Activities of Caroline ROOSE related to 2023/0079(COD)
Plenary speeches (1)
Framework for ensuring a secure and sustainable supply of critical raw materials (debate)
Amendments (42)
Amendment 19 #
Proposal for a regulation
Recital 1
Recital 1
(1) Access to raw materials is essential for the Union economy and the functioning of the internal market. There is a set of non-energy, non-agricultural raw materials that, due to their high economic importance and their exposure to high supply risk, often caused by a high concentration of supply from a few third countries, are considered critical. Given the key role of many such critical raw materials in realising the green and digital transitions, and in light of their use for defence and space applications, demand will increase exponentially in the coming decades if no measure is implemented to mitigate the growth and shield the EU from the rising gap between demand and suply at the global level. At the same time, the risk of supply disruptions is increasing against the background of rising geopolitical tensions and resource competition. Furthermore, if not managed and mitigated properly, increased demand for critical raw materials could lead to negative environmental and social impacts, particularly for sectors that show a strong dependance on ecosystem services (such as agriculture, nature- based tourism and fisheries). In addition, the negative social and environmental impact of extractive industries risk to become more severe in the future, given the trend towards mining lower grade ores, which will lead to larger amounts of waste, as well as higher energy and water demands. Equally, as easily accessible reserves become depleted, exploration is moving to remote and often fragile areas, as is the case of deep-sea mining. Considering these trends, while it is necessary to take measures to ensure access to a secure and sustainable supply of critical raw materials to safeguard the Union's economic resilience and open strategic autonomy, greater resource efficiency and circularity need to be prioritised around the globe to reduce demand for virgin materials, as current trends of resource extraction and processing cause environmental impacts that would exceed the planetary boundaries.
Amendment 24 #
Proposal for a regulation
Recital 7
Recital 7
(7) For some raw materials, the Union is almost fully dependent on a single country for its supply. Such dependencies entail a high risk of supply disruptions. Likewise, while well-managed income from extractive resources presents opportunities for supporting inclusive development for resource-rich developing countries, yet extractive industry can be disruptive and lead to severe environmental degradation and disruption of social fabric, and in some cases, even unleashing political dynamics that result in the deterioration of governance and serious conflicts. To limit such potential risk and increase the Union’s economic resilience, efforts should be undertaken to ensure that, by 2030, it is not overly dependent on a single third country for more than 65% of its supply of any strategic raw material, unprocessed and at any stage of processing, giving however special consideration to countries with whom the Union has established a Strategic Partnership on raw materials giving rise to greater assurances regarding supply risks.
Amendment 25 #
Proposal for a regulation
Recital 10
Recital 10
(10) In order to diversify the Union's supply of strategic raw materials, the Commission should, with the support of the Board, identify Strategic Projects in third countries that intend to become active in the extraction, processing or recycling of strategic raw materials. To ensure that such Strategic Projects are effectively implemented, they should benefit from improved access to finance. In order to ensure their added value, projects should be assessed against a set of criteria, taking into account that for a majority of resource-rich developing countries, mining, oil or gas exploitation has not translated into broader-based economic, human and social development. Like projects in the Union, Strategic Projects in third countries should strengthen the Union's security of supply for strategic raw materials, show sufficient technical feasibility and be implemented sustainably. For projects in emerging markets and developing economies, the project should be mutually beneficial for the Union and the third country involved and add value in that country, taking into account also its, in compliance with due diligence processes as defined by EU legislation and OECD Guidelines for Multinational Enterprises, addressing adverse impacts on human rights and environmental, rule of law and good governance, as well as the FAO Voluntary Guidelines on the Responsible Governance of Tenure of Land, Fisheries and Forests, where land tenure rights are concerned. For projects in emerging markets and developing economies, the project should be mutually beneficial for the Union and the third country involved, taking into account that for mineral-rich developing countries, realising the full potential of the mining sector as a catalyst for sustainable development is fraught with many challenges, which includes among others: the finite nature of mineral deposits; the “enclave” nature of the extractive industry, with few links to the local economy; the volatility in commodity prices; limited national capacities, which leaves ill-equiped national administrations vulnerable to large multinational companies; corruption and conflicting stakeholders interests. A project should add value in that country, taking into account the principle of Policy Coherence for Development (PCD) as laid down in Article 208 TFEU and be consistencyt with the Union’s common commercial policy and WTO regime in the field of export taxes on commodities. Such value may be derived from the project’s contribution to more than one stage of the whole value chain, including raw material processing, as well as from creating through the project wider economic and social benefits, including the creation of employment in compliance with international standards, notably the core labour standards of the International Labour Organisation, as well as the right to the free, prior, and informed consent of Indigenous peoples and local communities, in line with the UN Declaration on the Rights of Indigenous Peoples (UNDRIP) and ILO Convention 169 on Indigenous and Tribal Peoples. Where the Commission assesses these criteria to be fulfilled, it should publish the recognition as a Strategic Project in a decision.
