Australia stands at a crossroads, torn between its role as a global leader in mining and a significant contributor to fossil fuel emissions. The nation’s mining sector, a critical supplier of transition materials, faces mounting pressure to decarbonise. With demand for these materials set to double by 2030, the stakes are high. The federal government’s recent announcement of a 62–70% emissions reduction target by 2035 has sparked debate, with industry leaders calling it ambitious and environmental groups dismissing it as insufficient. This divide underscores the complexity of Australia’s decarbonisation journey.
The path to cleaner mining is fraught with challenges, from high costs and legacy systems to the vast and varied terrains that characterise Australian operations. Yet, the potential gains are substantial. Innovators are scaling up technologies that could redefine extraction, from renewable integration to microgrids and electrified fleets. Dane Noble, Australia-New Zealand industrial decarbonisation lead at AECOM, highlights three main pathways to emission reduction: reducing fuel combustion emissions through fuel switching and electrification, reducing fugitive emissions from coal mining and gas processing, and scaling carbon management technologies.
Progress, however, remains uneven. While positive trends include decarbonised purchased electricity via power purchase agreements (PPAs), with Rio Tinto emerging as a global leader in this area, negative trends persist, particularly around fleet electrification technology maturity. Miners see on-site renewables as the most effective way to cut emissions by 2030, a method particularly suited to Australia’s abundant solar and wind opportunities. Projects like Gold Fields’ St Ives, which aims to cover 73% of the mine’s electricity needs with wind and solar, serve as blueprints for renewably powered mines. Yet, logistical and financial barriers, especially for remote operations, remain significant hurdles.
Carbon capture, utilisation, and storage (CCUS) has also emerged as a potentially significant solution. A recent study from AECOM highlighted CCUS as an essential piece of the decarbonisation puzzle, one that Australia has yet to fully capitalise on. Noble emphasises the need for infrastructure development, including de-bottlenecking the supply chain and ensuring access to clean and affordable energy supply.
The sheer scale of the mining industry presents implementation challenges for decarbonisation technologies. Gareth Kennedy, research director of the Commonwealth Scientific and Industrial Research Organisation’s (CSIRO) Sustainable Mining Technologies programme, notes that while progress has been made in awareness and early adoption, the industry is still far from achieving net zero. The technologies exist, but scaling and implementation require major investment.
Electrification of mine transport is another area where progress is slow. Truck haulage is responsible for up to 50% of emissions in open pits, and shifting to a cleaner model can lead to lower greenhouse gas emissions and reduced maintenance costs. However, only 1% of trucks and 3% of underground loaders are currently battery-electric, with high upfront costs and infrastructure requirements cited as major barriers. David Kurtz, director of research & analysis for construction, mining, and energy at GlobalData, expects the share of electric vehicles to rise significantly in the next decade as miners address sunken assets and battery limitations.
While decarbonisation dominates headlines, CSIRO is also developing technologies to address other significant environmental burdens, such as methane and wastewater. Kennedy highlights catalytic systems that can destroy methane at low concentrations, successfully piloted at a mine site and slated for scaling up. Another project focuses on wastewater treatment, using membrane and osmosis-based systems to convert contaminated mine water into reusable sources. Ramesh Thiruvenkatachari, lead researcher in the water treatment initiative, acknowledges the infrastructure intensity of such work but sees potential in harnessing renewable energy to recycle water on-site in remote areas.
The uneven progress of emission reduction projects across Australia underscores the need for consistent investment, technological development, and refined policy. The mining industry’s transformation is underway, but achieving industry-wide change will require sustained effort and collaboration. As the sector navigates this complex landscape, the potential for cleaner mining to become one of Australia’s greatest industrial opportunities remains a compelling prospect.