Implications of COP26 for Africa’s mining industry

The report examines how COP26 outcomes, such as pledges to end deforestation and phase out fossil fuel vehicles, drive demand for critical minerals in Africa. It emphasizes that while the energy transition offers economic opportunities, mining companies must adopt ESG frameworks and UN Sustainable Development Goals to ensure a 'just decarbonisation process' and avoid community conflict. The document highlights the challenge of scope 3 emissions and recommends that African governments create incentive platforms for decarbonisation.

• The global transition to net-zero technologies, including electric vehicles and renewable power generation, is driving a significant increase in demand for critical minerals such as copper, lithium, cobalt, nickel, chrome, manganese, rare earth metals, and platinum group metals (PGMS).
• COP26 outcomes create specific pressures for the mining sector: 137 countries pledged to end deforestation by 2030, and 30 countries and six car manufacturers committed to ending fossil fuel vehicle production by 2040. These shifts mean mining companies must demonstrate a commitment to deforestation to access climate-conscious funding.
• Integrating ESG criteria is presented as a business necessity; evidence suggests that mining companies with higher ESG ratings outperformed the market during the COVID-19 crisis. Effective ESG integration can mitigate risks of 'greenwashing' and address community grievances regarding environmental damage.
• While 28 members of the International Council for Minerals and Metals (ICMM) committed to net-zero scope 1 and scope 2 emissions by 2050, scope 3 emissions remain a major challenge because they occur in the value chain and are largely outside the companies' direct control.
• To achieve a 'just decarbonisation process,' the industry must move beyond ESG to integrate the United Nations Sustainable Development Goals (SDGs), ensuring that the social development of mining-dependent countries and communities is not excluded from the transition.
• The report recommends that African governments establish incentive platforms for decarbonisation and warns mining companies of increasing regulatory risks, specifically the potential implementation of a carbon tax.

APA

Good Governance Africa (2022). Implications of COP26 for Africa’s mining industry. https://digitalmallblobstorage.blob.core.windows.net/wp-content/2022/04/IR-COP26-and-the-African-mining-industry.pdf

Chicago

Good Governance Africa. Implications of COP26 for Africa’s mining industry. 2022. https://digitalmallblobstorage.blob.core.windows.net/wp-content/2022/04/IR-COP26-and-the-African-mining-industry.pdf.

Wikipedia

{{cite report |author=Good Governance Africa |title=Implications of COP26 for Africa’s mining industry |date=1 April 2022 |url=https://digitalmallblobstorage.blob.core.windows.net/wp-content/2022/04/IR-COP26-and-the-African-mining-industry.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{goodgovernanceafrica2022implications, author = {{Good Governance Africa}}, title = {{Implications of COP26 for Africa’s mining industry}}, institution = {Good Governance Africa}, year = {2022}, month = apr, url = {https://digitalmallblobstorage.blob.core.windows.net/wp-content/2022/04/IR-COP26-and-the-African-mining-industry.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }