Harm in the Extractive Sector: The Case of Energy Transition Minerals (ETMs)

In this article, we analyze Console complaints that are connected to energy transition minerals (ETM) projects, considered crucial for the transition to renewable energy, and posit three theories as to why there are not more complaints given the high volume of ETM projects and the harm associated with them.

Projects in the extractives sector – which include oil, gas, and mining projects – have long been associated with many environmental and social issues. These issues include pollution of air, soil, and water; intensive use of energy and water; child labor; sexual abuse; and corruption (Marín and Goya, 2021). According to data from the Accountability Console, the extractives sector has the third most complaints (excluding the ‘unknown’ category) submitted to independent accountability mechanisms (IAMs) of major development finance institutions (DFIs) about the effects of internationally financed projects.

These complaints are more likely to satisfy IAM-specific eligibility requirements and continue to substantive stages of the complaints process than other sectors, perhaps because of the clear harm associated with extractive projects.

The 199 complaints in the extractives sector span across Africa, Latin America and the Caribbean, South Asia, East Asia and the Pacific, and Europe and Central Asia. The most common issues raised in these complaints are due diligence, community health/safety, and consultation/disclosure.

Read the full article here and subscribe to the Accountability Console monthly newsletter here for more stories like this.