SRI INDEX IGNORES SIGNIFICANT VIOLATIONS OF ENVIRONMENTAL LAWS

A coalition of environmental NGOs argues that the JSE's SRI Index is 'fatally flawed' because it includes companies that are 'serious and serial offenders' of environmental legislation. The letter provides evidence from National Environmental Compliance and Enforcement Reports (NECERs) and government reports showing that several listed companies—including Exxaro Resources, Arcelor Mittal South Africa, and Sasol—have committed criminal offences related to air emissions, waste disposal, and water use licenses. The NGOs call for the JSE to revise its criteria to explicitly require legal compliance and strengthen its verification methods.

• The JSE's SRI Index is criticized for including companies that are 'serious and serial offenders under environmental legislation', suggesting that the Index's verification systems are 'wholly inadequate' or that its criteria do not prioritize legal compliance.
• Several companies listed on the SRI Index have committed criminal offences under environmental laws, specifically regarding water use. Exxaro Resources operated the Arnot, Grootpan, Glisa South, and Mooifontein collieries without integrated water use licences, which is a 'criminal offence under the National Water Act, 1998'.
• Industrial companies on the Index have been cited for severe pollution and illegal waste management. Arcelor Mittal South Africa had plants with 'particular emissions to air that cause, have caused or may cause significant and serious pollution of the environment', while Sappi's Ngondwana plant was found to have 'three illegal waste disposal sites'.
• Evraz Highveld Steel and Vanadium Limited was found to cause 'serious harm' to the environment and the health of employees and residents, with 'fugitive dust emissions' causing an 'unacceptable dust nuisance' and potential groundwater and soil pollution.
• The signatories demand that the JSE revise its criteria to 'require legal compliance by all facilities' and force companies to 'disclose information about non-compliance with environmental legislation'.

APA

Centre for Environmental Rights (2010). SRI INDEX IGNORES SIGNIFICANT VIOLATIONS OF ENVIRONMENTAL LAWS. https://cer.org.za/wp-content/uploads/2010/12/Joint-letter-to-JSE-SRI-Dec-2010.pdf?x21779

Chicago

Centre for Environmental Rights. SRI INDEX IGNORES SIGNIFICANT VIOLATIONS OF ENVIRONMENTAL LAWS. 2010. https://cer.org.za/wp-content/uploads/2010/12/Joint-letter-to-JSE-SRI-Dec-2010.pdf?x21779.

Wikipedia

{{cite press release |author=Centre for Environmental Rights |title=SRI INDEX IGNORES SIGNIFICANT VIOLATIONS OF ENVIRONMENTAL LAWS |date=7 December 2010 |url=https://cer.org.za/wp-content/uploads/2010/12/Joint-letter-to-JSE-SRI-Dec-2010.pdf?x21779 |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{centreforenvironmentalrights2010sri, author = {{Centre for Environmental Rights}}, title = {{SRI INDEX IGNORES SIGNIFICANT VIOLATIONS OF ENVIRONMENTAL LAWS}}, publisher = {Centre for Environmental Rights}, year = {2010}, month = dec, url = {https://cer.org.za/wp-content/uploads/2010/12/Joint-letter-to-JSE-SRI-Dec-2010.pdf?x21779}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }