🌱 Why does the EU want to increase domestic mining?
Over the past few years, the EU has pledged to scale up its domestic extraction of critical raw materials. Critical raw materials are needed for many renewable energy technologies. To “lessen its dependence on Chinese minerals and meet its climate goals”, the EU wants to source these minerals domestically and in larger quantities.
🌱 What measures has the EU already taken?
The European Commission, for example, launched a call in May 2024 to accelerate several projects to extract, process, and recycle critical raw materials – such as cobalt, lithium, and nickel. Additionally, the EU’s new action plan “aims to make electric vehicle battery cells and components produced in the EU cost-competitive in the short term”. Therewith, the action plan pushes for domestic critical raw material supply chains. It also pushes for expanding extraction, by stating that “streamlined permitting” should be “expanded beyond identified strategic projects”.
🌱 Will mining increase pollution?
The EU has high environmental standards in place for mining. Under the law, mine developers are – for example – required to carry out environmental impact assessments before a project may proceed. Despite this, the growth of domestic mining could still lead to increased pollution. This is because “mining is highly disruptive to the environment” by nature. In line with this, the European Environment Agency states that “[p]ollution levels are expected to increase with the announced boost to domestic mineral extraction”.
🌱 What risks are there?
Overall, it will be a challenge for the EU to uphold high environmental standards while expanding its mining domestically. Some EU citizens worry, for example, about “the impact on the water supply, air pollution and the threat to endangered wildlife”. Moreover, according to the EU Raw Materials Coalition, "the EU risks locking itself into a cycle of ever-increasing extraction” with its current approach.
🌱 What potential is there for the circular economy?
Due to the concerns around mining pollution, there may be “a need to increase the [mineral] amount that is recycled and reused”. Developing a robust recycling ecosystem for critical raw materials and increasing mineral circularity is one way to minimize pollution. The EU currently recycles under 1% of the critical raw materials used throughout all of its industries. Moreover, merely 30 of the 170 applications on the EU’s list of future strategic projects are focused on recycling. The key question now is whether the circular economy and recycling ecosystem for critical raw materials will be able to scale (and to attract the investments it needs) in time to meet the EU's increasing demands for critical raw materials.
Read more about the developments here:
- https://ec.europa.eu/commission/presscorner/detail/en/qanda_25_636
- https://www.context.news/just-transition/spains-lithium-mining-bid-promises-jobs-but-for-whom