Report

Lithium Mining in Australia

An overview of socio-environmental governance of the sector

This case study is part of a project focused on strengthening supply chain resilience by analyzing the environmental and associated social impacts of critical minerals extraction and processing through the development of country-commodity case studies focused on nickel, lithium, and copper. It describes Western Australia’s environmental challenges and associated social issues from hard-rock lithium mining and examines policy measures for managing them.

Key Messages

  • As demand for lithium grows, so does the responsibility of industry and government to uphold and refine mining standards. A proactive approach to compliance is key to ensuring that mining can meet global demands without compromising the natural environment or the rights of local communities.

  • Strengthening enforcement mechanisms as well as ensuring consistent implementation, clear accountability mechanisms and safeguards that extend to surrounding communities, and timely compliance activities are key to protecting the environment, workers, and nearby communities.

  • In Western Australia, lithium mining operations significantly overlap with land where rights are held by Indigenous Peoples, requiring meaningful engagement and respect for Indigenous rights throughout the entirety of the mining cycle.

  • Despite a strong legislative framework on sexual and gender-based violence and occupational health and safety, the remote nature of operations poses challenges, making continued efforts to strengthen behavioural change, implementation, and accountability frameworks particularly important.

Western Australia underpins Australia’s position as the world’s largest lithium producer, making its mining sector a significant driver of regional economic growth and employment. 

The state has a comprehensive regulatory framework designed to manage the socio-environmental impacts of hard-rock lithium mining, including requirements related to environmental protection, Indigenous rights, and the health and safety of workers and surrounding communities. 

As demand for lithium continues to grow, so too does the responsibility of industry and government to uphold and refine standards that govern mining practice. The conclusions and lessons learned from this case study can be used to guide sustainable hard-rock lithium mining and processing in Australia as well as other jurisdictions.