Global Challenges and National Responses: Indicators to Evaluate Public Policies for Mining Development in Chile in the Context of the Global Energy Transition

Abstract

The challenges of climate change require in-depth attention and targeted strategies for specific sectors, such as energy and mining. Within the mining sector, climate change imposes constraints on the sustainable extraction of minerals, thereby heightening the importance of several minerals in addressing these challenges. Chile emerges as a pivotal nation due to its substantial reserves of copper, lithium, cobalt, nickel, and graphite, which are essential for energy transition and decarbonization processes. Consequently, Chile must foster gradual processes to establish competitive advantages based on technological and innovative capabilities, thus projecting a competitive and sustainable mining industry. This endeavor should be accompanied by enhancements in policies and instruments to guide development, expanding local value creation. This study examines the global challenges faced by the mining sector in the context of the energy transition and evaluates Chile’s response through an assessment of public policies for mining development. It provides an analysis of the scope of various public policy instruments to establish the link between international agreements and development opportunities, subsequently proposing a series of indicators to assess policy progress. To this end, the Environmental Observatory of Mining Projects is developing indicators to evaluate compliance with these policies. In addressing the nation’s challenges related to green and sustainable mining, 20 indicators have been developed in collaboration with civil society and public and private stakeholders through a design thinking process. These indicators enable the evaluation of aspects such as air quality, water quality, and the surface area affected by tailings, among others. The initial section of the document outlines the global challenges in achieving the carbon neutrality goals set by the IPCC. The subsequent section elaborates on the theoretical framework of the research, addressing theories of economic development and sustainability, public policy approaches considered in recent years, as well as the governance of mining development, with an emphasis on its capacity to articulate industrial policies, promote environmental sustainability, and foster technological innovation. The third section details the research methodology and framework of the study. This study examines how Chile’s mining policies align with the global energy transition. Amid growing demand for critical minerals, climate change, and decarbonization, Chile faces both opportunities and socio-environmental risks. Addressing these challenges requires integrated sustainability strategies and an active state role to ensure inclusive, environmentally responsible, and innovation-driven mining development.

1. Introduction

Climate change is a major global challenge [1]. According to the Intergovernmental Panel on Climate Change, the air temperature on the Earth’s surface has increased by almost twice the global average since the pre-industrial era [2]. To mitigate the most severe effects of global warming, there is an urgent need to phase out fossil fuels and accelerate the adoption of clean and sustainable energy sources [1]. Chile is particularly exposed to the effects of climate change and faces challenges such as air pollution, drought, water stress, biodiversity loss, and vulnerability of human communities [3,4,5,6]. In addition, many mining sites are located in geographically complex and environmentally fragile areas, which intensifies significant impacts and risks such as biodiversity loss [7,8], water scarcity [9], pollution, and risk to human health from exposure to particulate matter, heavy metals, and other harmful pollutants [10].

Chile is organized into 16 regions encompassing a wide diversity of ecosystems, many of which are officially protected. According to the [11] there are 246 terrestrial protected areas, including National Parks, Reserves, Natural Monuments, and Nature Sanctuaries, in addition to 32 Marine Protected Areas, some of which overlap with other categories. In parallel, the country is home to significant mining activity. According to the [12], there are 22,794 active mining operations, 6362 inactive operations, and 137 in an irregular status. The Figure 1 shows the distribution of mining operations and protected areas. According to this, there are 283 projects across 14 different productive sectors, most of them related to energy and mining, that threaten biodiversity and human well-being, mainly due to pollution and habitat destruction.

In this context, the 2030 Agenda for Sustainable Development [11] emphasizes the need to implement effective and equitable measures based on low-carbon technologies. However, these solutions are highly material intensive, leading to a significant expansion in mining activity. The International Energy Agency (IEA) estimates that global mineral consumption could quadruple in the coming years, and under a Zero Net Emissions scenario by 2050, it may increase up to sixfold [12]. This phenomenon raises critical questions about the availability and affordability of these resources. The IEA warns that while mineral resources exist in geological terms, there is no guarantee that supplies will be readily and affordably available [15].

