Sustainability and Environment Network’s Post

The latest International Energy Agency (IEA) Global Critical Minerals Outlook 2024 highlights the massive increase in demand for critical minerals that will be required to build and adapt our infrastructure to achieve net zero emissions and drive the clean energy transition. #CriticalMinerals #NetZero #CleanEnergy #infrastructure Key Takeaways: 🔷 Global demand for critical minerals like lithium, nickel, cobalt and rare earths could surge up to 6 times by 2040 under a sustainable development scenario. This will require a massive ramp-up in production across a diverse range of minerals. #MineralsDemand 🔷 Supply concentration is a major risk, with just 3 countries accounting for over 75% of 2022 production for many key minerals. Diversifying production across more regions is crucial for supply security. #SupplyChainRisks #ResourceSecurity 🔷 Prices spiked in 2022 due to strong demand and underinvestment in new capacity over the past decade. Scaling up investment in new projects is essential to meet projected demand growth. #CriticalMineralPrices #Investment 🔷 Responsible sourcing and robust environmental, social and governance (ESG) standards are becoming increasingly important to address sustainability concerns across mineral supply chains. #ResponsibleSourcing #ESGStandards 🔷 Enhancing resilience through recycling, reuse, substitution and technology innovation will be key to reducing risks and environmental impacts of rising mineral demand. #CircularEconomy #Innovation With critical minerals vital for clean technologies and net zero, investors and businesses must prioritize supply chain resilience, sustainable sourcing strategies, and new collaborative business models to overcome infrastructure gaps. #ResourceStrategy #Transformation #Leadership

Critical minerals demand has doubled in the past five years Critical minerals like lithium, cobalt and nickel are vital building blocks for many green technologies. -More investment in critical minerals will boost the chance of meeting global climate targets, the International Energy Agency (IEA) says and we confirm. -Lithium for Schneider-Electric (SE.com) already for many years supported through targeted efficient Power&Process solutions. -Gold, Nickel and Copper getting specific focus for efficiency as we aim to do more than our fair share making these processes as efficient as possible. -This in turn we hope will lead to more secure, abundant and affordable supply of critical minerals ensuring a smooth energy transition. -Investing in critical minerals will boost our chances of meeting global climate goals. -Let's stay focused on creating the most efficient solutions during the transition as costs and efficiency matters. -Our Materialize initiative with GMG members another key initiative supporting this direction. #lifeison #sustainability #recycling #criticalminerals #GMG

Global demand for critical #minerals is set to surge from 7.1 million tonnes in 2020 to 42.3 million tonnes by 2050, driven by the push for #cleanenergy technologies and other high-tech industries. Secure supply chains will be crucial for scaling #infrastructure like wind turbines and advanced batteries. #SoutheastAsia, rich in key minerals such as nickel, tin, rare-earth elements, and bauxite, is poised to become a major supplier. However, establishing downstream processing while meeting high environmental standards presents a significant challenge. As such, the region will need collaboration with experienced countries like #Australia, #India, #Japan, the #US, #China, and #EU nations to become a critical mineral hub. This is undoubtedly a region ripe with opportunity for investors and entrepreneurs. Article by Han Phoumin for Australian Strategic Policy Institute's The Strategist. Read more at the link below. Follow OLC Project Management now: never miss an update! https://lnkd.in/gxnQ3FHc

The world's journey to a decarbonised energy future requires a shift towards the development of low-carbon technologies. The development of these low-carbon technologies in the areas of solar power, electric vehicles, battery storage and green hydrogen are driving an increase in the production of minerals and metals such as copper, lithium, nickel, cobalt, graphite, and rare earth elements, collectively known as critical minerals. As this demand intensifies, it could offer untold opportunities for resource-producing regions like Africa. In the past five years, the demand for critical minerals has seen the market double, reaching $320 billion in 2022. In the past year alone, the demand for lithium has risen by 30 per cent. Demand is projected to continue on this trajectory, more than doubling again by 2030 and quadrupling by 2050. Annual revenues are projected to reach $400 billion by 2050. https://lnkd.in/dXn6dgpB

