IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v53y2017icp283-299.html
   My bibliography  Save this article

Enhancing the assessment of critical resource use at the country level with the SCARCE method – Case study of Germany

Author

Listed:
  • Bach, Vanessa
  • Finogenova, Natalia
  • Berger, Markus
  • Winter, Lisa
  • Finkbeiner, Matthias

Abstract

The demand for many resources has increased significantly over the last decades due to their growing importance for industrial and technological development. Thus, various methods were developed to assess availability constraints of resources in relation to their vulnerability within countries and/or sectors (criticality). However, these methods display several short-comings. Thus, the aim of the introduced approach is, to enhance the assessment of critical resource use on country level with the SCARCE method, by considering the two dimensions criticality (with the sub dimensions availability and vulnerability) and societal acceptance (with the sub dimensions compliance with social standards and compliance with environmental standards). For five of the 12 introduced categories measuring availability constraints the country specific import mix is used to determine availability constraints of resources individually for the country under consideration. These results can further be compared with global constraints (which are calculated based on global production data) to determine if the country under consideration performs worse or better than the global average. To measure social aspects the categories small scale mining, geopolitical risk and human rights abuse are introduced. Environmental aspects are considered within the categories sensitivity of the local biodiversity, climate change and water scarcity. Additionally, next to metals also fossil fuels are included allowing a direct comparison of both abiotic resources. The SCARCE method is applied for the case study of Germany for which criticality results are presented and their plausibility is validated. It is shown that for Germany tungsten is the raw material showing high risks in all considered dimensions excluding the sub dimension vulnerability. Its high availability constraints are defined by the categories political stability, primary material use and price fluctuations. Further, due to the countries tungsten is imported from (e.g. Bolivia), its compliance with social and environmental standards is low. To enhance the applicability of the SCARCE method, indicator results are provided for 40 resources to assess their availability constraints as well as their compliance with social and environmental standards.

Suggested Citation

  • Bach, Vanessa & Finogenova, Natalia & Berger, Markus & Winter, Lisa & Finkbeiner, Matthias, 2017. "Enhancing the assessment of critical resource use at the country level with the SCARCE method – Case study of Germany," Resources Policy, Elsevier, vol. 53(C), pages 283-299.
  • Handle: RePEc:eee:jrpoli:v:53:y:2017:i:c:p:283-299
    DOI: 10.1016/j.resourpol.2017.07.003
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420717301587
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.resourpol.2017.07.003?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Blengini, Gian Andrea & Nuss, Philip & Dewulf, Jo & Nita, Viorel & Peirò, Laura Talens & Vidal-Legaz, Beatriz & Latunussa, Cynthia & Mancini, Lucia & Blagoeva, Darina & Pennington, David & Pellegrini,, 2017. "EU methodology for critical raw materials assessment: Policy needs and proposed solutions for incremental improvements," Resources Policy, Elsevier, vol. 53(C), pages 12-19.
    2. Glöser, Simon & Tercero Espinoza, Luis & Gandenberger, Carsten & Faulstich, Martin, 2015. "Raw material criticality in the context of classical risk assessment," Resources Policy, Elsevier, vol. 44(C), pages 35-46.
    3. Hodler, Roland, 2006. "The curse of natural resources in fractionalized countries," European Economic Review, Elsevier, vol. 50(6), pages 1367-1386, August.
    4. Campbell, Gary A., 1985. "The role of co-products in stabilizing the metal mining industry," Resources Policy, Elsevier, vol. 11(4), pages 267-274, December.
    5. Anthony J. Venables, 2016. "Using Natural Resources for Development: Why Has It Proven So Difficult?," Journal of Economic Perspectives, American Economic Association, vol. 30(1), pages 161-184, Winter.
    6. Gylfason, Thorvaldur, 2001. "Natural resources, education, and economic development," European Economic Review, Elsevier, vol. 45(4-6), pages 847-859, May.
    7. Vanessa Bach & Markus Berger & Natalia Finogenova & Matthias Finkbeiner, 2017. "Assessing the Availability of Terrestrial Biotic Materials in Product Systems (BIRD)," Sustainability, MDPI, vol. 9(1), pages 1-35, January.