Amendment 33 #
Proposal for a regulation
Recital 10 a (new)
Recital 10 a (new)
(10a) The definition of mutually beneficial partnership with third countries entails, in particular for low-income resource-rich countries, to move away from the enclave nature and extractivist model of the mining sector and to provide developing countries with sufficient policy space to do so, including through the reform of the international trade and investment regime that constraints the use of the full range of policy instruments to achieve resource-based industrialisation at the local level.
Amendment 35 #
Proposal for a regulation
Recital 11
Recital 11
(11) In order to ensure the sustainability of increased raw material production, new raw materials projects should be implemented sustainably. To that end, taking into account that the impacts of mining can extend beyond the operations of the mine. This is particularly relevant for low- income resource-rich countries, notably concerning mine waste that are toxic in nature, and therefore disruptive for the environment, biodiversity services and associated livelihoods. Against this background, the potential impacts throughout the whole life cycle of a project, and for years beyond closure of the mine itself, need to be considered. Workers’ rights constitute another important issue to address in the extractive industry, taking into account that the denial of civil liberties, undue restrictions on the right to strike; interference by governments in the functioning of workers’organisations and restrictive legislation are common challenges in developing countries. In addition, special attention should be paid to the role of women in artisanal and small-scale mining and the adverse environmental and social impacts of mining that can disproportionately affect women. To these ends, the Strategic Projects receiving support under this Regulation should be assessed taking into account international instruments covering notably all aspects of sustainability highlighted in the EU principles for sustainable raw materials31[1], including ensuring environmental protection, including the protection of marine and coastal environment, good governance, socially responsible practices, including respect for human and social rights such as the rights of women, and transparent business practices. Projects should also ensure engagement in good faith as well as comprehensive and meaningful consultations with local communities, including with and indigenous peoples. To provide project promoters with a clear and efficient way of complying with this criterion,compliance with relevant Union legislation, international standards, guidelines andprinciples or participation in a certification scheme recognised under this Regulation should be considered sufficient. _________________ 31, in full compliance with the principles of Free, Prior and Informed Consent (FPIC). [1] European Commission, Directorate- General for Internal Market, Industry, Entrepreneurship and SMEs, EU principles for sustainable raw materials, Publications Office, 2021, https://data.europa.eu/doi/10.2873/27875
Amendment 41 #
Proposal for a regulation
Recital 12
Recital 12
(12) Any promoter of a strategic raw materials project should be able to apply to the Commission for the recognition of their project as a Strategic Project. The application should include several documents and evidence related to the criteria. To better assess the social, environmental and economic viability, the feasibility of the project as well as the level of confidence in the estimates, the project promoter should also provide a classification of the project according to the United Nations Framework Classification for Resources, and to allow for objective validation, they should support this classification with relevant evidence. A timetable for the project should also be attached to an application, in order to estimate when the project would be able to contribute towards the benchmarks for domestic capacity or for diversification. As public acceptance of mining projects is crucial for their effective implementation, the promoter should also provide a plan containing measures to facilitate public accepensure public participation. This is also valid for projects in third countries, where the respect of the Free, Prior and Informed Consent (FPIC) of local communities and indigenous people is of primary importance. Special attention should be paid to social partners, civil society and other oversight actors. The promoter should also provide a business plan providing information regarding the project’s financial viability and giving an overview of funding and off- take agreements already secured as well as estimates for potential job creation and for the project’s needs in terms of skilled workforce, including upskilling and reskilling.
Amendment 43 #
Proposal for a regulation
Recital 14
Recital 14
(14) As the cooperation of the Member State on whose territory a Strategic Project will be implemented is necessary to ensure its effective implementation, that Member State should have the right to object to and thereby prevent that a project is granted the status of Strategic Project against its will. If it does so, the relevant Member State should provide a reasoned justification for its refusal referring to the applicable criteria. Similarly, the Union should not grant the status of Strategic Project to projects that will be implemented by a third country against the will of its government and should therefore refrain from doing so where a third country government objects, taking into account that environmental and social impacts are the main factors leading to a lack of public acceptance in the extractive sector.
