Policy Uncertainty in the Lithium Triangle: Attracting Investment for Greener Energy

Abstract

Building on my prior research, I discuss how policy opacity and a lack of uniformity have cautioned and hindered investment in Chile and Argentina’s lithium industries. These countries are central to the world’s demand for lithium access, which is so desperately needed for personal electronic devices and electric vehicles. This is especially true in a post-Covid world facing higher oil prices. If we seek greener sources of energy, lithium is more desirable. This requires investment in exploration, extraction, and processing of lithium. But the countries feature somewhat arbitrary regulations that are applied unevenly and irregularly. These policies detract the investment needed for this increasingly in-demand resource. Using interviews and secondary sources, I show how this uncertainty has affected development and offer suggestions for how to increase investor confidence in order to develop a greener industry.

Presenters

Jennapher Lunde Seefeldt
Assistant Professor, Government, Augustana University, South Dakota, United States

Details

Presentation Type

Paper Presentation in a Themed Session

Theme

2022 Special Focus—Post-Pandemic Sustainability: Towards a Green Economic Recovery for Nature, People and Planet

KEYWORDS

Lithium, Policy, Chile, Argentina, Green Energy, Investment, Transparency, Development