World Bank: Africa Has Potential to Lead Global Batteries Market

 

The World Bank Head of Energy and Extractive Global Practice, Mr.  Riccardo Puliti, has stated that Africa could become a key player in the global batteries market if its governments create the right regulatory frameworks and ensure ethical sourcing.

Puliti, who stated this recently in the gathering of over 6, 000 delegates at the Africa Mining Conference in Cape Town,  South Africa,  added that the future looks pretty rosy for Africa.

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 and tablets.

 

Electric vehicle manufacturer, Tesla, had 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, Pulitic 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, Barrick Gold, a Canadian mining giant, 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.