At COP29 in Baku, Climate talks turned to the pressing issue of how to manage the demand for minerals essential to producing electric vehicles and solar panels without triggering a “stampede of greed” that exploits local communities and crushes the poor.
UN Secretary-General António Guterres addressed the assembly, stressing the need to make sure the renewable energy boom does not create a “stampede of greed” that harms vulnerable populations.
“We are here to ensure the energy transition is fair,” said Mr. Guterres, who led a roundtable on Critical Energy Transition Minerals. He emphasized that this transition must empower, not exploit, resource-rich communities, aligning environmental sustainability with social justice.
BACKGROUND ON THE PANEL FOR CRITICAL MINERALS
The UN’s Panel on Critical Energy Transition Minerals was established at COP28. It brings together a coalition of governments, NGOs, industry leaders, and civil society groups. The panel’s mission is to develop voluntary principles to guide responsible mineral extraction. The panel aims for justice and sustainability at every step of the supply chain.
According to Mr. Guterres, the renewable revolution is already underway. Investment in clean energy surpassed that in fossil fuels for the first time last year. Yet, this progress raises concerns over the ethical extraction of the minerals required. This is especially true for developing nations that hold these valuable resources.
COP29 ; LEARNING FROM PAST MISTAKES: AVOIDING THE “STAMPEDE OF GREED”
The UN chief cautioned against repeating the resource exploitation patterns of the past. Resource-rich developing nations have the potential to benefit economically. Nonetheless, history shows that these opportunities often result in exploitation rather than prosperity.
“Too often, the rush for resources tramples rights, harms communities, and trashes the environment,” Mr. Guterres said, citing the risks of local communities being left at the bottom of global value chains while wealth flows to foreign entities.
COP29 ; KEY PRINCIPLES FOR EQUITABLE MINERAL VALUE CHAINS
The Panel on Critical Minerals has identified seven voluntary principles and five actionable recommendations aimed at embedding justice into mineral value chains. Key principles focus on:
- Empowering local communities to have a voice in extraction projects.
- Creating accountability across the industry to uphold human rights.
- Ensuring value is added in resource-rich nations, which will support local economies and prevent raw material exploitation.
“These measures aim to empower communities and drive resilient growth, ensuring that resource extraction benefits local populations,” Mr. Guterres explained.
COP29 ; A UNIFIED EFFORT FOR GLOBAL TRACEABILITY AND ACCOUNTABILITY
The UN’s plan includes the establishment of a global traceability and transparency framework to monitor every stage of the mineral value chain. This framework would track mineral extraction and trade, ensuring ethical and responsible production while protecting human rights and the environment.
To accelerate these goals, the UN will launch a High-Level Expert Advisory Group focused on core economic issues. These issues include fair trade and value addition. The group will work closely with Member States and various stakeholders.
EMPOWERING DEVELOPING COUNTRIES TO LEAD
Developing nations are positioned at the forefront of this initiative. They will actively engage with indigenous groups, civil society, and industry representatives. These groups will help steer the process. This inclusive approach aims to ensure that mineral wealth translates into local prosperity, with indigenous communities and other stakeholders participating in decision-making.
A CALL TO ACTION: JOINING FORCES FOR A JUST TRANSITION
Mr. Guterres urged leaders from all sectors to collaborate with the UN. The goal is to ensure a fair and sustainable energy transition. The demand for critical minerals is set to rise sharply. Coordinated action is essential to prevent a surge in exploitative practices.
