Energy transition is minerals intensive. Increasing pricing uncertainties of critical minerals provides distorted signals for long-term investments towards minerals resource extraction and production. The resulting critical minerals supply shortages arising from distorted price signals remains a potential threat to facilitating global energy transition. This chapter, therefore, revisits the pricing uncertainties evolving critical minerals resources through the lens of depletable resource pricing and developments in minerals market structure. The role of technological progress in resource recovery such as recycling as well as technological progress in resource extraction and different risk hedging instruments in alleviating pricing uncertainties of critical minerals are discussed. The chapter concludes with relevant policy recommendations for the ASEAN region such as fostering regional cooperation in maintaining sustainable resource supply amidst growing price uncertainties.

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Economic and Policy Analysis on the Supply Chain of Critical Minerals—Revisiting Resource Pricing

  • Rabindra Nepal,
  • Rachel Nichols,
  • Han Phoumin

摘要

Energy transition is minerals intensive. Increasing pricing uncertainties of critical minerals provides distorted signals for long-term investments towards minerals resource extraction and production. The resulting critical minerals supply shortages arising from distorted price signals remains a potential threat to facilitating global energy transition. This chapter, therefore, revisits the pricing uncertainties evolving critical minerals resources through the lens of depletable resource pricing and developments in minerals market structure. The role of technological progress in resource recovery such as recycling as well as technological progress in resource extraction and different risk hedging instruments in alleviating pricing uncertainties of critical minerals are discussed. The chapter concludes with relevant policy recommendations for the ASEAN region such as fostering regional cooperation in maintaining sustainable resource supply amidst growing price uncertainties.