The demand for these raw materials will increase dramatically. The EU protects itself against crisis and bureaucracy

On Tuesday, he gave the green light to plans to increase the supply of strategic raw materials in the EU. Thanks to this, the Community is to become more competitive and independent. The Act on Critical Raw Materials is also intended to reduce bureaucracy and increase innovation in the entire production process. Its provisions also guarantee support for small and medium-sized enterprises. The document is intended to be an impulse for scientific research and work on alternative materials. It is also intended to make mining and production more user-friendly.

The digitization of the economy and societies continues. This means that the demand for critical raw materials will increase dramatically over the next several dozen years.

– sums up the European Parliament

The new regulations were adopted by a vote of 549/43 (24 MPs abstained). Now the vote must be officially approved by the European Council, only after which it can be published in the Official Journal.

The European Union secures strategic raw materials

Strategic raw materials include: cobalt and lithium used in solar panels and smartphones. Their importance is critical to the EU’s green and digital transformation. “Guaranteeing their supply is the basis of the EU’s economic resilience and will ensure its technological leadership and strategic autonomy. Russia’s aggression against Ukraine, as well as China’s increasingly aggressive trade and industrial policy, have resulted in cobalt, lithium and other raw materials have become a geopolitical factor” –

The new regulations provide for economic incentives. They also provide more stable and safer conditions for the implementation of mining and recycling projects. They will make it easier and faster to obtain permission for strategic projects. “During the negotiations on the act with the Council, MEPs called for a greater focus on production. They also wanted to increase the number of materials that could be used to replace strategic raw materials. MEPs also made sure that the new regulations included goals in in the field of obtaining critical raw materials from waste. They also wanted to limit the bureaucracy that hinders the activities of especially small and medium-sized enterprises,” reports the EP deliberations.

“These regulations are an industrial policy strategy that will ensure the supply of raw materials in Europe without harming the environment. Through targeted economic incentives, we give private investors the confidence to plan projects. There will be one-stop shops for companies, and for national authorities quick and simple permitting procedures and clearly defined deadlines. This will stimulate mining, processing and Europe,” said rapporteur Nicola Beer (Renew, DE).

During work on the act, the importance of strategic partnerships with other countries was emphasized. In this way, the EU wants to diversify its supply sources. The provisions of the document are beneficial for long-term relationships, which are intended to facilitate the transfer of knowledge, training and professional development. The act is also intended to improve conditions and increase incomes. It also ensures mining and processing based on “the highest ecological standards in partner countries”.

Historic agreement at COP28

As the EP notes in its communication, the whole world is switching to renewable energies, in which strategic raw materials play a key role. Significant of these words is the agreement signed at the end of COP28, the UN climate summit. to avoid the worst effects of climate change.

On the other hand, the agreement was sharply criticized as too conservative. However, critics of the document may consider it symptomatic that on Thursday morning a preliminary agreement was reached in the European Union on the reform of the energy market, beneficial for Polish coal-fired power plants. The idea is to extend the possibility of co-financing coal energy until the end of 2028. Coal power plants will be kept in reserve in case of a crisis situation and lack of power in the system. And this means subsidizing coal-fired power plants for the fact that they are not used, but remain ready to be launched.

The EU Council announced in a communiqué that the reform of the EU electricity market aims to reduce the dependence of electricity prices on volatile fossil fuel prices, protect consumers against price spikes, accelerate the implementation of renewable energy and improve consumer protection.