The Cost of the Green New Deal

As you doubtless know by now, your humble blogger has little expertise in matters scientific. This extends easily to the physics of renewable energy. It feels good to drone on about a clean energy future, but, truth be told, the issue is far more complicated and far more challenging than its pea brained proponents imagine. 

So, I am in no position to judge the ultimate validity of Michael Klare’s analysis of the hidden costs and disguised challenges in our green energy future, but it rings true. It is clear and fact-based. At the least, it shows that the pipe dreams about our imminent return to the state of nature-- so to speak-- are short sighted to the point of being profoundly ignorant. They have no real relationship with reality. 

Klare opens his discussion thusly:

Thanks to its very name - renewable energy - we can picture a time in the not-too-distant future when our need for non-renewable fuels like oil, natural gas, and coal will vanish. Indeed, the Biden administration has announced a breakthrough target of 2035 for fully eliminating U.S. reliance on those non-renewable fuels for the generation of electricity. That would be accomplished by “deploying carbon-pollution-free electricity-generating resources,” primarily the everlasting power of the wind and sun.

And naturally, those who know precisely nothing about the issue believe that renewables will reduce the world conflicts over energy supplies:

With other nations moving in a similar direction, it’s tempting to conclude that the days when competition over finite supplies of energy was a recurring source of conflict will soon draw to a close. Unfortunately, think again: while the sun and wind are indeed infinitely renewable, the materials needed to convert those resources into electricity - minerals like cobalt, copper, lithium, nickel, and the rare-earth elements, or REEs — are anything but.

So, Klare takes a look at what it will really cost to make the energy grid green friendly:

Solar power is largely collected by photovoltaic cells, often deployed in vast arrays, while the wind is harvested by giant turbines, typically deployed in extensive wind farms. To use electricity in transportation, cars and trucks must be equipped with advanced batteries capable of holding a charge over long distances. Each one of these devices uses substantial amounts of copper for electrical transmission, as well as a variety of other non-renewable minerals. Those wind turbines, for instance, require manganese, molybdenum, nickel, zinc, and rare-earth elements for their electrical generators, while electric vehicles (EVs) need cobalt, graphite, lithium, manganese, and rare earths for their engines and batteries.

What would happen, for example, if the world replaces gasoline powered automobiles with electric vehicles? How much extra lithium and cobalt would we need to mine? The International Energy Agency has a sobering assessment:

According to a recent study by the International Energy Agency (IEA), “The Role of Critical Minerals in Clean Energy Transitions,” the demand for lithium in 2040 could be 50 times greater than today and for cobalt and graphite 30 times greater if the world moves swiftly to replace oil-driven vehicles with EVs. Such rising demand will, of course, incentivize industry to develop new supplies of such minerals, but potential sources of them are limited and the process of bringing them online will be costly and complicated. In other words, the world could face significant shortages of critical materials. (“As clean energy transitions accelerate globally,” the IEA report noted ominously, “and solar panels, wind turbines, and electric cars are deployed on a growing scale, these rapidly growing markets for key minerals could be subject to price volatility, geopolitical influence, and even disruptions to supply.”)

And, also:

According to the IEA, a typical electric car requires six times the mineral inputs of a conventional oil-powered vehicle. These include the copper for electrical wiring plus the cobalt, graphite, lithium, and nickel needed to ensure battery performance, longevity, and energy density (the energy output per unit of weight). In addition, rare-earth elements will be essential for the permanent magnets installed in EV motors.

Where do all of these minerals come from? 

 According to the IEA, just one country, the Democratic Republic of the Congo (DRC), currently supplies more than 80% of the world’s cobalt, and another — China — 70% of its rare-earth elements. Similarly, lithium production is largely in two countries, Argentina and Chile, which jointly account for nearly 80% of world supply, while four countries — Argentina, Chile, the DRC, and Peru — provide most of our copper. In other words, such future supplies are far more concentrated in far fewer lands than petroleum and natural gas, leading IEA analysts to worry about future struggles over the world’s access to them.

Needless to say, we do not want to be dependent on foreign countries for the minerals required to turn the future green. But then, mining these minerals is a dirty business. It is distinctly unfriendly, environmentally speaking:

At present, approximately 58% of the world’s lithium comes from Australia, another 20% from Chile, 11% from China, 6% from Argentina, and smaller percentages from elsewhere. A U.S. firm, Lithium Americas, is about to undertake the extraction of significant amounts of lithium from a clay deposit in northern Nevada, but is meeting resistance from local ranchers and Native Americans, who fear the contamination of their water supplies.