    8. Eskinder D. Gemechu & Christoph Helbig & Guido Sonnemann & Andrea Thorenz & Axel Tuma, 2016. "Import-based Indicator for the Geopolitical Supply Risk of Raw Materials in Life Cycle Sustainability Assessments," Journal of Industrial Ecology, Yale University, vol. 20(1), pages 154-165, February.
    9. Dondeyne, S. & Ndunguru, E. & Rafael, P. & Bannerman, J., 2009. "Artisanal mining in central Mozambique: Policy and environmental issues of concern," Resources Policy, Elsevier, vol. 34(1-2), pages 45-50.
    10. Schoenberger, Erica, 2016. "Environmentally sustainable mining: The case of tailings storage facilities," Resources Policy, Elsevier, vol. 49(C), pages 119-128.
    11. Andrés Calizaya & Oliver Meixner & Lars Bengtsson & Ronny Berndtsson, 2010. "Multi-criteria Decision Analysis (MCDA) for Integrated Water Resources Management (IWRM) in the Lake Poopo Basin, Bolivia," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 24(10), pages 2267-2289, August.
    12. Achzet, Benjamin & Helbig, Christoph, 2013. "How to evaluate raw material supply risks—an overview," Resources Policy, Elsevier, vol. 38(4), pages 435-447.
    13. Jong-A-Pin, Richard, 2009. "On the measurement of political instability and its impact on economic growth," European Journal of Political Economy, Elsevier, vol. 25(1), pages 15-29, March.
    14. Yang, Chi-Jen, 2009. "An impending platinum crisis and its implications for the future of the automobile," Energy Policy, Elsevier, vol. 37(5), pages 1805-1808, May.
    15. Wan Ahmad, Wan Nurul K. & Rezaei, Jafar & de Brito, Marisa P. & Tavasszy, Lóránt A., 2016. "The influence of external factors on supply chain sustainability goals of the oil and gas industry," Resources Policy, Elsevier, vol. 49(C), pages 302-314.
    16. Paivi Lujala, 2010. "The spoils of nature: Armed civil conflict and rebel access to natural resources," Journal of Peace Research, Peace Research Institute Oslo, vol. 47(1), pages 15-28, January.
    17. T. E. Graedel & Julian Allwood & Jean‐Pierre Birat & Matthias Buchert & Christian Hagelüken & Barbara K. Reck & Scott F. Sibley & Guido Sonnemann, 2011. "What Do We Know About Metal Recycling Rates?," Journal of Industrial Ecology, Yale University, vol. 15(3), pages 355-366, June.
    18. Sandifer, Paul A. & Sutton-Grier, Ariana E. & Ward, Bethney P., 2015. "Exploring connections among nature, biodiversity, ecosystem services, and human health and well-being: Opportunities to enhance health and biodiversity conservation," Ecosystem Services, Elsevier, vol. 12(C), pages 1-15.
    19. Jane Lu & Xufei Ma, 2015. "Partner resource asymmetry and IJV survival," Asia Pacific Journal of Management, Springer, vol. 32(4), pages 1039-1064, December.
    20. Stephen A. Rhoades, 1993. "The Herfindahl-Hirschman index," Federal Reserve Bulletin, Board of Governors of the Federal Reserve System (U.S.), issue Mar, pages 188-189.
    21. Jo Dewulf & Lucia Mancini & Gian Andrea Blengini & Serenella Sala & Cynthia Latunussa & David Pennington, 2015. "Toward an Overall Analytical Framework for the Integrated Sustainability Assessment of the Production and Supply of Raw Materials and Primary Energy Carriers," Journal of Industrial Ecology, Yale University, vol. 19(6), pages 963-977, December.
    22. Helbig, Christoph & Wietschel, Lars & Thorenz, Andrea & Tuma, Axel, 2016. "How to evaluate raw material vulnerability - An overview," Resources Policy, Elsevier, vol. 48(C), pages 13-24.
    23. Lapko, Yulia & Trucco, Paolo & Nuur, Cali, 2016. "The business perspective on materials criticality: Evidence from manufacturers," Resources Policy, Elsevier, vol. 50(C), pages 93-107.