Amendment 46 #
Proposal for a regulation
Recital 25
Recital 25
(25) Land use conflicts can create barriers toarise from the deployment of critical raw material projects, notably in developing countries, where forced eviction or relocation are common features of mining operations. This is a serious human rights violation, especially for indigenous people whose livelihoods are closely intertwined with the land and who derive much of their livelihoods from biodiversity services. Well-designed plans, including spatial plans and zoning, that take into account the potential for implementing critical raw material projects and whose potential environmental impacts are assessed, have the potential to help balance public goods and interests, decreasing the risk of conflict and accelerating the sustainable deployment of raw materials projects in the Union. Responsible national, regional and local authorities should therefore consider including provisions for raw materials projects when developing relevant plans.
Amendment 49 #
Proposal for a regulation
Recital 28
Recital 28
(28) Partnership of the key stakeholders in the extractive value chain entails to meet the twin goals of sustainable development for exporting countries and security of supply for importer countries. In order to overcome the limitations of the currently often fragmented public and private investments efforts, facilitate integration and return on investment, the Commission, Member States and promotional banks should better coordinate and create synergies between the existing funding programmes at Union and national level as well as ensure better coordination and collaboration with industry and key private sector stakeholders. To that end, a dedicated sub- group of the Board bringing together experts from the Member States and the Commission as well as relevant public financial institutions should be set up. This sub-group should discuss the individual financing needs of Strategic Projects and their existing funding possibilities in order to provide project promoters with a suggestion on how to best access existing financing possibilities. When discussing and making recommendations for the financing of Strategic Projects in third countries, the Board should in particular take into account the Global Gateway strategy42 . _________________ 42 Joint Communication to the European Parliament, the Council, the European Economic and Social Committee, the Committee of the Regions and the European Investment Bank The Global Gateway (JOIN/2021/30 final)[1], which should comply with the objectives and general principles set in NDICI - Global Europe regulation and the international guidelines and Conventions on investiment, including the UN Principles for Responsible Investment, the UN Guiding Principles on Business and Human Rights, the OECD Guidelines for Multinational Enterprises, ILO conventions, international human rights law and the development effectiveness principles.
Amendment 63 #
Proposal for a regulation
Recital 53 a (new)
Recital 53 a (new)
(53a) Agenda 2030 has given a new impetus to deliver improved livelihoods from extractive resources, provided that careful consideration is paid to the views and expectations of all the key actors in home and host countries, to reconcile issues of sustainable development and security of supply, such as the Africa Mining Vision and the EU Raw Materials Initiative. At the local level, inclusive business models should be implemented in which local communities participate in decision-making, their rights are protected and they benefit from extractive industries.
Amendment 64 #
Proposal for a regulation
Recital 54
Recital 54
(54) The Union has concluded Strategic Partnerships covering raw materials with third countries in order to implement the 2020 Action Plan on Critical Raw Materials. In order to diversify supply, these efforts should continue. Nevertheless, the Union should fully take into account that extractive industries in developing countries often operate in complex social environments surrounded by communities living in extreme poverty. In addition, mining can become a “threat multiplier” in third developing countries, notably in terms of serious human rights violations, especially if the State is weak and corrupt. To develop and ensure a coherent framework for the conclusion of future partnerships, the Member States and the Commission should, as part of their interaction on the Board and with full involvement of the European Parliament, discuss and ensure coordination on, inter alia, whether existing partnerships achieve the intended aims, the prioritisation of third countries for new partnerships, the content of such partnerships and their coherence and potential synergies between Member States' bilateral cooperation with relevant third countries. The Union should seek mutually beneficial partnerships with emerging market and developing economies notably in terms of rent extraction, getting a fair deal and share of profits, transparency, accountability, tackling illicit financial flows, improving regulation of the activities of trans- national corporations and financial regulation, in coherence with Agenda 2030 and its Global Gateway strategy, which should contribute to the diversification of its raw materials supply chain as well as add value in the production in these countries.
Amendment 74 #
Proposal for a regulation
Article 1 – paragraph 1
Article 1 – paragraph 1
1. The general objective of this Regulation is to improve the functioning of the internal market by establishing a framework to ensure the Union's access to a secure and sustainable supply of critical raw materialsimprove the resilience of the Union regarding the supply of critical raw materials, by prioritising sustainability, efficiency and circularity, with the view to reduce global demand for virgin materials to achieve Sustainable Development Goals, notably to address the challenges of climate change, water stress and pollution and loss of biodiversity.
