Extractive Industries: transition to Sustainable Systems

Abstract

The COVID-19 pandemic has presented an abrupt, even if temporary, halt to some of these trends, and underscored systemic vulnerabilities in health, economic, social and other systems, including those related to energy and industry. Failure to transition quickly to more sustainable systems will perpetuate these vulnerabilities, while also jeopardizing the fight against climate change and threatening human wellbeing, ecosystems and economies for decades, if not centuries, to come. The extractive industries need to be addressed from both supply and demand perspectives to consider the implications of the energy transition for both producing and consuming countries. There is a window of opportunity to capitalize on the rising demand for renewable technologies that contribute to climate change and sustainable development agendas. This includes diversifying energy sources and export basis, eliminating wasteful fossil fuel subsidies, facilitating a circular economy, practicing good governance, and aligning extractive industries with the Sustainable Development Goals (SDGs) and Paris Agreement on Climate Change. Mining industries can be an important driver in the post-pandemic recovery as well as in the process of decarbonizing economies.