Lead recycling project: Nigeria
Our responsible sourcing team is working with counterparties and suppliers in Nigeria with the aim of supporting lead recycling and compliance with local regulations, whilst mitigating its environmental and social impacts. We are collaborating with stakeholders across the supply chain and encouraging both local government and industry led initiatives.
Lead-acid batteries (LABs) play a crucial role in powering mobility and ensuring energy resilience worldwide. More than one billion vehicles globally, including cars, trucks, and buses, rely on LABs for power. In the US alone, they provide backup energy to over 90 percent of the telecommunications infrastructure, ensuring network continuity during crises.
The crucial role of lead-acid batteries
1+ billion vehicles
Including cars, trucks and buses use LABs
90% of US telecommunications infrastructure
Has backup power stored in LABs
Most recycled US consumer product
LABs are second only to aluminium cans
What you may not know, is that lead-acid batteries are also among the most recycled consumer products in the world. The batteries are broken down to produce lead, which can then be re-used.
Recycling used batteries offers numerous benefits, including the sustainable use of raw materials, job creation, and reduced landfill waste. Used LABs contain hazardous substances, and therefore, recycling processes must adhere to standards designed to protect both workers and the environment.
Nigeria plays a significant role in lead recycling, supplying both domestic and international demand. In 2024, its government introduced new regulations to address the environmental and health hazards associated with improper battery recycling, taking a largely informal industry and making it a regulated sector.
As a result, and in line with Trafigura’s approach to responsible sourcing, we are working with our counterparties with the aim of ensuring that they can meet these regulations. We believe that actively working to improve a situation is a more effective approach than simply withdrawing from a market.
We are also proactively engaging with industry associations, NGOs, and other relevant stakeholders to support responsible practices, address concerns, and collaborate on industry initiatives.
Our efforts include:
- Conducting responsible sourcing due diligence assessments of suppliers' facilities.
- Defining clear minimum requirements for responsible lead recycling in line with government regulations and industry standards, securing supplier commitment to these requirements, and incorporating them into our supply agreements.
- Helping suppliers develop improvement plans, including investments in modernized equipment and infrastructure, provision of adequate personal protective equipment for workers, and strengthening of environmental, health, safety, and governance management systems.
- Providing targeted technical assistance and capacity-building programs to enhance supplier capabilities in areas such as environmental management, worker health and safety, and operational best practice.
- Developing and implementing an appropriate monitoring, evaluation, and reporting framework to regularly assess supplier performance, track progress against improvement plans, and ensure ongoing compliance with regulation.
- Defining a structured process for responsible disengagement from suppliers persistently failing to meet minimum expectations for responsible lead recycling practices.
"By taking a proactive approach and fostering industry-wide collaboration, we aim to support efforts to mitigate any impacts of lead recycling on the environment, workers, or local communities."
Norman Mukwakwami
Head of Responsible Sourcing
