Mining companies usually implement renewable energy facilities to help decarbonise their operations, reduce energy costs, assist and support constructive obligations within communities, and aid their environmental, social and governance (ESG) ratings.
Miners typically focus on how a renewable-energy generation and/or storage facility affects project economics, and how to operate with sustainability in mind during a mine’s life.
In the past, mining companies mostly focused on production and reaching targets. But they are now seen to be working on how renewable energy assets at mines can leave a positive legacy for communities, particularly remote ones. This is a legacy that, for decades to come, improves energy security, creates jobs and opportunities, and helps the environment.
The synergies between renewable-powered mines and community development programs through the mine lifecycle and post-closure is the subject of an upcoming paper by SRK Consulting’s Ludovic Rollin, Jane Joughin and Danielle Kyan.
The paper is being presented at an Australasian Institute of Mining and Metallurgy (AusIMM) Life of Mine 2023 conference in Brisbane in early August.
“Thinking bigger with renewable-powered mines is also about thinking better,” Rollin, a senior environmental engineer with SRK Consulting, said.
“Mining companies should be open-minded with emerging renewable technologies and consider if they can create a positive social impact on communities long after a mine closes.”
SRK principal environmental geologist Danielle Kyan said mining companies were beginning to focus on the alignment of renewable-powered mines and community development.
“The starting point for many mining companies has been to introduce renewable energy sources and storage on-site to lower their carbon footprint,” Kyan said. “Often, the next step is to introduce electric vehicles to further reduce carbon emissions.”
The opportunity, according to Kyan, is integrating renewable energy thinking into mine planning and closure strategies – and into community-engagement programs.
“Renewable energy assets can potentially change the conversation between some mining projects and nearby communities,” she said.
“Mining companies that engage with communities to understand their long-term needs – and develop renewable assets that respond to those needs – are likely to gain greater support from stakeholders.”
Rollin believes community needs from renewable assets can be broader than energy.
“It could be about water quality, food supply or ensuring there are jobs after a mine closes,” he said.
Complex challenges
The main issues occur when mining companies seek to introduce renewable power at existing or new mines as part of their decarbonisation strategies. This can involve sourcing renewable energy from external sources or establishing power generation and storage facilities at the site.
Using solar panels or wind farms to generate power on-site, or establishing batteries, hydrogen facilities or pumped hydroelectricity to store energy, is complex. This often requires land access, impact assessment, planning, environmental approvals and significant community engagement over months or years.
Transitioning to renewables also raises new challenges in energy supply variabilities, land and skilled labour requirements, and in meeting mine-closure objectives.
Although renewable energy systems in mining have great potential, many Australian mines are in remote areas near sparse populations and have limited scope to leave a renewable-energy legacy. This means the likeliest outcome is to demolish these assets when the mine closes.
“In many locations, the introduction of renewable energy is focused on the mine’s energy needs and carbon intensity during its lifetime,” Kyan said. “Potential for leaving an energy legacy when the mine closes becomes more difficult when the benefits are too low.”
Rollin said mining companies can address these and other challenges through participative stakeholder engagement.
“The goal should be to identify whether the introduction of renewable energy technology at a mine can help a nearby community and if it’s feasible for that asset to continue operating after the mine closes,” he said.
Choosing the right time is vital.
“A mining company might think 20 years ahead when factoring renewable energy into its planning and closure strategies,” Rollin said. “But with appropriate maintenance and operational support, that asset might power a community for the next 50–100 years and provide other social benefits.”
The longevity of renewable energy assets raises other issues.
“If there is an identified long-term benefit, mining companies and communities need to work together to understand how that renewables asset would be maintained, who would own it, and who is responsible for its ongoing costs and any potential liabilities, after mine closure,” Kyan said.
In some cases, this collaboration will extend beyond the mining company and communities.
“In areas where there are multiple mines and other industries, there is a potential for mining companies, industries and government to work together and form renewable-energy hubs,” Kyan said.
