We make resource extraction transparent and comprehensible

The Russian full-scale war against Ukraine has put security of energy supply in Germany and dependence on raw material imports in general at the top of the German government’s political agenda. The transparency and quality of imports of raw materials will therefore have to play a role in EITI reporting in future. This applies to the currently still necessary import of fossil energy raw materials. However, the successful energy transition will not reduce the need for other raw material imports in the future either. Germany must therefore ensure that imported raw materials are extracted in accordance with the same environmental, social and good governance standards that it applies to its own raw materials sector.

The global EITI (Extractive Industries Transparency Initiative) is committed to greater financial transparency and accountability in the extractive sector. Germany has been a member since 2017. What is special about EITI is that the initiative is voluntary and the process is managed by a national multi-stakeholder group (MSG) consisting of representatives from federal and state governments as well as representatives from the private sector and civil society.

All EITI validations to date have impressively demonstrated that all financial flows in the extractive sector of German industry are correct, plausible and traceable. A second important finding is that against the backdrop of growing global demand for raw materials and one-sided import dependencies, the importance of domestic raw material extraction is growing. It is carried out in Germany in accordance with the highest environmental, social and safety standards. Domestic extraction is not only lower in CO2 emissions than many imports, it also makes the industry politically less dependent on third parties.

The dual transformation of the energy transition and digitalisation can only succeed with a secure supply of raw materials. Domestic raw material extraction makes a decisive contribution here.