More than three billion tons of minerals and metals are required for the development of solar, wind, and geothermal energy-based technologies to limit the global temperature increase to below 2 °C [16]. In this framework, critical minerals such as copper, lithium, cobalt, and graphite play a central role as strategic inputs for essential renewable technologies, such as electric vehicles, photovoltaic panels, and wind turbines [12,16,17,18,19,20].

The rapid increase in demand for energy storage systems is anticipated to substantially elevate the requirement for specific minerals. It is projected that the production of lithium, graphite, and cobalt will need to expand by over 450% by the year 2050 compared to the levels recorded in 2018 [21]. Correspondingly, minerals such as aluminum and copper are expected to experience significant increases in absolute volume, with projected demand reaching 103 and 29 million tons, respectively, by the same year.

According to the IEA projections within the Zero Net Emissions scenario extending to 2050, global demand for lithium is anticipated to increase by 17.1 times, cobalt by 5 times, nickel by 6.5 times, rare earth elements by 4.6 times, and copper by 3.1 times. These projections highlight the strategic importance of these resources in the context of the energy transition [19].

The supply of raw materials depends on several factors. High demand tends to increase prices, stimulating investments in exploration, exploitation, and refining projects as well as substitution and recycling initiatives. In contrast, low prices can slow investment in new production capacity given the high barriers that characterize the sector. In addition, the technical capacity to expand extraction and processing operations, along with the applicable regulatory and environmental frameworks, affects the capacity of the mining sector to respond. Collectively, these factors determine the “flexibility” and future adaptability of supply [18].

Latin America and the Caribbean are pivotal regions for mining development in alignment with sustainability goals. This area presents opportunities for extraction, production diversification, and value addition. However, the reliable and affordable supply of these minerals is subject to structural risks on the supply side and emerging tensions on the demand side. Chile is particularly significant due to its abundance of critical minerals such as copper, lithium, nickel, and rare earth elements. Various projections indicate a sustained increase in demand for these resources by 2050, underscoring the necessity to advance the exploration and development of new mining projects. This scenario presents significant challenges for the national industry, which must transition towards more sustainable production models in exploration, extraction, processing, and metallurgy [22,23].

In 2022, Chile was the second-largest producer of lithium globally, with an output of 39,000 tons, following Australia [24]. This position plays a significant role in the international dynamics of energy transition while simultaneously requiring a review of its regulatory frameworks, governance mechanisms, and value addition strategies [25]. The increasing demand, combined with the emergence of new production centers and associated industries worldwide, creates a favorable situation that reflects national responses to a changing global environment [17,26]

It is essential to adopt a long-term strategic vision that integrates growth objectives with environmental protection and social cohesion to harness the potential of mining for economic development. Advancing towards sustainable mining demands the incorporation of renewable energy in extraction processes, the implementation of integrated water management, the adoption of circular economy models, waste recovery, the reduction of carbon emissions, and the safeguarding of critical ecosystems [27].

In this context, the primary aim of this study is to develop an evaluation matrix to systematically assess and analyze the principal environmental challenges faced by the Chilean mining industry in its pursuit of carbon neutrality. This analysis is conducted with consideration of Chile’s strategic role as a key mineral exporter in the global energy transition.

The research questions are articulated as follows: In what ways can Chile, as a strategic supplier of critical minerals, align its mining policy with the goal of achieving carbon neutrality while adhering to environmental sustainability criteria? Additionally, what indicators can effectively assess the progress and efficacy of public mining policies concerning sustainability and decarbonization?

As a working hypothesis, it is argued that given that Chile began to implement public policies aimed at the development of a more sustainable mining industry, it is possible to objectively evaluate its progress through a system of specific indicators. In particular, the 20 indicators developed by the Environmental Observatory [28] provide an effective instrument to monitor the implementation of such policies from an integrative perspective, integrating the visions of the public sector, private world, and civil society. This tool, managed by an independent platform, strengthens accountability mechanisms regarding commitments undertaken.

