Written by Ian Cárdenas, Lawyer
In recent years, Chile’s copper mining industry has led the transformation towards a cleaner and more sustainable energy matrix. This sector, crucial for the Chilean economy, not only drives economic growth but is also playing a vital role in the fight against climate change. According to recent data, from 2010 to 2023, greenhouse gas (GHG) emissions from copper mining in Chile decreased by 12%, largely due to the adoption of renewable energy sources (RES). However, the increase in diesel consumption poses significant challenges to achieving full decarbonization.
The Role of Mining in the Energy Transition
Chile’s copper mining industry has been a pioneer in adopting clean energy, creating the necessary conditions for sustainable investments through long-term contracts and commitments to renewable sources. According to Emilio Castillo, a professor at the University of Chile, the renewal of Chile’s energy matrix has been largely driven by the mining sector.
As a result of this initiative, GHG emissions from electricity consumption have decreased by 40%, reflecting the positive impact of transitioning to renewable energy sources. However, there is a paradoxical issue: despite this progress, diesel consumption has increased by 60% during the same period. This is mainly due to the aging of mines and the decline in ore grades, requiring deeper excavation and the transportation of larger volumes of material.
In open-pit mining, diesel accounts for 91% of direct emissions and is essential for the operation of haul trucks, presenting a significant challenge for achieving full decarbonization in the industry.
Challenges and Opportunities Towards Decarbonization
Despite these challenges, Chile’s copper mining industry is taking proactive measures to reduce its GHG emissions. Electromobility is one of the key strategies, with 86% of large-scale mining operations implementing low-emission transport plans by 2023. Leading companies such as Anglo American, Antofagasta Minerals, and Collahuasi already operate with 100% renewable electricity, demonstrating the industry’s commitment to sustainability.
Another significant advancement is innovation in clean technologies. For example, Enaex developed an explosive with 40% lower carbon footprint compared to traditional formulas, contributing to emission reductions in the extraction process.
Moreover, the industry is exploring new energy sources, such as liquefied natural gas (LNG) and green hydrogen, to reduce diesel dependence. The Antofagasta-Bolivia Railway is already operating South America’s first hydrogen-powered locomotive, marking a milestone in decarbonizing transport.
What Does This Mean for the Future of Mining in Chile?
Chile’s mining sector not only leads global copper production but is also paving the way for more sustainable mining practices. The industry goal is that by 2030, 90% of the energy used in copper mining will come from renewable sources, positioning Chile as a global leader in green mining.
However, achieving these objectives will require continuous collaboration among mining companies, technology providers, and the government. Innovation and investment in clean energy will remain essential to overcoming challenges related to diesel usage and ensuring a competitive and sustainable mining industry.
Conclusion: A Sustainable Future for Copper Mining in Chile
The decarbonization of copper mining in Chile is not only achievable but also represents a significant economic and environmental opportunity. The transition to renewable energy, combined with innovative technologies and electromobility, is transforming the mining industry into a global model of sustainability.
Harris Gomez Group METS Lawyers ® opened its doors in 1997 as an Australian legal and commercial firm. In 2001, we expanded our practice to the international market with the establishment of our office in Santiago, Chile. This international expansion meant that as an English speaking law firm we could provide an essential bridge for Australian companies with interests and activities in Latin America, and to provide legal advice in Chile, Peru and the rest of Latin America. In opening this office, HGG became the first Australian law firm with an office in Latin America.
As Legal and Commercial Advisors, we partner with innovative businesses in resources, technology and sustainability by providing strategy, legal and corporate services. Our goal is to see innovative businesses establish and thrive in Latin America and Australia. We are proud members of Austmine and the Australia Latin American Business Council.
Disclaimer: This article is for general informational purposes only and does not constitute legal advice. It does not create a solicitor-client relationship, and readers should seek independent legal advice for their specific circumstances. Harris Gomez Group accepts no liability for reliance on this content.