EU secures access to sustainable supply of critical raw materials
Critical raw materials - Photo by Paul-Alain Hunt on Unsplash
(BRUSSELS) - The European Critical Raw Materials Act entered into force Thursday, with the aim of ensuring a diverse, secure, and sustainable supply of critical raw materials for the EU's industry.
Secured access to critical raw materials is seen as essential for strategic sectors including clean technologies, digital, defence and aerospace industries. The new regulatory framework is set to strengthen domestic capacities and consolidate the sustainability and circularity of critical raw material supply chains in the EU, while continuing to pursue its diversification agenda. The result should be a strengthening of domestic supply and reduced reliance on single suppliers. As highlighted in the aftermath of Covid-19 and Russia's invasion of Ukraine, strategic dependencies exposed the European industry to supply chain disruption risks.
The Act establishes benchmarks to increase capacities for extraction, processing, and recycling of critical raw materials in the EU and guide diversification efforts. In addition, it creates a framework to select and implement Strategic Projects, which can benefit from streamlined permitting and enabling conditions for access to finance; as well as sets out national requirements to develop exploration programmes in Europe.
An aim is also to improve efficient use of critical raw materials by creating value chains for recycled critical raw materials. To ensure resilience of the supply chains, the Act allows the monitoring of critical raw materials supply chains, and information exchange and future coordination on strategic raw materials' stocks among Member States and large companies.
The first meeting of the Critical Raw Materials Board took place on 23 May, with a significant role in implementing the new policy framework, supporting the Commission in the selection and implementation of Strategic Projects, in exchanging on permitting procedures and circularity initiatives, and in facilitating international cooperation and Strategic Partnerships pertaining to raw materials.
At the first meeting of the Board, the Commission opened the Call for Strategic Projects Applications. The first cut-off date for the submission of applications is 22 August 2024 12:00 CET. Detailed information, including the Application form and the Guide for Applicants, is available on the Strategic Projects website.
European Critical Raw Materials Act - guide
European Critical Raw Materials Act