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    Home»Headline News»UN Climate Talks Spotlight Risks in Mineral Supply Chains

    UN Climate Talks Spotlight Risks in Mineral Supply Chains

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    At this year’s United Nations climate negotiations in Belém, Brazil, draft decision text for the first time explicitly addresses the challenges of critical mineral supply chains. While the language may still be revised, it signals rising concern over the sourcing of copper, cobalt, nickel, lithium, and other essential minerals.

    “This is no longer a peripheral issue,” said Melissa Marengo, Senior Policy Officer, Natural Resource Governance Institute, which focuses on energy transitions in the Global South. While countries committed in 2023 to reduce reliance on oil, gas, and coal, the shift toward renewable energy is driving unprecedented demand for minerals, often extracted in ways that create severe environmental and social consequences that can be costly or impossible to remediate.

    The draft’s “just transition” language acknowledges these risks and draws on a recent UN report, recommending transparent supply chains, funds to remediate abandoned mines, and better recycling and efficient use of transition minerals. The proposal, supported by the EU, UK, Australia, South Africa, Uganda, and Burkina Faso, is also being expanded to highlight potential economic opportunities for countries that can responsibly develop their mineral resources. It underscores Indigenous rights, including free, prior, and informed consent for projects impacting their lands.

    The International Energy Agency projects demand for green-energy minerals could triple by 2030 and quadruple by 2040. Yet, extraction methods often harm ecosystems and, in some cases, involve human rights abuses, including unsafe labor conditions for miners.

    Activists warn that without reform, the energy transition risks repeating the negative impacts historically linked to fossil fuel extraction. “The transition must benefit communities near the mines, workers exposed to hazards, Indigenous peoples defending their lands, and societies in the Global South seeking economic justice,” said Anabella Rosemberg, Senior Adviser, Climate Action Network International. “They deserve tangible improvements, not just promises on paper.”

    Mining Responsibility in Mexico

    Amid global concerns over the environmental and social impacts of critical mineral extraction, Mexico’s mining sector demonstrates responsible practices. CAMIMEX President Pedro Rivero told MBN that achieving the target of limiting global warming to 1.5°C requires cutting emissions by 42%, which depends on technologies that rely on responsibly mined minerals. Copper, zinc, silver, and soon lithium are critical to this transition. “Mining is a fundamental ally in the fight against climate change,” Rivero said, noting that the sector supports more than 70 industries, including automotive, pharmaceuticals, electricity, construction, and energy.

    He stressed Mexico’s mining industry follows robust ESG standards, guided by the “three Ps”: social, economic, and environmental performance. This framework has secured the country a position among the Top 10 global producers for 16 metals and minerals, generating annual economic spillovers of MX$219.7 billion (US$11.05 billion), largely benefiting national SMEs. Mining accounts for 8.63% of industrial GDP and 2.75% of national GDP, while 91% of communities near mining sites report medium to high levels of social development.

    Despite its scale, mining operations occupy just 0.08% of Mexico’s national territory, while the country’s concessioned areas cover 6.86%. CAMIMEX-affiliated companies derive 38% of their energy consumption from clean sources, and water usage is tightly controlled, representing just 0.27% of national allocation, with roughly 70% coming from treated and recirculated wastewater. The industry operates 100 water treatment plants across 16 states, reflecting a commitment to sustainable resource management.

    https://mexicobusiness.news/mining/news/un-climate-talks-spotlight-risks-mineral-supply-chains

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