This study establishes a theoretical framework centered on economic development, sustainability, mining governance, the role of the state, and innovation in public policies. Employing a mixed-methods approach, the research aims to construct and validate a system of environmental indicators specific to the mining sector. The analysis subsequently evaluates 10 public policy instruments and their interconnections with 20 indicators developed by the Environmental Observatory (OA in Spanish). The discussion interprets these findings given the theoretical framework, addressing existing gaps and opportunities for environmental monitoring within the mining industry. Finally, the conclusions outline the primary insights gained and their implications for the development of public policies that promote sustainable and climate-responsible mining practices.

2. Theoretical Approach

This chapter unfolds in five interconnected steps. First, we will review current debates surrounding mining governance and sustainability, both in Chile and internationally. Second, we will place these discussions within the context of the country’s broader economic development models. Next, we will analyze recent public policy strategies aimed at fostering innovation in the mining sector, followed by a focused examination of lithium governance as a critical case study. Finally, we will introduce community engagement indicator initiatives that reflect local perspectives and conclude with a consolidated overview of the key lessons learned.

• Mining governance and sustainability

Effective governance in the mining sector is essential to ensure that the increased production of critical minerals supports both energy transition and sustainable development [27]. Nonetheless, discrepancies have been observed between the discourse of sustainability and its implementation in practice [29], highlighting the need for frameworks that promote accountability and community engagement [30]. As [15] point out, effective governance of the extractive sector requires robust legal and institutional frameworks that ensure equitable distribution of mining rents, guarantee environmental sustainability and promote social participation throughout the entire project cycle. Chile possesses significant mining potential, particularly in lithium, copper, nickel, and rare earth reserves, thereby positioning it strategically within the global supply chain [22,23,31]. The expansion of production requires substantial investments and the exploration of new areas with untapped resources, which present considerable environmental and social challenges. Consequently, a comprehensive strategic vision; robust economic, social, and environmental regulations; and enhanced intersectoral coordination are imperative [32].

In recent years, Chile has promoted various strategies to address these challenges, such as the National Mining Policy 2050 [33], Long-Term Climate Strategy 2050 [34], and National Lithium Strategy [35].

At the international level, the increasing interest in critical minerals has led to legal reforms and the design of new public policies. These initiatives highlight the distinctions between consumer and producer countries; the former emphasizes standards and cooperation agreements, whereas the latter focuses on maximizing the economic benefits derived from their resources [23].

From a structural standpoint, one of Chile’s primary challenges lies in overcoming its historical dependence on natural resource extraction [36]. The nation’s mining history has been characterized by cycles of boom and bust, beginning with nitrate in the 19th and early 20th centuries, whose replacement by synthetic fertilizers precipitated economic collapse, to the current predominance of copper as a driver of economic growth [37]. This historical experience has prompted a persistent concern within Chilean mining policy: the potential for recurring cycles of dependence and vulnerability in response to technological and market changes.

In summary, Chile has undergone several phases of mining governance, beginning with the initial expansion of copper in the 19th century, followed by the rise and decline of saltpeter, and subsequently experiencing another significant expansion in copper exploitation [38]. In the present day, there is potential for the exploitation of lithium and other critical minerals, which the country aims to capitalize on through various public policy instruments.

• Economic development models and mining

Since the adoption of the neoliberal model in Chile in 1973, the nation has experienced consistent economic growth characterized by market liberalization and a diminished role of the state in economic affairs [39,40,41]. Within this context, the mining sector assumes a strategic position in the national production framework. According to [4,42], the mining industry currently accounts for approximately 50% of the total value of the country’s exports, with a 28.5% share in copper production [4]. This sector significantly contributes to the Gross Domestic Product (GDP), tax revenue, exports, employment, and the attraction of foreign investment. Nevertheless, its economic sustainability is largely contingent upon the operational profitability of its constituent companies [43,44]. Ref. [43] projected that copper production could increase by 20.7% by 2030, reaching 7.04 million tons annually, with a growth rate of 1.6% [4].