    24. United Nations, 2016. "The Sustainable Development Goals 2016," Working Papers id:11456, eSocialSciences.
    25. Mudd, Gavin M., 2007. "Global trends in gold mining: Towards quantifying environmental and resource sustainability," Resources Policy, Elsevier, vol. 32(1-2), pages 42-56.
    26. Catherine Benoit-Norris & Deana Aulisio Cavan & Gregory Norris, 2012. "Identifying Social Impacts in Product Supply Chains:Overview and Application of the Social Hotspot Database," Sustainability, MDPI, vol. 4(9), pages 1-20, August.
    27. Michaël Bonnal & Mehmet E. Yaya, 2015. "Political Institutions, Trade Openness, and Economic Growth: New Evidence," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 51(6), pages 1276-1291, November.
    28. Qing Liu & Ruosi Lu & Xiangjun Ma, 2015. "Corruption, Financial Resources and Exports," Review of International Economics, Wiley Blackwell, vol. 23(5), pages 1023-1043, November.
    29. Driffield, Nigel & Jones, Chris & Crotty, Jo, 2013. "International business research and risky investments, an analysis of FDI in conflict zones," International Business Review, Elsevier, vol. 22(1), pages 140-155.
    30. Michael Enowbi Batuo & Simplice A. Asongu, 2015. "The impact of liberalisation policies on income inequality in African countries," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 42(1), pages 68-100, January.
    31. Kemp, Deanna & Worden, Sandy & Owen, John R., 2016. "Differentiated social risk: Rebound dynamics and sustainability performance in mining," Resources Policy, Elsevier, vol. 50(C), pages 19-26.
    32. Wutich, Amber & Ragsdale, Kathleen, 2008. "Water insecurity and emotional distress: Coping with supply, access, and seasonal variability of water in a Bolivian squatter settlement," Social Science & Medicine, Elsevier, vol. 67(12), pages 2116-2125, December.
    33. Douglas Aitken & Diego Rivera & Alex Godoy-Faúndez & Eduardo Holzapfel, 2016. "Water Scarcity and the Impact of the Mining and Agricultural Sectors in Chile," Sustainability, MDPI, vol. 8(2), pages 1-18, February.
    34. C. J. Vörösmarty & P. B. McIntyre & M. O. Gessner & D. Dudgeon & A. Prusevich & P. Green & S. Glidden & S. E. Bunn & C. A. Sullivan & C. Reidy Liermann & P. M. Davies, 2010. "Global threats to human water security and river biodiversity," Nature, Nature, vol. 467(7315), pages 555-561, September.
    35. Siakwah, Pius, 2017. "Are natural resource windfalls a blessing or a curse in democratic settings? Globalised assemblages and the problematic impacts of oil on Ghana's development," Resources Policy, Elsevier, vol. 52(C), pages 122-133.
    36. de Menezes, Lilian M. & Houllier, Melanie A., 2015. "Germany's nuclear power plant closures and the integration of electricity markets in Europe," Energy Policy, Elsevier, vol. 85(C), pages 357-368.
    37. Hafner-Burton, Emilie M., 2005. "Trading Human Rights: How Preferential Trade Agreements Influence Government Repression," International Organization, Cambridge University Press, vol. 59(3), pages 593-629, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kühnel, Konstantin & Schütte, Philip & Bach, Vanessa & Franken, Gudrun & Finkbeiner, Matthias, 2023. "Correlation analysis of country governance indicators and the magnitude of environmental and social incidents in mining," Resources Policy, Elsevier, vol. 85(PA).
    2. Lapko, Yulia & Trucco, Paolo, 2018. "Influence of power regimes on identification and mitigation of material criticality: The case of platinum group metals in the automotive sector," Resources Policy, Elsevier, vol. 59(C), pages 360-370.
    3. Steffen Kiemel & Simon Glöser-Chahoud & Lara Waltersmann & Maximilian Schutzbach & Alexander Sauer & Robert Miehe, 2021. "Assessing the Application-Specific Substitutability of Lithium-Ion Battery Cathode Chemistries Based on Material Criticality, Performance, and Price," Resources, MDPI, vol. 10(9), pages 1-27, August.
