https://www.miningweekly.com

Environmental groups ask Tesla to stop nickel plans in Indonesia

26th July 2022

By: Bloomberg

  

Font size: - +

Environmental groups urged Tesla on Monday to reconsider its plans for nickel investment in Indonesia, the world’s top producer of the material, as ESG scrutiny mounts in an industry crucial to the electric vehicle revolution.

In an open letter addressed to CEO Elon Musk and shareholders, dozens of organizations asked the EV giant to terminate direct investment plans in Indonesia’s nickel industry and bar nickel sourced and produced in the country from being used in Tesla’s cars.

“The nickel industry in Indonesia has a record of environmental damage, criminalization threats that abuse democracy and equity, the threats to the vulnerable groups, and multiple violations of law,” read the letter, which was signed by groups representing Indonesian and US civil society organisations.

The letter warned that nickel mining would shrink forests, potentially pollute water and disrupt the lives of indigenous communities. The groups pointed to Wawonii Island, in Indonesia’s southeast Sulawesi region, as an especially vulnerable area -- writing that mining there has damaged coral reefs.

Representatives for Tesla and the Indonesian government didn’t immediately respond to requests for comment.

Indonesia, which holds almost a quarter of global nickel reserves, has courted investors from the EV sector. The metal is a crucial component in many batteries, and Indonesia’s president, Joko Widodo, offered Musk the opportunity to invest in an end-to-end EV supply chain, according to a CNBC report in June.

Musk has said that procuring more nickel is a priority for Tesla as the automaker boosts output. “Please mine more nickel,” he urged producers on an earnings call two years ago. “Tesla will give you a giant contract for a long period of time if you mine nickel efficiently and in an environmentally sensitive way.”

Edited by Bloomberg

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Kriel Occupational Health Centre
Kriel Occupational Health Centre

Occupational health services, mobile clinics, wellness campaigns, aviation.

VISIT SHOWROOM 
Advanced Fire Suppression Technologies
Advanced Fire Suppression Technologies

Established on 1 March, 2000, by Barries Barnard, Advanced Fire Suppression Technologies (AFST) and the Advanced Group stands as Sub-Saharan...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.048 0.981s - 111pq - 2rq
Subscribe Now