As for rare earth elements, they mostly come from China. I am informed that Greenland has a considerable concentration of these minerals, but has recently voted for political candidates who, being green, refuse to mine them. That leaves us with China, country with which we are not on very good terms:

Rare-earth elements encompass a group of 17 metallic substances scattered across the Earth’s surface but rarely found in mineable concentrations. Among them, several are essential for future green-energy solutions, including dysprosium, lanthanum, neodymium, and terbium. When used as alloys with other minerals, they help perpetuate the magnetization of electrical motors under high-temperature conditions, a key requirement for electric vehicles and wind turbines. At present, approximately 70% of REEs come from China, perhaps 12% from Australia, and 8% from the U.S.

We Americans, not to mention the free world, is largely incapable of supplying the needed minerals:

As a start, the most militarily powerful nation on the planet, the United States, can supply itself with only tiny percentages of REEs, as well as other critical minerals like nickel and zinc needed for advanced green technologies. While Australia, a close ally, will undoubtedly be an important supplier of some of them, China, already increasingly viewed as an adversary, is crucial when it comes to REEs, and the Congo, one of the most conflict-plagued nations on the planet, is the leading producer of cobalt. So don’t for a second imagine that the transition to a renewable-energy future will either be easy or conflict-free. 

As for mining our own, the challenges are daunting:

To begin with, launching new mining ventures can be extraordinarily expensive and entail numerous risks. Mining firms may be willing to invest billions of dollars in a country like Australia, where the legal framework is welcoming and where they can expect protection against future expropriation or war, but many promising ore sources lie in countries like the DRC, Myanmar, Peru, and Russia where such conditions hardly apply. For example, the current turmoil in Myanmar, a major producer of certain rare-earth elements, has already led to worries about their future availability and sparked a rise in prices.

In addition, extracting minerals from underground rock formations often entails the use of acids and other toxic substances and typically requires vast amounts of water, which are contaminated after use. This has become ever more of a problem since the enactment of environmental-protection legislation and the mobilization of local communities. In many parts of the world, as in Nevada when it comes to lithium, new mining and ore-processing efforts are going to encounter increasingly fierce local opposition. 

One conclusion is that we would do well to develop a good relationship with China. The point horrifies those who are fully engaged in a Cold War with China, but we need perhaps think before we leap:

For Washington, perhaps no problem is more challenging, when it comes to the availability of critical materials for a green revolution, than this country’s deteriorating relationship with Beijing. After all, China currently provides 70% of the world’s rare-earth supplies and harbors significant deposits of other key minerals as well. No less significant, that country is responsible for the refining and processing of many key materials mined elsewhere. In fact, when it comes to mineral processing, the figures are astonishing. China may not produce significant amounts of cobalt or nickel, but it does account for approximately 65% of the world’s processed cobalt and 35% of its processed nickel. And while China produces 11% of the world’s lithium, it’s responsible for nearly 60% of processed lithium. When it comes to rare-earth elements, however, China is dominant in a staggering way. Not only does it provide 60% of the world’s raw materials, but nearly 90% of processed REEs.

Engaging economically with China will be essential if we are to move toward cleaner energy. It will also be essential if we have any chance to produce high tech defense electronics and other electronic gadgets:

To put the matter simply, there is no way the United States or other countries can undertake a massive transition from fossil fuels to a renewables-based economy without engaging economically with China. Undoubtedly, efforts will be made to reduce the degree of that reliance, but there’s no realistic prospect of eliminating dependence on China for rare earths, lithium, and other key materials in the foreseeable future. If, in other words, the U.S. were to move from a modestly Cold-War-like stance toward Beijing to an even more hostile one, and if it were to engage in further Trumpian-style attempts to “decouple” its economy from that of the People’s Republic, as advocated by many “China hawks” in Congress, there’s no question about it: the Biden administration would have to abandon its plans for a green-energy future.

Klare concludes:

In truth, there’s little choice but for Washington and Beijing to collaborate with each other and so many other countries in accelerating the green energy transition by establishing new mines and processing facilities for critical minerals, developing substitutes for materials in short supply, improving mining techniques to reduce environmental hazards, and dramatically increasing the recycling of vital minerals from discarded batteries and other products. Any alternative is guaranteed to prove a disaster of the first order — or beyond.

As I said, its information you will not find elsewhere. And it is certainly well worth considering. At the least it tells us that the Green New Deal is really a boondoggle of the highest order. Even without it, the new technologies and the new techno gadgets makes us dependent on nations that do not always have our best interests at heart.