    4. Hache, Emmanuel & Seck, Gondia Sokhna & Simoen, Marine & Bonnet, Clément & Carcanague, Samuel, 2019. "Critical raw materials and transportation sector electrification: A detailed bottom-up analysis in world transport," Applied Energy, Elsevier, vol. 240(C), pages 6-25.
    5. Gondia Sokhna Seck & Emmanuel Hache & Clement Bonnet & Marine Simoën & Samuel Carcanague, 2020. "Copper at the crossroads : Assessment of the interactions between low-carbon energy transition and supply limitations," Post-Print hal-03118509, HAL.
    6. Kim Maya Yavor & Vanessa Bach & Matthias Finkbeiner, 2021. "Adapting the ESSENZ Method to Assess Company-Specific Criticality Aspects," Resources, MDPI, vol. 10(6), pages 1-19, May.
    7. Mitja Mori & Rok Stropnik & Mihael Sekavčnik & Andrej Lotrič, 2021. "Criticality and Life-Cycle Assessment of Materials Used in Fuel-Cell and Hydrogen Technologies," Sustainability, MDPI, vol. 13(6), pages 1-29, March.
    8. Lina Baranauskaitė & Daiva Jurevičienė, 2021. "Import Risks of Agricultural Products in Foreign Trade," Economies, MDPI, vol. 9(3), pages 1-15, July.
    9. Arendt, Rosalie & Muhl, Marco & Bach, Vanessa & Finkbeiner, Matthias, 2020. "Criticality assessment of abiotic resource use for Europe– application of the SCARCE method," Resources Policy, Elsevier, vol. 67(C).
    10. Dieuwertje Schrijvers & Philippe Loubet & Guido Sonnemann, 2020. "Archetypes of Goal and Scope Definitions for Consistent Allocation in LCA," Sustainability, MDPI, vol. 12(14), pages 1-15, July.
    11. Schütte, Philip, 2019. "International mineral trade on the background of due diligence regulation: A case study of tantalum and tin supply chains from East and Central Africa," Resources Policy, Elsevier, vol. 62(C), pages 674-689.
    12. Christoph Helbig & Martin Bruckler & Andrea Thorenz & Axel Tuma, 2021. "An Overview of Indicator Choice and Normalization in Raw Material Supply Risk Assessments," Resources, MDPI, vol. 10(8), pages 1-26, August.
    13. Weiguo Fan & Nan Chen & Ximeng Li & Hejie Wei & Xuechao Wang, 2020. "Empirical Research on the Process of Land Resource-Asset-Capitalization—A Case Study of Yanba, Jiangjin District, Chongqing," Sustainability, MDPI, vol. 12(3), pages 1-23, February.
    14. Griffin, Gillian & Gaustad, Gabrielle & Badami, Kedar, 2019. "A framework for firm-level critical material supply management and mitigation," Resources Policy, Elsevier, vol. 60(C), pages 262-276.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Vanessa Bach & Markus Berger & Natalia Finogenova & Matthias Finkbeiner, 2017. "Assessing the Availability of Terrestrial Biotic Materials in Product Systems (BIRD)," Sustainability, MDPI, vol. 9(1), pages 1-35, January.
    2. Yu, Shiwei & Duan, Haoran & Cheng, Jinhua, 2021. "An evaluation of the supply risk for China's strategic metallic mineral resources," Resources Policy, Elsevier, vol. 70(C).
    3. Marie K. Schellens & Johanna Gisladottir, 2018. "Critical Natural Resources: Challenging the Current Discourse and Proposal for a Holistic Definition," Resources, MDPI, vol. 7(4), pages 1-28, December.
    4. Arendt, Rosalie & Muhl, Marco & Bach, Vanessa & Finkbeiner, Matthias, 2020. "Criticality assessment of abiotic resource use for Europe– application of the SCARCE method," Resources Policy, Elsevier, vol. 67(C).
