steps:


Supplier Commitment

The coal mining company signs the Letter of Commitment and becomes a Bettercoal supplier.


Desktop Review

An Approved Lead Assessor is allocated to the Bettercoal Supplier. The Bettercoal Supplier completes the Self-Assessment Questionnaire which is reviewed by the allocated Assessor. The Assessment Scope is finalised and an Assessment Plan for the Site-Visit is developed and shared with Members.



An on-site visit is planned at the Bettercoal Supplier mine site(s). A detailed Assessment Report is developed and once finalised, in consultation with the Bettercoal Supplier, is then shared with Bettercoal Members.


Continuous Improvement

The Continuous Improvement Plan (CIP) is finalised and shared with Members. Monitoring the CIP takes place according to timelines identified in the CIP. Verification methods include Desktop Review and Site-Visit. A public report will be uploaded on the Bettercoal website.

A full Re-Assessment is due within maximum five years from the coal mining company becoming a Bettercoal Supplier. The process starts from the beginning.

In 2019 Bettercoal started publishing Suppliers’ Public Reports, which contain a summary of their Assessment Reports and an overview of the CIP findings.
During the year 4 Public Reports were shared in Bettercoal’s website.

Number of Bettercoal Suppliers that have completed each stage in 2019:

Suppliers’ progress on CIP

Bettercoal Suppliers are coal mining companies that have committed to improving their Environmental, Social, and Governance (ESG) performance by assessing their operations against the principles of the Bettercoal Code.

Each supplier undergoes an independent Assessment to see how closely they meet the requirements of our international best practice Code and commits to improving their operations in line with our custom built Continuous Improvement Plan for that supplier based on the findings of our Assessment.

Country Working Groups

In 2018 Bettercoal set up specific country working groups starting with Russia and Colombia given their global relevance in the coal industry and Bettercoal’s existing engagement with major coal suppliers there. The aim of these groups is to facilitate a more coordinated approach to engage with Suppliers and allow Bettercoal and its Members to further develop country and context knowledge to understand how supply chain risks are being addressed.

2019 Colombia Working Group main actions:

  • Effective engagement with Bettercoal Colombian Suppliers
  • Mapping of relevant stakeholders related to the Colombian coal supply chain
  • Effective engagement with Colombian stakeholders
  • Prioritisation of complex and systemic issues

2019 Russia Working Group main actions:

  • Effective engagement with each of the Bettercoal Russian Suppliers
  • In-country workshop
  • Mapping of environmental and social risks

Financial statement and organisational performance

Bettercoal is currently financed exclusively through the contributions of Members and Associate Members who pay an annual fee for the running of the Secretariat and the entirety of costs linked to the Bettercoal Assessments.

Read and download the full report here