Research on effective extractive practices emphasizes the significance of enacting public policies that focus on value addition, local innovation, and the development of productive associations, particularly concerning lithium [45]. Drawing on theories of economic and sustainable development [45] various approaches have been proposed to reevaluate the interaction between growth, welfare, and sustainability. One such approach is the Welfare State, which advocates for active state intervention to address structural inequalities and ensure the provision of essential services, including health, education, and social security. Another approach is Territorial Economic Development, which supports policies tailored to local contexts through decentralization, inter-institutional coordination, and community engagement. Additionally, productive development policies endorsed by organizations such as the IDB aim to enhance national competitive capacity by fostering strategic sectors, innovation, and infrastructure improvements. Lastly, the Theory of Governance highlights the need for collaboration among the state, the private sector, and civil society in the design and implementation of effective and legitimate public policies.

• Public policy approaches to innovation in mining: visions and tensions

The challenges posed by climate change and energy crises have led to reevaluating the development and production paradigms, encouraging a shift away from fossil fuels towards the adoption of renewable energy sources [46,47,48]. Governments have been instrumental in designing policies that adopt the growth of markets centered on clean and sustainable energy [49,50,51,52]. In Chile, the mining sector holds a strategic position in the global energy transition, particularly through the production of metals such as lithium, cobalt, copper, and manganese, which are essential for the development of electricity-intensive and low-carbon technologies [21,53,54].

According to the Economic Commission for Latin America and the Caribbean [55], there are two principal perspectives on innovation and the role of the state. The first perspective suggests that policies should solely address market failures or imperfections within a framework of free markets and external openness. In this view, the state should refrain from active participation in productive activities or the selection of winning sectors. Instead, its role should be confined to creating conditions that lead to innovation, such as maintaining macroeconomic stability, ensuring legal certainty as well as protection of intellectual property, and investing in human capital. Conversely, the second perspective considers that systemic failures require a more proactive role for the state. This involves establishing conditions of stability, legal protection, and investment in scientific knowledge to create and coordinate a network of innovative connections between supply and demand, thereby connecting various stakeholders. This approach advocates for a leading role in planning, identifying priority areas, and mobilizing resources to ensure that the innovation and knowledge are disseminated throughout the productive sectors and the broader economy [55].

The Chilean trajectory integrates elements from both liberalization and state intervention approaches, characterized by an alternation between these models [56]. Since 1970, three distinct periods of mining governance have been identified. The first period (1970–2003) involved the establishment of norms and institutions designed to enhance large-scale mining, thereby attracting investment and promoting extensive production [56]. The second period (2004–2014) coincided with the copper super-cycle, which led to increased foreign investment, the introduction of a specific tax on mining activities (Mining Royalty), and the development of a new environmental institutional framework, including the Ministry of the Environment, Environmental Assessment Service, and Superintendence of the Environment and Environmental Courts. The third period (2015 to present) is marked by advancements towards sustainable mining, emphasizing competitiveness, innovation, community engagement, and socio-environmental protection [57]. Furthermore, during the current government (2022–2026), legislative initiatives have passed to expedite authorizations and permits, particularly in environmental matters, with the objective of enhancing investment and stimulating economic activity. This occurs within a context where the mining industry is experiencing institutional overload due to the multitude of procedures (exceeding 380 authorizations and 37 public services), prolonged deadlines, and limited legal certainty [58].

In conclusion, public policy concerning innovation in the Chilean mining sector is at a critical juncture. The primary challenge lies in designing a strategic vision that reconciles the historical tensions between economic growth, environmental sustainability, and territorial justice. This vision should aim to establish a governance model for mining that raises innovation while avoiding the perpetuation of past extractivist practices.

• The case of lithium

The National Lithium Strategy [35] stresses the importance of generating value through technological advancement, sustainability, and public–private partnerships. It sets forth the objective for Chile to emerge as the world’s foremost lithium producer, thereby enhancing national wealth and development, ensuring equitable distribution, and safeguarding the biodiversity of salt flats. From the vantage point of innovation and sustainable development, the strategy proposes solutions that address social and environmental needs, promote collaboration among key stakeholders, and achieve equilibrium among social, economic, and environmental dimensions. It aims to correct market inefficiencies through the establishment of the National Lithium Company as a pivotal component of state intervention and to address systemic shortcomings by creating a public lithium and salt flats technological and research institute dedicated to the generation of knowledge and technology.

