Africa’s minerals sector has been admonished to seize the opportunities presented by the global transition towards green energy.
At a virtual workshop on the future of mining in Africa post-COVID-19, experts stated that the ongoing global transition towards green energy and rapid decarbonization holds significant potential for Africa’s extractives sector.
The webinar, organized by the African Natural Resources Centre (ANRC) and the African Legal Support Facility (ALSF), both entities of the African Development Bank, in partnership with Nordic Africa Institute, was part of a series that is examining the impact of the pandemic on Africa’s extractives sector, particularly minerals, oil, and gas.
It was revealed at the webinar that, one of the major opportunities for Africa lies in the growing demand globally for lithium, which is used in batteries for electric vehicles, smartphones, and off-grid energy storage.
“Africa is strategically positioned to derive maximum benefits from the growing global lithium-ion batteries (LIB) industry,” said Dr. Cosmas Ochieng, Director of the ANRC, who moderated the event on 9th December.
In 2018, Zimbabwe and Namibia were among the top 10 global producers of lithium, with Zimbabwe alone holding 11 million tonnes of lithium ore in its Bikita mines in the country’s Masvingo region.
African leaders were urged to step up and include battery production as a continent-wide development priority.
Among other themes discussed by the participants was the Africa Mining Vision (AMV), a policy framework created by the African Union in 2009 to ensure Africa utilizes its mineral resources strategically for broad-based, inclusive development.
“The realization of the Vision hinges on strong political will and a commitment to developing strong capable mineral management systems and institutions. It requires an astute understanding of Africa’s relative advantages in the global mineral value chain,” said Dr. Antonio Pedro, Director of the Economic Commission for Africa’s sub-regional office for Central Africa.
In a presentation on drivers of the sector in the post-pandemic period, Dr. Kwasi Ampofo, metals analyst at Bloomberg New Energy Finance, said “adoption of renewable energy is rising in the mining sector. Investments in renewable energy have increased significantly in the last ten years”.
Ampofo urged African mining companies to take a lead in the decarbonization of their operations and the transition to clean energy to attract ‘green’ funds.
The African Natural Resources Centre (ANRC) is a non-lending department of the African Development Bank with a mandate to assist African countries to maximize development outcomes from natural resources.
The African Legal Support Facility (ALSF) is a public international institution hosted by the African Development Bank Group. The Facility provides legal advice and technical assistance to African countries in the negotiation of complex commercial transactions, creditor litigation, and other related sovereign transactions.
