Energetica India 89 - May 2020

NEWS Post COVID-19 Clean Energy Will Require Reliable Supplies of Critical Minerals: IEA Report The global clean energy sector would necessitate a reliable supply of criti- cal minerals to endure a smooth prog- ress after the COVID-19 crisis, as per a study by the International Energy Agency (IEA). These critical minerals are used in the manufacturing of solar panels, wind turbines, electric vehicles (EVs) and hence, play a critical role in the sector. It said that as the pandemic had pushed many countries into some form of lockdown and hit mining operations across the globe, the risks around clean energy supply chains, includ- ing those of minerals, have come into sharper focus. According to the IEA study, clean ener- gy technologies generally necessitate more minerals than fossil fuel-based counterparts. An onshore wind plant requires eight times as much minerals as a gas-fired plant of the same capac - ity. “Even in fossil fuel-based technologies, achieving higher efficiency and lower emissions relies on the extensive use of minerals. For example, the most effi - cient coal-fired power plants require a lot more nickel than the least efficient ones in order to allow for higher com- bustion temperatures,” it added. While lithium, cobalt, and nickel give batteries greater charging performance and higher energy density, some rare earth elements such as neodymium make powerful magnets that are vital for wind turbines and electric vehicles. IEA said that although prices for many important minerals have fallen as glob- al demand has slumped, recent devel- opments have highlighted a number of reasons why the world should not take secure supplies for granted. It added that as deployment of clean energy technologies picks up, demand for critical minerals is set to grow sig- nificantly and added that for some min - erals, energy transitions were already the major driving force for demand growth. Since 2015, electric transport and grid storage have quickly become the largest consumers of lithium, together accounting for 35 per cent of total de- mand today. Such rapid growth has put strains on supply, as witnessed by the five-fold increase in cobalt prices be - tween 2016 and early 2018 According to the study, although sup- ply has responded, the volatility of pric- es in recent years has been a wake-up call for companies and governments in terms of the importance of reliable mineral supplies for clean energy tran- sitions. As a result of the COVID-19 global lock- down, Peru’s copper-mining activities, which are responsible for 12 per cent of global production, ground to a halt. While, South Africa’s lockdown disrupt- ed 75 per cent of the global output of platinum, a key material in many clean energy technologies and emissions control devices, although the country later allowed mines to operate at 50 per cent capacity, the study added. 15 energetica INDIA- May_2020