While bauxite plays a crucial role in the global economic and trade landscape, the mining of the substance should not ideally pose a threat to humanity. Guinean bauxite mining, especially when coming to German firms, has long seen a different reality.
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For quite some time, Germany’s lion’s share of its bauxite import has been from the African state of Guinea. In 2016, the German commercial bank ING DiBa provided the largest single credit of a consortium (including the World Bank Group) loan of over €248 million for the expansion of a bauxite mine through the Federal Ministry for Economic Affairs and Climate Action, also known as BMWK, through ‘guarantees for untied financial loans’, reserving 15 per cent of the mine’s annual output. According to the BMWK, guarantees for untied financial loans (UFK guarantees) are an integral part of the German government’s raw materials strategy.
“To be able to build environmentally harmful cars in Germany, the federal government is issuing a loan guarantee, even though this security is being used to displace people in Guinea,” says Michael Reckordt, raw materials expert at Powershift. Germany is also obliged to protect human rights abroad, adds Gertrud Falk from Fian. In the eyes of the NGO Fian and Powershift, an association that campaigns for a more socially just global economy, the federal government is contributing to violating human rights and destroying the environment.
The ‘Sustainable Bauxite Mining Guidelines’ (SBMG) by the International Aluminum Institute provide comprehensive strategies for promoting responsible and sustainable practices in the bauxite mining industry. These guidelines, developed to align with evolving sustainability expectations, aim to balance economic, environmental, and social considerations associated with bauxite mining.
Environmental stewardship
The SBMG emphasises the importance of environmental management in bauxite mining operations. Biodiversity conservation is a critical focus, with guidelines encouraging practices that protect flora, fauna, and ecosystems in mining areas. The document highlights strategies such as baseline biodiversity assessments, habitat restoration, and offset initiatives to mitigate the impact on natural habitats.
Water management is another priority. The guidelines advocate for efficient water use, contamination prevention, and protection of local water resources. Measures include recycling water within operations, treating wastewater, and engaging with local communities to address water-related concerns.
Rehabilitation and closure of mined areas are integral to sustainable mining. The guidelines outline processes for restoring land to productive and beneficial post-mining uses, such as agriculture, forestry, or conservation purposes. Clear rehabilitation plans, developed in consultation with stakeholders, are essential to minimise long-term environmental impacts.
The guidelines highlight the importance of meaningful engagement with local communities and stakeholders throughout the mining lifecycle. Transparent communication, respecting cultural heritage, and ensuring inclusive decision-making are emphasised to foster trust and collaboration.
Community development is another key focus. Mining companies are encouraged to invest in local infrastructure, education, and health services, ensuring that communities benefit directly from mining activities. Additionally, the guidelines call for strategies to minimise displacement and compensate affected individuals fairly.
Ensuring the health and safety of workers and nearby populations is paramount. The SBMG recommends comprehensive health and safety programs tailored to the risks associated with mining operations. Regular training, robust risk assessments, and emergency response protocols are critical components of these programs.
While acknowledging regional variations in mining practices, the guidelines promote a consistent global framework for sustainability. They encourage the sharing of best practices and innovations across the industry, fostering a culture of continuous improvement.
An exemplary model of sustainable practices can be seen in Alufer, an independent mining company with substantial bauxite assets in Guinea. The company’s flagship project, the Bel Air mine, began production in August 2018. Alufer’s vision is to create value for stakeholders while operating a sustainable mining business. As part of this commitment, the company promotes alternative livelihoods across the mine’s operational footprint, supporting a variety of economic initiatives within host communities.
One of Alufer’s notable initiatives is the development of local market gardening opportunities, including the cultivation of aubergine, chilli pepper, watermelon, and pineapple. This endeavour has proven viable and profitable, with nine designated areas established across the region. It employs up to 200 individuals, primarily women, working either in cooperative groups or family units. Additionally, a variety of small businesses have been supported in the community, focusing on essential services, catering, and animal husbandry. Solar salt production and cashew farming were also encouraged during the early phases of the mine’s operation. While a small portion of the produce is sold to the mine camp, the majority is directed towards the broader market, with ongoing support to improve market access for local producers.
Recognising the importance of mine rehabilitation as part of its broader environmental management strategy, Alufer initiated efforts shortly after production commenced. By 2019, two nurseries had been established in the community to cultivate native saplings for the mine’s rehabilitation activities. These nurseries, now employing up to 15 people year-round, produced 27,000 saplings in 2020. Fifty young locals were also hired to support revegetation efforts, planting saplings, grass seeds, and reeds to prevent soil erosion. Rehabilitation efforts in 2020 focused primarily on depleted sections of pits 2 and 5, while school playgrounds in eight locations were also planted to enhance environmental awareness and encourage broader community participation in restoration efforts.
Through these initiatives, Alufer demonstrates a holistic approach to sustainability, integrating community development and environmental stewardship into its operational practices.
Germany is not an ideal example, though
However, for a German-owned mine, the challenging aspect is that even before a German bank approved the loan, there was widespread criticism and concern regarding environmental standards and human rights issues tied to the project for expanding the bauxite mine in Guinea, including from the German Federal Environment Agency.
Non-governmental organisations have been lobbying the German government for some time, condemning the questionable environmental standards and highlighting the dire health risks faced by residents in surrounding villages. In 2021, the German Green Party also criticised the loan through a parliamentary question in the Bundestag, calling for clarification—particularly concerning the forced resettlement of entire villages to enable the mine’s continued operation.
Since the Greens joined the now-defunct federal government, environmental organisations claim that no progress has been made on the ground. Germany still imports the bulk of its bauxite from Guinea—though this has recently declined—and has now turned to a new supplier: China.
Are there hopes for Germany to change its bauxite imports trait?
The annual report by the Federal Institute for Geosciences and Natural Resources (BGR) on the raw materials situation in Germany presents a rather different perspective – and not a particularly positive one in terms of the moral guidelines and environmental standards championed by the Green Federal Ministry of Economics.
While the proportion of bauxite imported from Guinea to Germany declined to 71 per cent in 2023, China – often criticised for its high CO2 emissions, allegedly low prices, and questionable human rights record – surged to 15 per cent from a previously negligible level.
Rising demand for bauxite has sparked concerns that these issues will extend to other nations seeking to exploit their own reserves, potentially endangering protected areas. In Ghana, for instance, environmentalists are opposing plans for bauxite mining in the Atewa Range Forest Reserve, a global biodiversity hotspot. They argue that such expansion would have devastating effects on numerous wildlife species, local communities, and the water supply relied upon by millions, citing neighbouring Guinea as an example. Meanwhile, half a world away, riverine communities in the Brazilian Amazon have faced similar environmental and health challenges due to the operations of large bauxite-mining companies.