Given the leading role of the state in public–private partnerships, there is ongoing debate regarding the efficacy of such collaborations in promoting technological advancement and enhancing local value [35]. Furthermore, indigenous communities have raised concerns about the absence of prior consultation in accordance with ILO Convention 169, particularly in issues related to the access and management of water resources in salt flats and the potential threat to their cultural worldview showing resistance to certain projects [59]. These dynamics illustrate the tensions inherent in public–private collaboration, international pressures, and local development, especially as the global demand for lithium propels production. Nonetheless, questions remain as to whether this exploitation will truly benefit local development or primarily serve the interests of global markets.

• Bottom–up indicators from what communities need

Recent research has focused on examining bottom–up participatory processes facilitated by both formal and informal social movements and organizations. These entities aim to transform society by introducing novel paradigms of thought and understanding, thereby promoting alterations in the behaviors and lifestyles of groups or collectives. This effort particularly focuses on tackling global challenges and improving social welfare [59].

The focus is on accessing “hidden knowledge” through subjective experience and critical reflection [60], predominantly in relation to social processes and dynamics that manifest in bottom–up participatory contexts, where learning occurs informally, spontaneously, or tacitly. Despite its innovative nature, the issue of insufficient research on citizen-driven participatory experiences deemed pertinent to addressing global challenges such as the energy transition or climate change adaptation [59,61,62].

The Environmental Observatory seeks to address deficiencies in the accessibility and dissemination of public environmental management information within the mining sector, with the aim of mitigating socio-environmental conflicts [28]. The Observatory has been developing a set of 20 indicators to assess compliance with these policies, evaluating the environmental performance of mining activities at national, regional, and local levels. These indicators include water pollutant emissions, air pollutant emissions, hazardous waste, water usage, the surface area impacted by tailings, environmental management activities within the territory, and project-related conflicts.

According to [63], the implementation of tools for the planning, monitoring, and management of natural resources is essential, alongside a pronounced concern for environmental issues. Citizens express a desire to be informed and to participate in public decision-making processes. In this context, the Environmental Observatory emerges as an innovative and participatory instrument for environmental knowledge and monitoring within the mining sector. Furthermore, the integration of transparency and extractive governance criteria, such as those advocated by the Extractive Industries Transparency Initiative (EITI), has the potential to enhance accountability and public trust [64,65].

• Summary

The global shift towards energy transition has redefined the significance of critical minerals, leading to an increased demand for resources such as lithium and copper, in which Chile holds a strategic position. Nevertheless, the country encounters challenges in managing its natural resources, including the necessity to enhance the regulation and planning of the mining sector, as well as the development of environmental monitoring instruments to assess compliance with public policies. While the discourse on the energy transition highlights the urgency of emission reduction, it also requires that the governance of critical minerals ensures environmental justice and community participation [27].

Chile endeavors to advance towards sustainable mining, which harmonizes economic development with environmental conservation and community engagement. In this context, recent public policies, such as the National Mining Policy 2050 and the National Lithium Strategy, are designed to address the sector’s challenges, adopt innovation, and mitigate environmental impact. The case of the Environmental Observatory, with its 20 indicators, enhances transparency and accountability within the mining industry, a crucial factor as climate change demands elevated standards of mitigation and adaptation and as international scrutiny intensifies on making the global supply chain more sustainable.

The future development of the Chilean mining sector depends on the nation’s capacity to integrate sustainable development strategies, adopt innovation, and implement effective governance. This involves overcoming reliance on raw material exports by generating added value, promoting productive diversification, and ensuring environmental conservation alongside the well-being of local communities. The adoption of data-driven policies and the enhancement of the regulatory framework are essential for Chile to solidify its role as a pivotal participant in the global energy transition.

3. Materials and Methods

This research employs a mixed-methodological strategy with an exploratory approach, integrating documentary analysis techniques, participatory methodologies, and empirical validation procedures to address the contemporary challenges of mining sustainability in Chile. The methodological design is structured into three interconnected analytical levels:

• The identification and characterization of global challenges associated with the energy transition and their translation into national commitments within the mining sector;
• The bottom–up development of a system of environmental indicators through the OA, incorporating criteria of strategic relevance, technical feasibility, and social acceptability via multi-actor participatory processes;
• The analysis of coherence between these commitments and the available measurement capacities through an evaluation matrix that establishes levels of alignment, thematic gaps, and opportunities for improvement within the current institutional architecture.

