UN Panel Champions Ethical Mineral Extraction for Renewable Energy Transition

Summary:

• António Guterres is spearheading a UN initiative to develop global principles for ethical mineral extraction in the energy transition. The panel, co-chaired by representatives from South Africa and the European Commission, aims to ensure fairness, transparency, and sustainability in mineral value chains to support renewable energy goals and avoid environmental and social harm.

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In a bid to ensure environmental and social integrity amid the energy transition, António Guterres is rallying the United Nations’ influence to unite a diverse array of governments and stakeholders along the minerals value chain.

This coalition encompasses governments, intergovernmental bodies, and Non-State Actors, including NGOs and key agencies such as the International Energy Agency and International Renewable Energy Agency. Among the governmental and intergovernmental representatives are prominent players like the African Union, the European Union, China, the Democratic Republic of Congo, South Africa, and the United Kingdom, all possessing critical minerals crucial to the energy shift.

The Panel on Critical Energy Transition Minerals, jointly chaired by Ambassador Nozipho Joyce Mxakato-Diseko of South Africa and Director-General for Energy Ditte Juul Jørgensen of the European Commission, is tasked with formulating universal and voluntary principles. These principles aim to uphold environmental and social standards and foster justice throughout the energy transition.

António Guterres emphasized the imperative of guiding the renewables surge towards fairness, stressing that a renewable-powered world depends on vital minerals. He underscored the significance of proper management, particularly for developing nations, to harness these minerals for economic growth without marginalizing vulnerable communities.

Ambassador Mxakato-Diseko highlighted the Panel’s role in addressing normative gaps, aligning with sustainable development agendas to ensure inclusive prosperity and sustainable transitions. Meanwhile, Ditte Juul Jørgensen emphasized the need for fair and transparent principles to navigate the global energy shift responsibly, benefitting both global and local communities.

The transition to renewable energy, crucial for limiting global warming, hinges on access to critical minerals like copper, lithium, and cobalt. However, concerns arise regarding the ethical extraction and distribution of these resources. Developing countries, including Uganda, with significant mineral reserves face both opportunities and challenges in leveraging these resources for sustainable development.

The Panel’s formation responds to calls for globally agreed guidelines to ensure responsible mineral value chains. By convening governments, international organizations, industry players, and civil society, it aims to foster trust, guide just transitions, and accelerate renewable energy adoption. Leveraging existing UN initiatives, it seeks to strengthen efforts towards sustainable mineral extraction and utilization.

The urgency for an energy transition to combat climate change has brought to light the environmental and social impacts of mineral extraction. While electric vehicles promise cleaner transport, concerns persist regarding the carbon footprint of battery materials like cobalt and lithium. Human rights abuses and environmental degradation in mining regions underscore the need for sustainable practices.

Clovis Freire from UNCTAD underscores the significance of critical minerals in the energy transition, emphasizing the challenges of large-scale mining and the potential environmental and social repercussions. Ensuring sustainable mining practices is crucial to mitigate these risks and safeguard communities and ecosystems from harm.