(Wall Street Journal) "Green Transition Set to Face Critical Minerals Shortfall, IEA Says" Long-term investment seen as vital to avoid projected demand outpacing supply. Electric vehicle, wind turbine and solar panel manufacturers face a shortfall in critical metals and minerals unless more investment is made in projects such as new mines and recycling, according to a report from the International Energy Agency. While market pressures eased in 2023—leading to a slump in prices for metals including copper, lithium, cobalt and nickel—long-term investment is vital to avoid projected demand outpacing supply, according to the analysis from the IEA. The minerals are used in a number of technologies essential to the green transition. “Secure and sustainable access to critical minerals is essential for smooth and affordable clean energy transitions,” said IEA Executive Director Fatih Birol. “The world’s appetite for technologies such as solar panels, electric cars and batteries is growing fast—but we cannot satisfy it without reliable and expanding supplies of critical minerals.” According to the analysis, the world’s current projected supply of lithium will meet only 50% of global demand by 2035, while copper resources will meet just over two-thirds of demand by that time. Ramping up recycling efforts and innovation and encouraging behavioral change will be crucial to ease potential supply strains, along with around $800 billion of mining investment by 2040 to source the metals and materials needed. “Without the strong uptake of recycling and reuse, mining capital requirements would need to be one-third higher,” the report said. For base metals such as aluminum, recycling practices are well-established, but this isn’t yet the case for many energy transition metals such as lithium and nickel that are found in electric vehicles and storage batteries, or rare earth elements in wind turbines and electric vehicle motors. While recycling won’t remove the need for continued investment in new mines, the IEA estimates that by 2040, recycled quantities of critical metals from clean energy technologies could reduce new supply requirements by up to 30%. The report states that a recent slump in prices has benefited end consumers, helping push battery prices 14% lower. But it has also thrown up obstacles for new, longer-term investment, making exploration for new mineral sources less economically viable. Investment in critical minerals mining rose 12% in 2023, and exploration funding rose 15%—a healthy market, but still slower growth from the previous year, the IEA said Website: https://lnkd.in/gdpXNrkM

The global shift towards renewable energy is increasing demand for critical minerals such as lithium, cobalt, and copper, potentially quadrupling by 2030. While this surge offers economic opportunities for mineral-rich developing countries, it also risks reinforcing their reliance on commodity exports, which currently affects a significant portion of such nations. Notably, 95 developing countries are commodity-dependent, with many lacking the infrastructure to process these minerals and add value. Despite the demand, there's a substantial investment shortfall in critical mineral mining, with projections indicating a need for hundreds of new mines to meet 2030 net-zero targets, highlighting a potential investment gap of up to $270 billion. Africa, rich in these resources, holds a significant share of the world's reserves essential for the energy transition, including those used in electric vehicles. To avoid deepening commodity dependence, these countries must enhance local value addition, as demonstrated by the Democratic Republic of the Congo's success in increasing the unit price of cobalt through local processing. UN Trade and Development stresses the importance of sustainable mining practices, transparent contracts, and global support to help these nations develop their industrial sectors, diversify economies, and participate more fully in renewable energy value chains.

Critical Minerals: The New Oil in the Energy Transition? The transition to clean energy is shifting the focus from oil to critical minerals like lithium and copper, essential for technologies such as batteries and solar panels. The World Economic Forum’s report, “Energy Transition and Geopolitics: Are Critical Minerals the New Oil?”, explores this shift’s implications. Key Insights: 1. New Dependencies: As fossil fuels phase out, dependencies on critical minerals will rise. These dependencies could be managed effectively with the right market and policy strategies. 2. Supply Challenges: The demand for critical minerals is set to surge, particularly for copper, which has a history of supply challenges. Innovations like Direct Lithium Extraction (DLE) are essential to meet this demand sustainably. 3. Geopolitical Risks: The concentration of critical mineral supplies in countries like China presents geopolitical risks. Unlike oil, the market for these minerals can respond more dynamically to supply and demand signals, potentially reducing the risk of monopolistic control. 4. Policy Recommendations: The report advocates for policies that increase market transparency, develop forward markets, and diversify supply sources. International cooperation is crucial to avoid supply disruptions. Innovation: The Digital Circular Economy An innovative approach to enhancing sustainability is the Digital Circular Economy. By using digital tools to track and recycle critical minerals throughout their lifecycle, companies can reduce environmental impact and secure supply chains. Conclusion The clean energy transition is inevitable, but it requires strategic management of critical mineral dependencies. Innovation, policy alignment, and international cooperation are key to ensuring a sustainable and resilient energy future.

