The Hidden Cost of Green Energy Poor Nations Paying the Price for Global Transition

A new report by United Nations University warns that the extraction of critical minerals such as lithium and cobalt—essential for electric vehicles, renewable energy, and AI—is imposing severe environmental and health costs on vulnerable communities in Africa and South America, deepening global inequality.

The report stresses that the so-called “green transition” comes at a price: while wealthy nations reap technological benefits, mining communities face water pollution, scarcity, loss of livelihoods, and serious health risks, with global systems failing to adequately track or address these impacts.

Water use is particularly alarming. In 2024, global lithium production of around 240,000 tonnes consumed an estimated 456 billion litres of water—equivalent to the annual household needs of 62 million people in sub-Saharan Africa. In Chile’s Atacama region, lithium mining accounts for up to 65% of water use, with groundwater levels dropping by as much as nine metres over 25 years.

Environmental damage is equally severe. Producing one tonne of rare earth minerals generates roughly 2,000 tonnes of toxic waste. In 2024 alone, global production created an estimated 707 million tonnes—enough to fill 59 million garbage trucks. The report describes critical minerals as the “oil of the 21st century,” warning of a repeat of fossil fuel-era injustices.

Health impacts are stark. In the Democratic Republic of the Congo, 72% of residents near mining sites report skin diseases, while 56% of women and girls suffer gynecological issues. Birth defect rates are significantly higher, and around 30% of mining sites employ children. Despite vast mineral wealth, over 70% of the population lives in extreme poverty.

The report warns that without binding international regulations, rising demand for critical minerals will worsen inequality and create new global “sacrifice zones.” Even developed countries such as the United States and Canada face similar environmental and social risks from mining projects.

Experts call for urgent action, including mandatory global standards, strict pollution controls, expanded recycling, and fair distribution of mining revenues. Without reform, the report concludes, the world risks building a “green future” on the same exploitative foundations as the fossil fuel era.