    5. Dewulf, Jo & Blengini, Gian Andrea & Pennington, David & Nuss, Philip & Nassar, Nedal T., 2016. "Criticality on the international scene: Quo vadis?," Resources Policy, Elsevier, vol. 50(C), pages 169-176.
    6. Hatayama, Hiroki & Tahara, Kiyotaka, 2018. "Adopting an objective approach to criticality assessment: Learning from the past," Resources Policy, Elsevier, vol. 55(C), pages 96-102.
    7. Kim, Juhan & Lee, Jungbae & Kim, BumChoong & Kim, Jinsoo, 2019. "Raw material criticality assessment with weighted indicators: An application of fuzzy analytic hierarchy process," Resources Policy, Elsevier, vol. 60(C), pages 225-233.
    8. Aiman Fadil & Paul Davis & John Geraghty, 2023. "A Mixed-Method Approach to Determine the Successful Factors Affecting the Criticality Level of Intermediate and Final Products on National Basis: A Case Study from Saudi Arabia," Sustainability, MDPI, vol. 15(7), pages 1-29, March.
    9. Helbig, Christoph & Bradshaw, Alex M. & Kolotzek, Christoph & Thorenz, Andrea & Tuma, Axel, 2016. "Supply risks associated with CdTe and CIGS thin-film photovoltaics," Applied Energy, Elsevier, vol. 178(C), pages 422-433.
    10. Griffin, Gillian & Gaustad, Gabrielle & Badami, Kedar, 2019. "A framework for firm-level critical material supply management and mitigation," Resources Policy, Elsevier, vol. 60(C), pages 262-276.
    11. Karakaya, Emrah & Nuur, Cali, 2018. "Social sciences and the mining sector: Some insights into recent research trends," Resources Policy, Elsevier, vol. 58(C), pages 257-267.
    12. Shu Yang & Elyas Abdulahi & Muhammad Afaq Haider & Mohammed Asif Khan, 2019. "Revisiting the Curse: Resource Rent and Economic Growth of Sub-Sahara African Countries," International Journal of Economics and Financial Issues, Econjournals, vol. 9(1), pages 121-130.
    13. Masoudi, S.M. & Ezzati, E. & Rashidnejad-Omran, N. & Moradzadeh, Ali, 2017. "Geoeconomics of fluorspar as strategic and critical mineral in Iran," Resources Policy, Elsevier, vol. 52(C), pages 100-106.
    14. Tahar, Moez Ben & Slimane, Sarra Ben & Ali Houfi, Mohamed, 2021. "Commodity prices and economic growth in commodity-dependent countries: New evidence from nonlinear and asymmetric analysis," Resources Policy, Elsevier, vol. 72(C).
    15. Jasiński, Dominik & Cinelli, Marco & Dias, Luis C. & Meredith, James & Kirwan, Kerry, 2018. "Assessing supply risks for non-fossil mineral resources via multi-criteria decision analysis," Resources Policy, Elsevier, vol. 58(C), pages 150-158.
    16. Vanessa Bach & Markus Berger & Natalia Finogenova & Matthias Finkbeiner, 2019. "Analyzing Changes in Supply Risks for Abiotic Resources over Time with the ESSENZ Method—A Data Update and Critical Reflection," Resources, MDPI, vol. 8(2), pages 1-16, April.
    17. Waqar Wadho & Sadia Hussain, 2023. "Ethnic diversity, concentration of political power and the curse of natural resources," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 40(1), pages 113-137, April.
    18. Thorvaldur Gylfason & Gylfi Zoega, 2017. "The Dutch Disease in Reverse: Iceland's Natural Experiment," CESifo Working Paper Series 6513, CESifo.
    19. Lashitew, Addisu A. & Werker, Eric, 2020. "Do natural resources help or hinder development? Resource abundance, dependence, and the role of institutions," Resource and Energy Economics, Elsevier, vol. 61(C).
    20. Pell, Robert S. & Wall, Frances & Yan, Xiaoyu & Bailey, Gwendolyn, 2019. "Applying and advancing the economic resource scarcity potential (ESP) method for rare earth elements," Resources Policy, Elsevier, vol. 62(C), pages 472-481.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:53:y:2017:i:c:p:283-299. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.