Amendment 82 #
Proposal for a regulation
Article 1 – paragraph 4 a (new)
Article 1 – paragraph 4 a (new)
4a. For Strategic projects in third countries, the Commission shall follow a sustainable development approach based on the following principles: - The strength of the economic outcome, to support development goals and in particular, the shift from an enclave production mining model to a model tied to local industry through local participation and local content; - Sound environmental management; - The respect for social values and aspirations of a diverse group of stakeholders resulting from credible multi-stakeholder consultative process; - The observance of the highest governance and transparency standard; - These principles shall be applicable to governments, companies and stakeholders involved in the mining sector.
Amendment 87 #
Proposal for a regulation
Article 2 – paragraph 1 – point 62
Article 2 – paragraph 1 – point 62
(62) ‘Strategic Partnership’ means a commitment between the Union and a third country to increase cooperation related to the raw materials value chain that is established throughseeks to address both the goals of sustainable development for exporting countries and the security of supply for importer countries, while addressing the externalities of mineral resource extraction (economic, social and environmental damage) and mitigating its impact, through the establishment of a non-binding instrument setting out concrete actions of mutual interest.
Amendment 94 #
Proposal for a regulation
Article 5 – paragraph 1 – point e
Article 5 – paragraph 1 – point e
(e) for projects in third countries that are emerging markets or developing economies, the project would be mutually beneficial for the Union and the third country concerned by adding local value in that country, notably through contributing to the formalization of artisanal and small-scale mining sector and inclusive business models in which local communities participate in decision- making, their rights are protected and they benefit from extractive activities; and which ties both home and host countries in a shared responsibility to comply with high social, environmental and human rights standards.
Amendment 130 #
Proposal for a regulation
Article 33 – paragraph 1 – point a – point iii a (new)
Article 33 – paragraph 1 – point a – point iii a (new)
(iiia) contributing to economic and social developments in partner countries, in particular for emerging markets and developing economies, through a governance framework that prioritises human rights, while also promoting the uptake of environmentally sustainable and circular economy practices and decent working conditions;
Amendment 132 #
Proposal for a regulation
Article 33 – paragraph 1 – point a – point iii b (new)
Article 33 – paragraph 1 – point a – point iii b (new)
(iiib) addressing effective mineral resource governance throughout the life cycle of mining operations, which requires among others: - The recognition of the rights of Free, Prior and Informed Consent (FPCI) of Indigenous People and Local Communities;their access to information for effective public participation in decision-making, and ensuring that persons exercising their rights are not penalised, persecuted or harassed; - Full transparency of the mining sector in relation to revenues and contracts, in line with the Extractive Industries Transparency Initiative (EITI) requirements, including regarding environmental transparency; - To address social impacts of mining and mitigating these, through an approach driven by an Avoid, Mitigate, Restore principle.
Amendment 138 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – introductory part
Article 33 – paragraph 1 – point c – introductory part
(c) which third countries should be prioritised for the conclusion of Strategic Partnerships, taking into account the following cumulative criteria:
Amendment 140 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point i a (new)
Article 33 – paragraph 1 – point c – point i a (new)
(ia) whether strategic environmental impact assessments and integrated spatial planning are implemented;
Amendment 141 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point i b (new)
Article 33 – paragraph 1 – point c – point i b (new)
(ib) whether the principle of prevention and the precautionary principle are respected;
Amendment 142 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point i c (new)
Article 33 – paragraph 1 – point c – point i c (new)
(ic) whether the need to protect the local environment and mitigate the negative impact of mining activities is in line with national and international guidelines, especially those of Multilateral Environment Agreements (MEAs);
Amendment 143 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point i d (new)
Article 33 – paragraph 1 – point c – point i d (new)
(id) whether mine closure and the rehabilitation of mine sites (post-mining) policies are in place from the onset in full consultation with the local communities;
Amendment 144 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point ii
Article 33 – paragraph 1 – point c – point ii
(ii) whether a third country's regulatory framework and its effective implementation ensures the monitoring, prevention and, minimisation ofand compensation of adverse social and environmental impacts of mining, the use of socially responsible practices including respect of human and labour rights and meaningful engagement with local communitiesand active participation of affected local communities and indigenous people, the use of transparent and responsible business practices, in compliance with due diligence processes as defined by EU legislation, including the OECD Guidelines for Multinational Enterprises, the UN Global Compact and the ISO 26000 standards and the prevention of adverse impacts on the proper functioning of public administration and the rule of law;
Amendment 150 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point iii
Article 33 – paragraph 1 – point c – point iii
(iii) whether there are existing cooperation agreements between a third country and the Union and, for emerging markets and developing economies, and whether the potential for the deployment of Global Gateway investment projects respond to shared visions such as the Country Mining Visions of the Africa Mining Vision and are fully aligned with national development plans such as industrial and trade policies; respect human rights and contribute to the decoupling of natural resource use.
