Public trust is key to faster permitting: report

Public trust plays a crucial role in the faster advancement of mining projects, according to a new report. Rather than advocating for weaker regulation, the Trust, Accountability and Inclusion Collaborative (TAI) emphasizes that companies should focus on building trust with the communities involved in the projects to prevent conflicts and costly delays.

The report's author, Sefton Darby, an independent consultant at TAI, explains that trust is one of the most important factors for the success of new developments, as it helps avoid conflicts, legal challenges, and regulatory disputes that can cause delays and result in significant financial losses for companies.

While communities may be concerned about receiving a fair share of the project's benefits, they often value having a meaningful voice in the development process, confidence in regulation, and assurance that environmental impacts are being addressed. To foster trust, TAI proposes the establishment of an Adaptive Governance Partnership (AGP) for each project.

This committee would bring together regulators, mining companies, and community representatives to make decisions throughout the project's lifecycle, addressing environmental, social, and cultural concerns before they escalate.

Darby stresses that the fastest project is not necessarily the one with the fewest rules; instead, it is the one that identifies risks early, involves communities in decision-making, and creates confidence in commitments. The report suggests testing this approach in real-life operations, with Australia or Canada as potential locations.

It also calls for a clearer distinction between critical minerals needed for energy transition and those used for national defense and geopolitical competition, as roughly 60% of critical minerals do not contribute to energy transition. This distinction is crucial to prevent environmental, development, and philanthropic initiatives from supporting agendas that are not aligned with the transition to clean energy.

The report highlights the need for a better way to initiate projects, particularly for underfunded junior mining companies that start greenfield mines. These companies often focus solely on finding geological resources and are unable to consider community, environmental, and social concerns. As a result, problems can become more significant than they should be before a larger company takes over.

The report suggests a new model for junior mining companies, where exploration funding is tied to environmental and social initiatives, ensuring that the transition to clean energy is just, affordable, and sustainable.