Experts, on Monday said Africa could become a key player in the global batteries market if its governments create the right regulatory frameworks and ensure ethical sourcing.
The World Bank Head of Energy and Extractives Global Practice, Riccardo Puliti, said that the future looks pretty rosy for Africa.
Puliti told over 6,000 delegates at the Africa’s largest mining conference, Indaba, Cape Town.
Prices for battery metals, especially cobalt, have seen a sharp increase due to demand created by electric vehicles and other products for the renewable energy industry, such as lithium ion batteries that power laptops, smartphones/tablets.
Electric vehicle manufacturer Tesla even warned in 2019 of an upcoming global shortage of those minerals due to a shortfall in investments in companies mining battery metals.
Africa, with its vast reserves in battery metals, including copper, cobalt, nickel, lithium and graphite, could be the key to solving the problem.
However, they warned that without the right fiscal and legal environment, the continent would not be able to make the most of its resource advantage.
“Where I see a big difficulty is the lack of clear and predictable regulatory frameworks, and it is costing Africa credibility and investor confidence, “ he said.
The chief operating officer for Africa and Middle East of Canadian mining giant Barrick Gold, Willem Jacobs, said in many countries, mining codes were not implemented properly or changed with every new government.
“There is no carry-over between governments. Every decade or so you start again,” Jacobs said.