This methodological approach integrates conceptual frameworks from environmental governance, ecological economics, and public policy studies, combining data science tools, critical information visualization [66], and user-centered design [67] to generate a robust, replicable, and evidence-based evaluative framework oriented towards decision making (Figure 2).

The methodological process included the following stages:

• Compilation of public policies and international commitments.
• Co-creation and validation of indicators with multiple stakeholders.
• Selection and validation of indicators.
• Contrast with international reporting frameworks and governmental standards.
• Iteration and refinement of indicators, prioritizing relevance, feasibility, and local acceptability.

1. Compilation of public policies and international commitment

A documentary analysis was conducted employing the criteria of relevance, timeliness, and sectoral applicability through a search protocol that included primary sources from public agencies, official normative bases, and documents from multilateral organizations. Among the 18 public policy instruments and multilateral commitments examined, ten key documents were selected that satisfied at least three concurrent criteria (

Table 1. Analysis of public policy instruments.

Public Policy Instrument	Year	Organization
Sustainable Development Goals (SDGs)	2015	United Nations [68]
National Determined Contribution (NDC)	2022	Ministry of the Environment (ME) [69]
Long-Term Climate Strategies 2050 (LTCS)	2021	Ministry of the Environment (ME) [70]
National Mining Policy 2050	2022	Ministry of Mining [33]
Sectoral Plan for Climate Change in Mining and Strategy for Climate Change and Water Resources in Mining	2024	Ministry of Mining [58]
Strategic partnership between Chile and the EU on sustainable raw material value chains	2023	Ministry of Foreign Affairs and Ministry of Mining [71]
National strategy for strengthening smelting and refining capacity	2023	Ministry of Mining [72]
Mining Royalty (Regulation 21.429)	2023	Ministry of Finance and Ministry of Mining [73]
National Lithium Strategy (2023)	2023	Ministry of Mining [35]
Regulation 20,551 to manage the closure of mining facilities	2012	National Geology and Mining Service [74]

Source: prepared by the authors based on public policy instruments and country commitments.

): (i) possessing specific environmental objectives, (ii) establishing verifiable commitments in the domains of mining or climate change, and (iii) being current or recently updated.

The final systematization prioritized instruments that explicitly addressed the environmental, social, and productive dimensions of mining, allowing for comparison with the 20 Environmental Observatory indicators.

2. Co-creation and validation of indicators with multiple stakeholders

The development of the indicator system was grounded in a participatory co-creation approach involving key stakeholders within the environmental mining ecosystem—namely, citizens, the public sector, and companies—through the use of surveys, semi-structured interviews, and deliberative workshops [75,76,77]. This methodology is informed by public innovation approaches [36,78], which seek to integrate diverse perspectives, adopt territorial empathy, and mitigate risks associated with institutional design. Through this process, co-creation enhances the relevance and legitimacy of the outcomes, thereby promoting the engagement of local communities, the public sector, and businesses. In developing this measurement, the Environmental Observatory utilized co-creation with users via surveys, semi-structured interviews, and participatory workshops, incorporating public service design methodologies [79]. The selection criteria emphasized relevance, measurement feasibility, update frequency, and social representativeness.

The project operates on a pilot set of 25 pre-validated indicators, with 10 successfully implemented on the OA platform and 15 awaiting implementation [28]. In Workshop 1, we convened 27 experts from public, private, and civil society organizations to refine the 15 pending indicators. Additionally, we proposed 9 new indicators, resulting in a definitive consensus list of 24 validated key performance indicators (KPIs).

