Critical Raw Materials Act Empowering communities in mining regions and safeguarding fair, socio-ecological standards
Grantee(s)
PowerShift e.V.
Duration
2025-03-01 till 2026-12-31
Location
Portugal, Sweden
Funding Amount
220,270.72 €
Topic
Sustainable Economy (incl. Sustainable Finance)
Copyright: iStock/Rudolf Ernst
Project background
The EU’s Critical Raw Materials Act (CRMA) aims to increase domestic mining and processing of critical raw materials within Europe. To reduce dependence on third countries and strengthen Europe’s supply chains, the act promotes so-called Strategic Projects, which benefit from fast-track permitting procedures and financial support. In March 2025, the EU Commission published a list of these projects. Civil society actors are raising concerns that these processes could weaken environmental and human rights standards. This may have consequences for local communities and ecosystems.
In Portugal for example, mining projects could threaten the Barroso region, an area recognized as a Globally Important Agricultural Heritage System by the United Nations. Mining could undermine biodiversity, disrupt traditional farming, and drain land and water resources vital to the rural economy. In Sweden, open-pit mining could put pressure on the Sámi people’s reindeer herding by disrupting migration routes and contaminating water and soil with heavy metals.
Local communities often have limited access to information and few resources to take part in planning processes or to monitor environmental impacts. For instance, water sampling – an essential tool for tracking pollution – is typically conducted only after mining operations have begun. Without data on the original condition of rivers and groundwater, it becomes nearly impossible to trace the full scale of damage. Meanwhile, there is little clarity about how these projects are financed, making it difficult for civil society to push for greater social and environmental safeguards.
Project goals and measures
This project strengthens civil society’s ability to act. It equips local communities with key information on mining project financing and promoting circular economy solutions to reduce primary resource extraction. Furthermore, the project supports baseline water sampling before mining begins.
To achieve this, the project will develop and distribute materials that explain how Strategic Projects are set up, how they are financed, and which rights communities can exercise in the planning process. In two affected regions, likely in Portugal and Sweden, workshops will bring people together to raise awareness about the environmental and social impacts of mining and to encourage active involvement in local decision-making.
Water sampling kits will be provided so that communities can carry out tests before mining begins. These early measurements will help establish baseline environmental conditions and provide a reference point for detecting pollution later on.
In addition, the project will organize two webinars to connect EU-level stakeholders with representatives from the affected regions. These events will focus on the risks linked to Strategic Projects and underline the need to apply strong environmental and social standards consistently. To support this dialogue, the project will produce short, accessible publications on financing mechanisms and circular economy alternatives, helping civil society actors engage more effectively in political debates.
PowerShift leads the coordination, research, and outreach efforts for the project. Local communities and civil society organizations will play an active role conducting water tests, sharing knowledge, and engaging in advocacy. Partners from the European Raw Materials Coalition and the Climate Action Network Europe will support outreach and cross-border cooperation, helping to ensure transparency and accountability in the financing of mining projects.