For those who are interested in #criticalminerals, here are some interesting insights from the International Energy Agency (IEA) first annual Critical Minerals Market Review. The market for #criticalminerals, essential for clean energy technologies like #electricvehicles and #renewableenergy, has doubled in size over the past five years. The review reveals a significant surge in planned projects, driven by the growing demand for minerals such as #lithium, #cobalt, #nickel, and #copper. The energy sector has played a crucial role in the increased demand for these minerals, with the market reaching USD 320 billion in 2022. Despite this growth, challenges remain, and more efforts are needed to ensure secure and sustainable supply chains for critical minerals. Key Takeaways: Market Growth and Demand Surge: The market for minerals supporting #cleanenergy technologies has doubled in size over the past five years, reaching USD 320 billion in 2022. The #energy sector has been a major driver, leading to a tripling in demand for lithium, a 70% increase in demand for cobalt, and a 40% rise in demand for nickel from 2017 to 2022. Investment and Project Development: In response to the increased demand, #investment in #criticalmineral development rose by 30% in the last year, with lithium experiencing the sharpest increase at 50%, followed by copper and nickel. The growth in spending on mineral supplies is seen as crucial for the affordability and speed of #cleanenergy transitions. Challenges and Concerns: While the surge in planned projects could potentially meet national climate pledges, there are concerns about supply chain security, sustainability, and diversity. The #IEA highlights the need for more projects by 2030, and the risk of delays and technology-specific shortfalls. The report also raises concerns about the concentration of critical mineral production in dominant countries and notes mixed progress in environmental, social, and governance (#ESG) practices. Read more here: https://lnkd.in/gmMarF_H

The International Energy Agency (IEA) has issued a crucial warning: the green transition could face a significant shortfall in critical minerals. As electric vehicles, wind turbines, and solar panels surge in demand, the supply of essential metals like lithium, copper, cobalt, and nickel must keep pace. Key points from the IEA report: - Demand vs. Supply: By 2035, the projected supply of lithium will meet only 50% of global demand, while copper will meet just over two-thirds. - Investment Needs: Approximately $800 billion in mining investment by 2040 is vital to bridge the gap. - Recycling & Innovation: Enhancing recycling practices and innovative solutions can significantly reduce new supply requirements. IEA Executive Director Fatih Birol emphasizes, "Secure and sustainable access to critical minerals is essential for smooth and affordable clean energy transitions." At Earth Responsibility Score, we believe in fostering sustainable practices and innovations to overcome these challenges. The path to a greener future relies on our collective commitment to responsible sourcing, investment, and recycling. Let's take action today for a sustainable tomorrow! #Sustainability #GreenTransition #CleanEnergy #CriticalMinerals #EarthResponsibilityScore #IEAReport #RenewableEnergy #Investment #Recycling #Innovation

As the world increasingly focuses on electric cars, battery technologies, solar panels, and renewable energies, the conversation often turns to the raw materials that power these technologies. Achieving a carbon zero target is closely tied to our ability to source and secure these essential materials. But how can we ensure that we have enough of these materials and our sources are secure? This is a critical question that needs addressing as we advance toward more sustainable energy solutions. The International Energy Agency (IEA) recently released the “Global Critical Minerals Outlook 2024.” This report examines the essential role of minerals such as lithium, cobalt, nickel, graphite, and copper in facilitating the global shift toward renewable energy and achieving future carbon footprint goals. The report discusses the vast investment needs, market dynamics, and the strategic actions required to ensure the stable supply of these critical minerals amid escalating demands driven by clean energy advancements. This comprehensive analysis highlights how indispensable minerals like lithium and cobalt are becoming due to their crucial applications in electric vehicle batteries and renewable energy systems. Despite facing significant geopolitical and logistical challenges, these minerals are vital for our sustainable future. Key Insights: •💰 Investment Needs: An urgent requirement of $800 billion by 2040 to meet aggressive net-zero scenarios. •📈 Demand Surge: Demand expected to double by 2030 and triple by 2040. •📊 Market Growth: Potential market value exceeding $770 billion by 2040. •🔽🔼 Market Dynamics: High volatility driven by geopolitical tensions. •🔋⚡ Rising Demand: Stresses on production and recycling capabilities. •💸🌱 Policy Support: Investments to expand supplies with sustainable policies. •🌿🤝 ESG Standards: Emphasis on high environmental and social governance. •⚠️🌎 Transition risks: Addressing environmental impacts and supply-demand imbalances. Strategic Actions: 🔄 Diversify Sources: Broaden supply sources to reduce regional dependencies. ♻️ Enhance Recycling: Promote advanced recycling technologies. 🌐 Foster International Cooperation: Encourage global collaboration for market stability. 🌱 Promote Sustainable Mining: Advocate for environmentally friendly mining practices. 🔗For a comprehensive understanding of those critical raw materials, you can access the complete report (https://lnkd.in/dV3KMTQU).