Amendment 159 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point iv a (new)
Article 33 – paragraph 1 – point c – point iv a (new)
(iva) whether partnerships address the capture of a fair share of mineral resource rents, equitable distribution in the rents, tackle illicit financial flows and commodity price volatility;
Amendment 160 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point iv b (new)
Article 33 – paragraph 1 – point c – point iv b (new)
(ivb) whether partnerships make international investment laws fairer, including through increased recognition of local laws in handling disputes between investors and host countries; technology transfer and the possibility to use export taxes on commodities, insofar as it is WTO compatible;
Amendment 161 #
Proposal for a regulation
Article 33 – paragraph 1 – point c – point iv c (new)
Article 33 – paragraph 1 – point c – point iv c (new)
(ivc) whether partnerships contribute to the formalization of the mining sector, especially the artisanal and small-scale mining sector, notably through developing conducive and comprehensive legal frameworks, ensuring access to capital, providing access to geological data and appropriate equipment and enabling a dialogue between artisanal small-scale mining stakeholders.
Amendment 162 #
Proposal for a regulation
Article 33 – paragraph 2
Article 33 – paragraph 2
2. The Board shall, in the context of paragraph 1 and in so far as relates to emerging market and developing economies, ensure cooperation and policy coherence for sustainable development, as enshrined in the UN 2030 Agenda, with other relevant coordination fora, including those established as part of the Global Gateway strategy.
Amendment 173 #
Proposal for a regulation
Annex III – point 4 – introductory part
Annex III – point 4 – introductory part
4. Whether a project fulfils the criterion referred to in Article 5(1), point (c), shall be assessed taking into account a project’s compliance with the following Union legislation or international instruments and on the basis of the risk categories presented in paragraph 4a:
Amendment 174 #
Proposal for a regulation
Annex III – point 4 – point i a (new)
Annex III – point 4 – point i a (new)
(ia) The principles of Free, Prior and Informed Consent (FPIC) as established in the United Nations Declaration on the Rights of Indigenous Peoples, adopted by the UN General Assembly in 2007;
Amendment 177 #
Proposal for a regulation
Annex III – point 4 – point i k (new)
Annex III – point 4 – point i k (new)
(ik) EIB Eligibility, Excluded Activities and Excluded sectors list;
Amendment 178 #
Proposal for a regulation
Annex III – point 4 – point i b (new)
Annex III – point 4 – point i b (new)
(ib) The International Bill of Human Rights, including the international covenant on Civil and Political Rights and the International Covenant on Economic, Social and Cultural Rights;
Amendment 179 #
Proposal for a regulation
Annex III – point 4 – point i c (new)
Annex III – point 4 – point i c (new)
(ic) ILO Declaration on Fundamental Principles and Rights at Work;
Amendment 181 #
Proposal for a regulation
Annex III – point 4 – point i f (new)
Annex III – point 4 – point i f (new)
(if) UNEP Guidelines for Social Life Cycle Assessment of Products;
Amendment 182 #
Proposal for a regulation
Annex III – point 4 – point i d (new)
Annex III – point 4 – point i d (new)
(id) The eight fundamental ILO Conventions as defined under the ILO Declaration on Fundamental Principles and Rights at work;
Amendment 183 #
Proposal for a regulation
Annex III – point 4 – point i e (new)
Annex III – point 4 – point i e (new)
(ie) The ten Principles of the United Nations Global Compact;
Amendment 184 #
Proposal for a regulation
Annex III – point 4 – point i g (new)
Annex III – point 4 – point i g (new)
(ig) Convention on Biological Diversity, in particular Decision COP VIII/28- Voluntary guidelines on Biodiversity-Inclusive impact assessment;
Amendment 185 #
Proposal for a regulation
Annex III – point 4 – point i h (new)
Annex III – point 4 – point i h (new)
(ih) UN Paris Agreement;
Amendment 186 #
Proposal for a regulation
Annex III – point 4 – point i i (new)
Annex III – point 4 – point i i (new)
(ii) ILO Convention 169 on Indigenous and Tribal Peoples;
Amendment 187 #
Proposal for a regulation
Annex III – point 4 – point i j (new)
Annex III – point 4 – point i j (new)
(ij) The Extractive Industries Transparency Initiative (EITI);
Amendment 189 #
Proposal for a regulation
Annex III – point 4 – paragraph 1 – introductory part
Annex III – point 4 – paragraph 1 – introductory part
Project promoters may also attescomplement compliance with the criterion referred to in Article 5(1), point (c) by:
Amendment 192 #
Proposal for a regulation
Annex III – point 4 a (new)
Annex III – point 4 a (new)