The State of Sustainable Mining in Canada
Canada is one of the world’s leaders in mining and is home to 75% of the world’s mining companies1; being a leader is a coveted position but is also a challenging one. Mining is at the heart of conversations on climate change. Mining and minerals production must scale up to meet the growing demands of global electrification – renewable technologies, electric vehicles, batteries, and transmission and distribution wires require critical minerals such as copper, aluminum, lithium, nickel, cobalt, and rare earth metals2 3.
Canadian mining companies are also facing criticism and legal action from governments, local indigenous communities, and investors alike who are demanding higher environmental and reporting standards, lest the companies lose their permits4 or even face class action lawsuits5.
So, we see the challenge facing Canadian mining industry leaders: They are responsible for ushering in the energy transition and our sustainable future, but they must do so in a way that minimizes harm to people and the environment – not just halting future harm but also reversing existing nature and biodiversity loss6. But this is not a tale of woe: Canada is known for its commitment to climate action and sustainable mining, and thanks to this, according to David Clarry, 2022 Chair of the Mining Association of Canada Board of Directors, “countries from around the world want minerals, metals and energy products mined in Canada”7. There is a huge opportunity for those who lead on sustainability.
Today, Canada is championing responsible mining through the Towards Sustainable Mining (TSM) initiative. TSM tracks performance across:
- Indigenous and Community Relationships
- Crisis Management and Communications Planning
- Safety and Health
- Preventing Child and Forced Labor Protocol
- Tailing Management
- Biodiversity Conservation Management
- Water Stewardship
- Climate Change
- Equitable, Diverse, and Inclusive Workplaces
In 2023, facilities began public reporting following the new TSM Climate Change Protocol which takes a “comprehensive approach to climate change, incorporating mitigation and adaptation measures at both corporate and facility levels” in addition to energy and GHG reporting8.
Steps To Take Today: Energy Efficiency Opportunities for Canadian Industrials
Key to enabling energy and emissions management is improved data and transparency. The Canadian government supports its industrial companies in their endeavors to gain and maintain the ISO 50001 international standard for energy management and shows this support through recognition programs like the 50001 Ready Canada program, which “provides step-by-step guidance that helps you implement your energy management system”9. According to the Canadian government, “Canadian industrial companies that have implemented ISO 50001 have achieved an average cumulative energy performance improvement of nearly 10% within the first two years”10.
The Canadian government also provides financial support to industrials through the Green Industrial Facilities and Manufacturing Program which “provides direct-to-industry support to help implement energy efficiency and energy management solutions” for “a single facility or multiple facilities”11. The next call for proposals is anticipated to be launched in 2024 and will offer “cost-shared financial assistance of up to 50% of eligible implementation costs to a maximum of $10 million per proposal”12. Additionally, “the Canadian Industry Program for Energy Conservation (CIPEC), a division of Natural Resources Canada (NRCan) offers funding to mining companies pursuing energy efficiency and greenhouse gas reduction through the Toward Sustainable Mining (TSM) standard”; mining companies “may qualify to receive 50 percent of eligible costs up to a maximum of $40,000”13.
As an ISO 50001-certified software, the ABB Ability Energy Management System can help Canadian mines gain and maintain ISO 50001 certification and access energy efficiency funding from the Canadian government. To learn more about the ABB Ability Energy Management System, download our Datasheet.
References
1 Government of Canada, "Minister Ng promotes Canada’s mining industry at virtual Prospectors & Developers Association of Canada 2021 Convention," Government of Canada, 21 03 2021.
2 International Energy Agency, "How critical minerals can unlock a cleaner energy future," International Energy Agency, 23 03 2023.
3 U.S. Department of Energy, "What Are Critical Materials and Critical Minerals?," U.S. Department of Energy: Critical Minerals & Materials Program, 12 03 2024.
4 H. Dempsey, "Miners must protect environment or face threat to projects for green switch," Financial Times, 22 01 2024.
5 J. Langston, "Securities class action against mining company moves toward settlement," Investment Executive, 08 01 2024.
6 The Mining Association of Canada, "Annual Report 2022," The Mining Association of Canada, 16 06 2023.
7 The Mining Association of Canada, "TSM Climate Change Protocol," The Mining Association of Canada, 29 04 2021.
8 Government of Canada, "Get 50001 Ready Canada recognition with the Ready Navigator tool," Government of Canada, 26 03 2024.
9 Government of Canada, "ISO 50001 Energy Management Systems Standard," Government of Canada, 14 03 2024.
10 Government of Canada, "Green Industrial Facilities and Manufacturing Program," Government of Canada, 11 10 2023.
11 International Energy Agency, "Canadian Industry Program for Energy Conservation (CIPEC) Funding for TSM Protocol," International Energy Agency, 08 11 2022.
12 Government of Canada, "Responsible mining," Government of Canada, 18 05 2023.
13 E. Marsden, "Nature," ICMM, 06 2023.
