LOCAL CONTENT POLICY: SUPPLEMENTARY GUIDANCE
Summary
The report examines the potential for mining companies to share their digital infrastructure—such as high-speed connectivity and data processing technologies—with host communities to catalyze economic diversification and social benefits. It identifies significant barriers, including the 'usage gap' driven by digital illiteracy and a lack of devices, and a pronounced gender digital divide. The document provides policy recommendations to integrate digital connectivity into local content strategies, improve inter-ministerial coordination, and establish public-private partnerships to ensure the long-term sustainability of these networks beyond the mine's life cycle.
Key insights
- Mining companies are increasingly investing in digital technologies to improve operational efficiency and safety, with the global market value of these investments estimated at USD 34 billion in 2023.
- A significant 'usage gap' exists where people have network coverage but do not use the internet due to high costs, lack of devices, or insufficient skills; in Africa, fixed broadband costs can reach 14.8% of gross national income per capita, far exceeding the 2% global target.
- Digital infrastructure can create 'horizontal linkages' that benefit non-mining sectors, such as in Senegal where a national digital strategy has enabled local businesses to access procurement markets and diversify income streams.
- The sustainability of community connectivity projects is often threatened by commodity price cycles; one mining company in South Africa's platinum belt ceased a connectivity program during COVID-19 lockdowns because it became too expensive to support 180,000 people.
- Regulatory barriers can hinder the adoption of affordable technology; in South Africa, complex licensing and Black Economic Empowerment conditions have deterred international LEO satellite services like Starlink from operating.
- Digital tools can improve community consultation and transparency, such as the use of blockchain in Peru to track the production route of gold sourced from women mineral selectors.
- To ensure long-term impact, governments should integrate digital infrastructure into the entire mine life cycle, including the transfer of assets to the community during mine closure.
Cite the original document
- APA
- Cooper, T., Ramdoo, I., & Tekinbas, E. (2024). LOCAL CONTENT POLICY: SUPPLEMENTARY GUIDANCE. International Institute for Sustainable Development. https://www.iisd.org/system/files/2024-11/leveraging-digital-infrastructure-mining.pdf
- Chicago
- Cooper, Tracey, Isabelle Ramdoo, and Ege Tekinbas. LOCAL CONTENT POLICY: SUPPLEMENTARY GUIDANCE. International Institute for Sustainable Development, 2024. https://www.iisd.org/system/files/2024-11/leveraging-digital-infrastructure-mining.pdf.
- Wikipedia
- {{cite report |last1=Cooper |first1=Tracey |last2=Ramdoo |first2=Isabelle |last3=Tekinbas |first3=Ege |title=LOCAL CONTENT POLICY: SUPPLEMENTARY GUIDANCE |publisher=International Institute for Sustainable Development |date=November 2024 |url=https://www.iisd.org/system/files/2024-11/leveraging-digital-infrastructure-mining.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{cooper2024local, author = {Cooper, Tracey and Ramdoo, Isabelle and Tekinbas, Ege}, title = {{LOCAL CONTENT POLICY: SUPPLEMENTARY GUIDANCE}}, institution = {International Institute for Sustainable Development}, year = {2024}, month = nov, url = {https://www.iisd.org/system/files/2024-11/leveraging-digital-infrastructure-mining.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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