Feature analysis for Down To Earth July 2026, built from verified reporting and primary data.
The clean-energy transition runs on metals, and metals run on water. A landmark audit published on 22 July 2026 by the International Council on Mining and Metals (ICMM) made that dependence impossible to ignore: after analysing more than 12,000 facilities across 148 countries and regions, it found that 65.7 per cent, nearly two-thirds, face significant water risk from stress, drought, floods, depletion or year-to-year rainfall variability. For a world racing to mine the lithium, copper and cobalt that decarbonisation demands, the report is a warning that water, not ore, may become the binding constraint.
What the audit measured
The ICMM study is significant because it moves beyond anecdote to a facility-level global map. It assessed physical water hazards using established metrics and identified where mining’'s water demand collides most sharply with the needs of farms, cities and ecosystems.
| Water risk | Share of facilities affected | Note |
|---|---|---|
| Overall significant water risk | 65.7 per cent | Two-thirds of the audited base |
| Baseline water stress | 38 per cent | Most common single threat |
| Drought risk | 27 per cent | Rising with climate change |
| High flood risk | 14 per cent | Damages infrastructure and tailings |
The report named compound water-risk hotspots in Chile, Peru, southern Africa, northern China, central India, western Australia and the western United States. In Chile, 85.8 per cent of facilities face high baseline water stress, more than double the global average, a stark illustration of how mineral wealth and water scarcity often occupy the same ground.
Why central India matters
The inclusion of central India as a hotspot is directly relevant to Indian policy. The country’'s mineral belt across Chhattisgarh, Jharkhand, Odisha and Madhya Pradesh overlaps with forested, tribal and water-stressed districts. Coal, iron ore and bauxite extraction here competes with agriculture and drinking-water needs, and mine dewatering can lower local water tables. As India expands critical mineral mining to feed its own energy transition and reduce import dependence, the same water constraint the ICMM flags globally applies at home.
The transition paradox
Herein lies the central paradox the feature draws out: the metals essential to solar panels, wind turbines, electric-vehicle batteries and grid storage are extracted through some of the most water-intensive industrial processes on earth. Copper and lithium in particular are often found in arid regions where every litre is contested. The ICMM itself concluded that competition for water between mining and other industrial and domestic users is the single greatest physical water risk facing the sector. A disorderly transition that ignores this could trade a climate crisis for a water crisis in mineral-rich regions.
Governance implications
For India, the policy toolkit is well defined even if implementation lags. Robust Environmental Impact Assessment (EIA) with genuine water-balance studies, enforcement of zero-liquid-discharge norms, mandatory water recycling in beneficiation, and community consent under the Forest Rights Act, 2006 and PESA, 1996 are the levers. The District Mineral Foundation (DMF), funded by mining royalties, can finance watershed restoration in affected districts. Internationally, the report strengthens the case for embedding water stewardship into critical-mineral supply-chain standards.
Way forward: treat water as a material risk in mine approvals, not an afterthought; publish facility-level water-risk disclosures; and align India’'s National Critical Mineral Mission with basin-level water planning so that mineral security does not undercut water security.
UPSC angle
This is a GS3 anchor topic linking mineral resources, water security, environmental regulation and the energy transition. Prelims-ready facts: the ICMM audit covered 148 countries and found 65.7 per cent of facilities at water risk, with baseline water stress affecting 38 per cent. For Mains, use central India’‘s hotspot status to argue that India’'s critical-mineral ambitions must be paired with enforceable water and forest safeguards, connecting GS3 environment with GS2 tribal-rights governance.
