Lithium is considered a critical raw material, therefore, several government interventions are needed to support both the primary and secondary supply of lithium. In terms of secondary sources, financial investment is needed in research and development (R&D) focused on resource efficiency, separation and recycling technologies, as well as infrastructure for the collection and recycling of lithium-ion batteries.
Collaboration, both globally and domestically, is key to creating a diverse primary and secondary lithium market and resilience of both primary and secondary supply. For example, the International Lithium Association (ILiA) gather together lithium stakeholders to exchange data, information and knowledge related to lithium. Traceability is particularly significant for creating a circular economy system of lithium. It is important for governments, academia and industry stakeholders across the lithium value chain to collaborate in developing a circular economy system and improve the traceability and transparency of lithium.
Education includes training the next-generation of skilled workers across the lithium value chain, with a focus on the circular economy, while educational campaigns for consumers can improve understanding of the social and environmental impacts of lithium. Education has the potential to drive social behaviour change to circular use and recycling of litium-bearing products, especially for consumer electronics and electric mobility.
Regulatory intervention can be more powerful in supporting both primary and secondary supplies. Regulatory measures that facilitate responsible domestic exploration and extraction could make a significant contribution to improving primary supply. Unlocking the potential of domestic geological resources would not only help build self-sufficiency in lithium supplies, but would also reduce the need to transport lithium across long distances, thus reducing the overall carbon footprint of products containing lithium. Equally important in ensuring a secure supply chain is investment in infrastructure for midstream processing. Secondary supplies can be enhanced by robust policies that ensure sustainable end of life management of products containing lithium, so that critical materials are returned back to the value chain. Sound extended producer responsibility (EPR) frameworks will be imperative, along with robust and focussed collection and recovery targets for lithium. Such circular economy strategies can enhance not only the producers' responsibility for EoL product management, but also encourage product design for disassembly, reuse, repair and recycling. Further regulatory issues such as taxes, international trade laws, standardisation, investment and environmental regulations are discussed on the legal and regulatory webpage.
Role of regulation and policy
Regulatory intervention can be powerful in supporting both primary and secondary supplies of lithium. The UK has identified geological resources of lithium in regions such as Cornwall, but accessing these domestic resources requires fit-for-purpose regulatory frameworks. Measures that facilitate responsible domestic mining, (e.g. integrated, thoughtful planning and permitting regimes for exploration and extraction) would significantly improve primary supply. This would not only help the UK achieve greater self-sufficiency in lithium supplies, but would also reduce the need to transport minerals across long distances, thus reducing the overall carbon footprint of products containing lithium.
Equally important is the need to build domestic capabilities in midstream processing: without this, there is a significant risk that valuable critical minerals are lost overseas and never return to the domestic value chain.
Secondary supplies can be enhanced by sustainable end of life management of products containing lithium, so that critical materials are returned back to the value chain. Robust extended producer responsibility (EPR) frameworks will be imperative, along with targeted collection and recovery targets for lithium.
Strong circular economy strategies can enhance not only the producers' responsibility for EoL product management, but also encourage product design for disassembly, reuse, repair and recycling. Further regulatory issues such as taxes, international trade laws, standardisation, investment and environmental regulations will play a significant role in building secure supply chains.
Reducing planning/licencing times for extraction and midstream processing as well as reducing energy costs can make a significant contribution.