Critical Raw Materials (CRMs) are a class of elements essential for the development and deployment of emerging technologies, such as those powering the green energy transition. As the European Union accelerates its shift towards a carbon-neutral economy, the demand for CRMs like rare earths, lithium, and cobalt is expected to rise significantly. However, Europe’s domestic supply is limited, and it remains heavily dependent on imports, particularly from China.
This heavy reliance on global supply chains exposes the EU’s climate and industrial policies to substantial geopolitical risks. To address this vulnerability, the European Commission introduced the Critical Raw Materials Act in March 2023, aiming to enhance the EU’s strategic autonomy in the sourcing and processing of CRMs.
The Act is a welcome step, but it falls short of the scale required to meaningfully reduce Europe’s dependencies. Policymaking for CRMs must go hand-in-hand with the insights and expertise of the geoscience community, as they hold the key to unlocking new domestic supplies and ensuring the sustainable management of these finite resources.
Policymaking Processes
The development of effective policies for CRMs requires a robust and collaborative policymaking process, involving a range of stakeholders, including industry, research institutions, and local communities.
Stakeholder Engagement
Engaging with the geoscience community is crucial, as their knowledge and understanding of the Earth’s subsurface resources can inform decision-making and help identify potential sources of CRMs within the EU. Geoscientists can provide valuable data and assessments on the location, quantity, and quality of mineral deposits, as well as insights into the technical and environmental feasibility of extraction.
Moreover, ongoing dialogue with local communities is essential to address potential social and environmental concerns associated with mining activities. By involving these stakeholders in the policymaking process, policymakers can gain a better understanding of the local context and work towards developing policies that balance economic, environmental, and social considerations.
Decision-making Mechanisms
The Critical Raw Materials Act establishes a new governance structure, the Critical Raw Materials Board, which will be responsible for various aspects of CRM policy, including the designation of “Strategic Projects” with accelerated permitting processes and access to financial support.
However, the Act lacks clear provisions for incorporating geoscientific expertise into the Board’s decision-making processes. Policymakers should ensure that the Board includes representatives from the geoscience community, who can provide technical insights and help assess the viability and sustainability of proposed projects.
Regulatory Landscape
The current regulatory framework for mining and mineral extraction in Europe is often outdated, with many countries still relying on legislation dating back to the early 20th century. Policymakers should work to modernize these regulations, incorporating the latest geoscientific knowledge and best practices in sustainable resource management.
This includes streamlining permitting processes, while also ensuring that environmental and social safeguards are in place to mitigate the potential impacts of mining activities. Geoscientists can play a crucial role in developing these new regulatory frameworks, helping to strike a balance between economic, environmental, and social considerations.
Geoscientific Contributions
Geoscientists can make significant contributions to the policymaking process for CRMs, drawing on their expertise in exploration, extraction, and resource management.
Data and Assessments
Geoscientists can provide comprehensive data and assessments on the availability and distribution of CRMs within Europe, including information on the location, quantity, and quality of mineral deposits. This knowledge can help policymakers identify potential sources of domestic supply and prioritize areas for further exploration and development.
Moreover, geoscientists can contribute to the development of Geodatabases, which serve as centralized repositories of geological data. These databases can be used to inform land-use planning, environmental impact assessments, and the identification of areas suitable for mining activities.
Exploration and Extraction
Geoscientists can also provide insights into the technical and economic feasibility of extracting CRMs, advising policymakers on the most appropriate and sustainable extraction methods. This includes evaluating the potential environmental and social impacts of mining operations and recommending mitigation strategies.
Furthermore, geoscientists can help identify and assess the potential of alternative sources of CRMs, such as the recovery of these materials from mining waste or urban mining, which can contribute to the development of a more circular economy.
Technological Advancements
Geoscientists are also at the forefront of developing new technologies and techniques for the exploration, extraction, and processing of CRMs. These advancements can help improve the efficiency, sustainability, and cost-effectiveness of CRM supply chains, which is crucial for the EU’s competitiveness in the global market.
Policymakers should work closely with the geoscience community to ensure that these technological developments are supported and incorporated into the policy framework, enabling the EU to maintain a leading position in the transition to a sustainable, low-carbon economy.
Challenges and Opportunities
The policymaking process for CRMs in the EU faces several challenges, but also presents significant opportunities for collaboration between policymakers and the geoscience community.
Supply Chain Dynamics
The global supply chains for CRMs are highly concentrated, with a few countries dominating the production and processing of these critical materials. This exposes the EU to potential supply disruptions and geoeconomic risks, making the diversification of supply sources a key priority.
Geoscientists can play a crucial role in identifying and assessing alternative sources of CRMs, both within the EU and in partner countries, helping to reduce the bloc’s reliance on a limited number of suppliers.
Environmental Sustainability
The extraction and processing of CRMs can have significant environmental impacts, including the potential for soil and water pollution, habitat destruction, and greenhouse gas emissions. Policymakers must ensure that the development of CRM supply chains is aligned with the EU’s ambitious climate and environmental goals.
Geoscientists can provide invaluable guidance on the environmental implications of mining activities, helping to design policies and regulations that minimize the ecological footprint of CRM extraction and processing.
Socioeconomic Impacts
The development of new mining projects can also have significant socioeconomic impacts on local communities, ranging from job creation to the displacement of populations and the disruption of traditional livelihoods.
Geoscientists can work closely with policymakers and local stakeholders to assess these social impacts and develop policies and regulations that ensure the equitable distribution of the benefits and burdens associated with CRM extraction.
By fostering close collaboration between policymakers and the geoscience community, the EU can leverage the latest scientific insights and technological advancements to build a more resilient, sustainable, and socially responsible CRM supply chain, supporting the transition to a low-carbon economy.
