Critical minerals are essential to an increasingly electrified global energy sector. Electric vehicles, wind turbines, data centres and other technologies depend on an ample supply of resources such as copper, lithium, and cobalt. Therefore, a secure, sustainable, and responsible mining and metals sector is necessary to support clean energy transitions.

 

Our recent report, The Role of Traceability in Critical Minerals Supply Chains, co-authored with the OECD, outlines ways to integrate data on the origin, movement, evolution, and ownership of minerals into a wider, risk-based due diligence process. Such traceability systems can help anticipate and mitigate the environmental, social, and governance risks for critical minerals development, and build reliable and resilient global supply chains.

 

To work effectively, however, traceability systems must be carefully designed to balance standardisation and context, maintain data quality, and adapt to varying supply chain complexities. They also require strong collaboration among companies, governments and civil society, backed by cost-sharing, reliable verification and secure data-sharing protocols. The report includes an eight-step roadmap to help ensure traceability systems are aligned with the realities of global supply chains, which includes establishing trust mechanisms, creating incentives for increasing traceability and engaging with stakeholders to ensure cooperation.

Successful implementation of traceability systems fosters trust with communities across the entire supply chain. A webinar Empowering Communities to Participate in Clean Energy, co-hosted with Consumers International at the Consumers International’s Sustainable Lifestyles Summit, discussed practical examples of community-driven solutions and collaborations between policymakers and local stakeholders that have advanced clean energy deployment objectives. The event, held in collaboration with the European Commission Directorate-General for Employment, brings together speakers from government, consumer associations, academia and youth organisations to explore best practices for inclusive and consultative energy transitions. Participants highlighted the importance of community engagement to build trust and mobilise communities, when levels of misinformation and distrust in public institutions are high. Speakers highlighted that clean energy programmes benefit stakeholders across sectors like health and education by reducing pollution creating a safe, healthy learning environment, enhancing community trust and participation. 

 

Another key factor contributing to strengthening supply chains is the expansion of power grids to ensure resilient and reliable access to energy in the global shift toward electrification. Transmission infrastructure connects power generation sources to demand centres while also integrating variable renewables like wind and solar. As the world's energy system evolves, grid resilience must be strengthened and support reliable power systems that can support cross-border energy exchanges. Transmission infrastructure currently faces supply chain challenges, namely increasing prices for essential components, rising lead times, record-high order backlogs, procurement challenges and job gaps. Identifying strategies to address these challenges, the report Building the Future Transmission Grid makes eight recommendations to help governments, regulators, buyers, manufacturers and other stakeholders navigate the complex landscape of supply chain challenges. For example, streamlining permitting, ensuring a skilled workforce and providing diverse, resilient and sustainable supply chains will help not only strengthen the transmission grid supply chain, but help build a modernised and expanded grid to power the clean energy transition.