While climate change remains a global concern, with sustainability of the planet the main issue, one of the characteristics of the climate challenge is that, in the business context, it comes with risks and opportunities, but with emphasis on the latter, says law firm Edward Nathan Sonnenbergs senior associate in the environment department Andrew Gilder.

A comprehensive review of the challenges faced by industry in South Africa was under- taken in 2009 and 2010 and published in ‘Climate Change: Risks and Opportunities for the South African Economy’. In acknowledging the various risks that the mining sector faces, the report identified associated opportunities that emerged from applying creative thinking and context to the problems posed by the risk.

Companies need to take advantage of the opportunities that climate change presents, Gilder says, adding that the mining industry has immense potential to capitalise on the opportunities stemming from climate change.

“There will be opportunities for mining companies in the way they conduct their business, which means they would be able to bring efficiency into the mining process. “For example, when coal mining companies need electricity, they could consider using energy generated from coal-bed methane as an alternative to drawing power from the national grid.”

Investment in and technology transfer relating to the development of alternative energy sources could assist mines in becoming more competitive while promoting technological advancement, enhancing energy security and reducing greenhouse-gas emissions, which will contribute to the response to climate change.

Gilder also notes that industry’s perceptions are evolving and there is more awareness of climate change issues, and the need to move away from fossil fuel power to alternative energy power sources will become increasingly more important.

“In moving away from fossil fuel power, we will see an increase in existing mining markets and industries, such as platinum production. This mineral is required for the manufacturing of fuel cells and it is anticipated that platinum producers will benefit from rising fuel cell demand

,” Gilder says.