Negative Impact Minerals: The price of net zero

There is growing global consensus on the need to achieve net zero greenhouse gas emissions to avoid climate breakdown. To achieve this, there will need to be a rapid transition to renewable technologies and electric power and storage. This will inevitably lead to a significant increase in demand for the minerals required for such emerging technologies. As a continent with significant mineral reserves, this increase in demand will be especially noticeable in Africa.

In our March 2023 Foresight paper, we examine the often overlooked Environmental, Social and Governance (ESG) risks associated with the projected increase in minerals extraction on the continent, developing a broad risk matrix to assess ESG challenges in the countries which are likely to be the main sources of these minerals. This will serve as an initial tool for investors to reduce their exposure to what we have termed Negative-Impact Minerals (NIMs).

The full paper can be found here.