The EU Cynically Pushes Lithium Mining in Serbia

BY NINA MIHOLJCIC IVKOVIC

The European Union loves boasting about its green agenda. But its plans rely on electric vehicles — and a push for lithium mining in Serbia, which would outsource the environmental costs of the green transition to a non-EU country.

“We must and will stay the course on the goals set out in the European Green Deal. The climate crisis is accelerating at pace. And there is an equally urgent need to decarbonize and industrialize our economy at the same time.” For European Commission president Ursula von der Leyen, the EU’s green agenda is well on track. However, these moves also face controversy — and concerns over how good for the environment they really are.

While the green technology promoted by European authorities includes more electric vehicles (EVs), in high demand in recent years, the production process is far from the rhetoric of clean and eco-friendly industries. In particular, the global demand for electric batteries and cars has increased the need for lithium — a crucial metal used in batteries to power EVs. The EU’s green transition relies on it, too.

The Jadar project is a significant lithium and boron mining initiative located in Serbia, a non-EU member state. It aims to extract lithium from the Jadar Valley, which is believed to contain one of the largest lithium deposits in Europe. This project has gained considerable political support from the UK, Australia, and the United States as well as the EU. Examining the EU’s support for lithium mining in Serbia reveals that its green-transition agenda is less environmentalist or good for local populations than it may sound.

This has also stirred conflict in Serbia itself. In early 2022, the government had to revoke Anglo-Australian mining company Rio Tinto’s license following widespread protests. But this summer, it reversed its decision, sparking new mass protests. Hundreds of protesters rallied in the western Serbian town of Loznica, waving national flags and banners with slogans like “You Shall Not Dig” and “Back Away From Jadar.” In Belgrade, thousands marched through the city center, chanting“Rio Tinto get out of Serbia” and “You won’t dig.”

From an environmentalist standpoint, the EU’s push for lithium mining in Serbia — expressed in official visits and public support for private initiatives — has been perceived as an attempt to “greenwash” its energy policies. It is promoting EVs while ignoring the environmental costs and social impacts of the mining practices on which they rely. The EU also seeks to secure a stable supply of lithium to reduce dependency on non-European suppliers, especially China. Although the Jadar mining project would satisfy almost all of the EU’s demand for lithium, it has also raised concerns among environmentalists who argue that such mining activities could pollute surrounding areas of farmland, forests, and water sources.

Many people in the areas most concerned believe that the planned mining would severely affect their livelihoods and even trigger their displacement. However, the EU’s response to these concerns has been a flat refusal to take them seriously, with an official stance claiming that the raw materials partnerships between the EU and Serbia allow for “socially and environmentally responsible mining.” It seems that member states prioritize resource extraction and their own “green” interests over concerns about the environment or what it means for people locally.

Many high-ranking EU officials have praised the project in Serbia but remained relatively silent regarding lithium extraction in EU member states that are themselves rich in lithium resources. For instance, the largest European reserves are found in Germany and the Czech Republic, ahead of Serbia. European Commission vice president Maroš Šefčovič is an admirer of the mining project, suggesting that Serbia could become the first European country with “the whole value chain,” ranging from lithium mining to EV production. German chancellor Olaf Scholz stated that with the Jadar project, Europe will secure its sovereignty and independence in the supply of raw materials in a changing world. Commission president von der Leyen’s visit to Serbia in late October only confirmed the EU’s support for the lithium mining project. She praised the government’s actions “to enable Serbia to become a leader in the batteries and electric vehicle industries.”

One reason the mining project could be approved more quickly in Serbia than in countries that are EU member states is that the latter have stricter green policies that require more time and legal scrutiny for the approval of mining projects. Serbia thus offers a kind of loophole, cynically used by the EU in a push for mining initiatives outside of its own legal and bureaucratic framework.

Currently, the EU is almost completely dependent on imports for not only lithium but also other raw materials that are pivotal for its green transition. In 2023, the European Commission proposed the Critical Raw Materials Act, setting targets that by 2030, European mines and recycling centers should produce 10 percent and 25 percent, respectively, of the raw materials necessary for the EU’s green industries. The EU has been actively seeking ways to become greener and less dependent on imports of non-European raw materials.

In the case of lithium, the EU needs suppliers other than China, which remains the largest lithium exporter to Europe and the world’s leading producer of EVs. China’s production of more affordable EVs poses a threat to the German economy, which is largely reliant on the automobile industry. Moreover, Germany plans to build fifteen million EVs by 2030, in accordance with the EU’s climate change commitments.

For its green agenda, the EU urgently needs European lithium suppliers. Serbia, while a non-member state and a candidate country in a protracted accession process, seems like a perfect opportunity for the EU to circumvent its strict green policies and reduce its dependence on China’s lithium exports. The Serbian government, led by President Aleksandar Vučić’s autocratic ruling party, has embraced this opportunity to gain short-term economic and political advantages. It views the mining project as political leverage in its relations with the EU.

Even though both EU officials and the Serbian government emphasize the economic benefits of the Jadar project, especially for Serbia, such advocacy has a darker side.

While officials praise the project as crucial for economic development, job creation, and boosting local businesses, its real agenda is more focused on profit maximization for foreign investors. Lithium mining in Serbia is primarily operated by foreign companies, such as Rio Tinto, and the profits generated from the project are likely to flow back to the company’s home country, limiting any long-term economic benefit for Serbia. There is a justified concern that Serbia might become a “resource colony,” meeting the demands of wealthier nations focused on green technologies.

In July, the Serbian government restored Rio Tinto’s license to extract the valuable mineral in the Jadar Valley, shortly after the Constitutional Court ruled that a previous government had acted improperly in halting the project following the protests. President Vučić continues to openly support the project and the company, using government-controlled news channels to broadcast this message in numerous public appearances.

The planned mine is situated in predominantly agricultural areas and near abundant river courses. Even beyond concerns that mining operations might pollute soil and water, locals are threatened with displacement from their land by potential state seizure, acting on behalf of corporate interests if the owners refuse to sell up. If the mine becomes operational, there is worry that the long-term economic development from local agricultural productivity, particularly in such a clean and fertile environment, could be replaced by temporary benefits for only a minority of Serbians.

It might seem exaggerated to predict a “Mad Max” scenario marked by extreme societal collapse, resource conflicts, and lawlessness. But certain elements of such a situation could become a reality in Serbia, depending on how key players — governments, corporations, and local communities — address the problems that mining could bring.

If lithium mining causes significant disruption, disputes over land use and water rights could easily arise. Furthermore, serious ecological damage from mining could create shortages of essential resources like clean water and fertile land, potentially triggering mass migration and social unrest. Given the authoritarian tendencies of the Serbian government, any upheaval resulting from resource scarcity is likely to be met with a severe governmental crackdown, perpetuating a cycle of violence and disorder.

The EU’s officials have exhibited a striking level of hypocrisy regarding lithium mining in Serbia. The EU has created what has been called a green paradox surrounding EVs and the lithium extraction on which their production relies. If the EU claims to be a beacon of democracy and fairness, these are exactly the values it is now trampling on in Serbia.

https://jacobin.com/2024/11/eu-lithium-mining-green-serbia

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