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Members' Implementation and Reporting Obligations (MIRO)

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

The MIRO reporting system is based on a set of key performance indicators (KPIs) which reflect the Regular Members’ obligations as defined in the Bettercoal Articles of Association. These obligations include: to publicly endorse Bettercoal and to apply the Bettercoal Code and Bettercoal tools in due diligence processes, which includes engaging and collaborating with coal suppliers. Regular Members who own or control coal mines themselves have additional obligations. 

The implementation of these obligations is key to the success of Bettercoal and they are designed to help achieve Bettercoal’s mission. Furthermore, abiding by Bettercoal’s obligations is the basis for: 

  • The credibility of Bettercoal vis-à-vis stakeholders: internal and external stakeholders should be able to understand how Bettercoal Members implement the Bettercoal Code and tools and how this influences their business practices to improve the social, environmental and ethical performance of their coal supply chains.
  • The legitimacy of Bettercoal vis-à-vis suppliers: The success of Bettercoal relies on the collaboration of suppliers to complete Self-Assessment Questionnaires (SAQs), Site-Assessments and implement corrective action plans. In the absence of demonstrable progress in Member’s implementation, suppliers will be less convinced of the Members’ commitment and of the need and value of collaborating with Bettercoal. 
  • The integrity of Bettercoal: If one Member is found not to honor its obligations to implement the Bettercoal Code, this will affect the integrity of Bettercoal as a whole and its individual Members. Bettercoal must aim to reduce the risk of “free riders.”

All Regular Members that have completed at least one full year of Membership are subject to reporting on their obligations. Bettercoal collects the MIRO key performance indicators from Members on an annual basis via a Scorecard and Members report on the MIRO KPIs on a comply or explain basis. Complying with these commitments requires internal buy-in throughout the organisation.

Developing Phase 1 and Phase 2 Scorecards

The MIRO reporting system is phased and progressive, and the KPIs included in the two phases aim to reflect the maturity of Bettercoal and the pace of implementation. 
 

2016

On the 11th of February 2016, the Bettercoal Board of Directors agreed the second set of indicators (Phase 2 Scorecard), as measures for monitoring how Regular Members are meeting their commitment to implement Bettercoal into their coal purchasing practices. The Phase 2 Scorecard builds on the KPIs from the Phase 1 Scorecard and integrates quantitative KPIs to demonstrate the coverage of the Bettercoal tools and engagement in Members’ supply chains.

2015

In Q1 and Q2 2015, the Bettercoal Secretariat collected and aggregated the information received from the Regular Members through the Phase 1 Scorecards, treating it as confidential according to Bettercoal’s Anti-trust Policy.  

As a result of the importance of compliance, as well as to provide disclosure and transparency on the performance of Regular Members, in 2015 the Bettercoal Board of Directors asked the Secretariat to undertake an Annual Conformity Review, as well as to present the findings in a public report. 

2014

The first set of indicators developed and implemented by Bettercoal were under the form of the Phase 1 Scorecard.

 

The Conformity Review Reporting

July 2015: Bettercoal publishes its first MIRO Conformity Review Report based on the information received from the Regular Members through the Phase 1 Scorecards.

June 2016: The second MIRO Conformity Review Report is published, which aggregates the information received from the Regular Members through the Phase 2 Scorecards.

The reports are constructed in a manner that allows them to:

  • Be an anonymized summary of the Members’ Implementation and Reporting Obligations;
  • Show how Members jointly implement the commitments they made when joining Bettercoal;
  • Contain Bettercoal Secretariat’s view on how far Members have progressed with their commitments, presenting a set of findings and recommendations on how to better meet these commitments;
  • Be available to the public on the Bettercoal website.

 

MIRO Phase 3 Scorecard

Bettercoal Regular Members will report against the KPIs from the Phase 2 Scorecard for at least two years, in order to allow performance tracking over time and consolidate the results. In the meantime, Bettercoal, its Members, and the Technical & Advisory Committee will work on the development of the MIRO Phase 3 Scorecard to ensure that it is in alignment with Bettercoal’s assurance system and existing standards such as the OECD Due Diligence Guidance for Conflict-Affected and High Risk Areas. 

The MIRO Conformity Review Reports are part of Bettercoal’s commitment to disclosure and transparency. 

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Bettercoal Code

The Bettercoal Code sets out the ethical, social and environmental principles and provisions that members of Bettercoal expect organizations producing coal in their supply chain to align with.

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