Energy is fast becoming one of the most influential strategic considerations in modern mining, moving well beyond its traditional role as a utility service to become a key factor in project viability, cost competitiveness and long-term sustainability.
According to SLR Consulting, the shift is being driven by rising energy costs, pressure to decarbonise operations and the growing need for secure resilient power supply across mining jurisdictions in Africa and globally.
Tasman Graham, Managing Director at SLR Consulting, says mining companies are increasingly recognising that energy decisions now sit at the heart of both operational performance and future growth strategies.
“Energy has become a significant business risk within the mining sector, with direct implications for both capital and operating costs,” Graham says. “At the same time, it presents a major opportunity to unlock efficiencies, strengthen resilience and support sustainability objectives.”
He notes that the rapid improvement in renewable energy economics is reshaping how mines approach power supply, with solar and onshore wind, supported by battery storage, now frequently emerging as the most cost-effective solution.
“In many applications, hybrid energy systems are now the lowest cost option even before climate considerations are taken into account,” he explains.
This trend is particularly relevant in Africa, where many mining operations face grid instability, escalating tariffs and long lead times for new transmission infrastructure. As a result, behind-the-meter energy solutions are gaining momentum, with mines investing in combinations of solar photovoltaic systems, wind generation, battery storage and diesel or gas backup.
These systems not only reduce dependence on diesel but also enhance energy security and deliver attractive payback periods. Beyond operational gains, Graham highlights the wider developmental role that mining-led energy infrastructure can play.
“Power solutions developed for mining projects can also support surrounding communities and local economic activity, strengthening the mine’s social licence to operate while contributing to regional development,” he says.
According to SLR Consulting, successful energy strategies require an integrated approach that considers engineering, environmental, social, regulatory and commercial factors from the earliest project stages.
The company supports mining clients across the full project lifecycle, combining expertise in energy advisory, environmental performance, water management and climate risk modelling to help deliver commercially sound and sustainable outcomes.
Looking ahead, Graham believes the greatest opportunities lie in flexible, site-specific hybrid energy solutions that align with life-of-mine requirements.
“The future of mining energy lies in pragmatic, well-structured systems that balance cost, reliability and sustainability,” he concludes.
