Australia’s mining sector has long been a pillar of the nation’s economy, supplying critical minerals and creating jobs. However, increasing environmental concerns, international climate commitments, and community expectations are driving a push to reduce the environmental footprint of mining — and, in some cases, reduce mining activity altogether in favour of greener solutions.
1. Transitioning to Renewable Energy and Lower-Impact Operations
Where mining remains essential, companies are turning to renewable energy to reduce the sector’s carbon footprint. Fortescue Metals Group is building a 190 MW solar farm at its Cloudbreak mine and planning a 2–3 GW solar and wind project in the Pilbara to help achieve “real-zero” emissions by 2030. (https://www.theaustralian.com.au/business/mining-energy/big-solar-farm-for-forrests-fortescueoperation/news-story/671c43038e9dff6ca2e325694b4041db)
Rio Tinto’s Gladstone alumina operations have signed 20-year deals to source 90% of their energy from solar and battery storage, cutting annual emissions by an estimated 5.6 million tonnes of CO₂. (https://www.theguardian.com/environment/2025/mar/13/rio-tintos-solar-power-and-battery-purchase-for-gladstone-aluminium-operations-praised-as-right-direction)
Projects like the Dugald River Solar Farm, with 184,000 panels and 88 MW capacity, also demonstrate how mining regions can pivot toward renewables to reduce their reliance on fossil fuels. (https://www.couriermail.com.au/news/what-dugald-river-solar-farm-means-for-north-west-minerals-province/news-story/6a3b604ceee5b4a47022fbcc8ebff6b9)
2. Green Technology to Reduce Environmental Impact
Mining companies are trialling cleaner technologies to reduce the scale and intensity of operations. Fortescue’s hydrogen-powered haul truck “Europa” has begun testing in the Pilbara, replacing diesel and lowering emissions from heavy equipment. (https://www.mining-technology.com/news/fortescue-first-hydrogen-powered-t264-truck-arrives-in-pilbara)
Electric and hydrogen-powered haul trucks are also in development across Western Australia to transition away from diesel fleets entirely. (https://www.abc.net.au/news/2024-08-28/diesel-mining-truck-converted-to-electric-to-lower-emissions/104230918)
Collaborations with equipment manufacturers, such as Fortescue’s partnership with Liebherr, are accelerating the move toward zero-emission mining fleets. (https://www.australianmining.com.au/fmg-and-liebherr-team-up-on-green-mine-haul-trucks)
3. Renewable Microgrids and Battery Storage
Hybrid microgrids powered by solar, wind, and battery storage are enabling mines to reduce — and eventually phase out — diesel power generation. The Agnew gold mine operates Australia’s largest off-grid renewable microgrid, delivering 56 MW of clean power. (https://www.abc.net.au/news/rural/2021-11-15/green-mines-a-renewable-energy-evolution/100613266)
At the St Ives mine, battery arrays (up to 48 MWh) help store and smooth renewable power generation, reducing the need for fossil fuels during peak demand. (https://discoveryalert.com.au/news/renewables-adoption-mining-australia-transformation-2025)
4. Scaling Down and Diversifying Beyond Mining
Some industry leaders recognise that reducing reliance on mining is part of the long-term path to sustainability. Fortescue has secured nearly US $2 billion to advance its decarbonisation strategy, including projects that go beyond mining toward renewable energy production. (https://www.reuters.com/sustainability/boards-policy-regulation/australian-miner-fortescue-lands-near-2-billion-loan-advance-decarbonisation-2025-08-07)
However, challenges remain. Rio Tinto has acknowledged that producing “green steel” in Australia faces economic and technical barriers, making a full shift away from traditional mining difficult without stronger carbon pricing and policy support. (https://www.reuters.com/sustainability/climate-energy/rio-tinto-says-no-economic-incentive-green-steel-australia-2025-08-07)
The Productivity Commission has called for a national strategy to drive emissions reduction, diversify regional economies, and support workers in transitioning away from mining toward renewable energy and other sustainable industries. (https://www.theaustralian.com.au/nation/politics/anthony-albaneses-net-zero-transition-wont-be-cheap-or-easy-productivity-commission-warns/news-story/ff2e3ebeb4bd0911933bf44843a9bccd)
Summary
Reducing Impact: Renewable energy and green technologies are helping to lower the environmental footprint of mining. Cleaner Operations: Hydrogen and electric machinery are replacing diesel in some sites. Renewable Infrastructure: Microgrids and storage are providing reliable, fossil-free power. Long-Term Change: Policy, investment, and economic diversification will be key to reducing mining dependence in Australia. By scaling back environmentally harmful operations, embracing clean technology, and investing in alternative industries, Australia can protect its environment while still supporting regional communities and the economy.