3. Selection and validation of indicators

The selection of indicators was guided by the SMART methodology, which stands for Specific, Measurable, Achievable, Relevant, and Time-bound, as outlined by [76,80]. This methodological framework facilitates the evaluation of indicator quality concerning technical feasibility, clarity, measurability, viability, and relevance [76]. Subsequently, the indicators were categorized into seven analytical dimensions: air emissions, waste, environmental public services, water management, natural and cultural heritage, land use, and community engagement. These dimensions were directly associated with public commitments, facilitating the establishment of a connection between the strategic orientation of policies and observable data (see

Table 2. List of 20 key indicators for environmental management in the mining industry.

Dimension	Indicator
Air emissions	Emissions of air pollutants
	Greenhouse gas emissions
Waste management	Hazardous waste
	Scale and technology of tailings management
	Non-hazardous waste
Environmental public service management	Environmental management activities in public services
	Environmental compliance
	Timeframes for resolution of mining projects in the Environmental Impact Assessment System (SEIA in Chile)
	Projects submitted to the Environmental Impact Assessment System (SEIA)
Water management	Discharge of water pollutants
	Water rights for mining use
Protection and conservation of natural and cultural heritage	Conservation areas or biodiversity protection zones
	Areas of cultural heritage value
	Glaciers
	Indigenous communities
Land use	Surface area disturbed by mining activities
	Operational mining projects in the territory
	Mining projects with an approved closure plan
Community engagement	Project-related conflicts
	Socioeconomically vulnerable households

Source: prepared by the authors.

).

The 24 KPIs underwent a comprehensive SMART quality check and were then refined during two regional adjustment workshops, which included 20 participants online and 44 in person. Finally, an online expert survey with 131 respondents was conducted to assess the relevance of the indicators. From this survey, the top 10 indicators were selected for operationalization in the current phase, while the remaining 14 indicators will be reserved for future development.

4. Contrast with international reporting frameworks and governmental standards

The developed indicators were evaluated against global frameworks and national standards pertaining to environmental, social, and economic monitoring to ensure their methodological alignment with international best practices. This methodological triangulation enhanced their compatibility with global systems of transparency, extractive governance, and accountability.

5. Iteration and refinement of indicators, prioritizing relevance, feasibility, and local acceptability

The system ultimately underwent an iterative process of technical refinement and social validation, which involved the design of comprehensible visualizations, the navigability of the platform for reporting purposes, and the incorporation of feedback from end users. This component integrates elements of data visualization [66] and experience design [78,79].

6. Analysis of coherence between commitments and indicator coverage

In the second phase, the selected documents were systematically organized and analyzed using a matrix that comprised commitments or specific goals identified (rows) and evaluated according to the following criteria (columns):

• Commitment/Goal: A brief description of the specific commitment or goal.
• Scope: The category under which the commitment or goal is classified (e.g., water, energy, or emissions).
• OA Indicator: Denotes whether the commitment can be monitored using any of the 20 existing OA indicators.
• OA Indicator Name: Specifications of the available indicator on the OA platform.
• Coherence: Indicates whether the indicator fully or partially measures the commitment/goal, specifying potential gaps or limitations in information.
• Additional Comments: Identification of opportunities and proposals to enhance the indicator system and strengthen the strategic monitoring of environmental commitments in mining.

The

Table 3. Excerpt from the systematization of goals in the National Mining Policy 2050.

Commitment/Goal	Area	OA Indicator	OA Indicator Name	Coherence	Additional Comments
Reduce the percentage of continental freshwater used by the mining industry, limiting it to no more than 10% of total water usage by 2025 and further decrease this to 5% by 2040; this reduction should be achieved while promoting the use of alternative water sources that do not compete with human consumption.	Environmental	Yes	Water rights	Partial, due to data limitations	At present, there is no publicly available information regarding the specific volume of water used by individual mining projects. As an estimate, OA considers the continental water rights requested for mining activities. However, for effective monitoring, it is essential to have data on both continental and non-continental water use by mining projects, information that is currently unavailable from official public sources.

Source: prepared by the authors.

illustrates an applied example of the analysis matrix for the National Mining Policy 2050 [33] (Annex, 1).

The

Table 4. Key national challenges in Chile’s mining public policy framework.

Public Policy	Description	Dimension	Relationship with OA Indicators	Specific Goal
Long-Term Climate Strategy 2050 [76]	Sectoral Objective 3 (Mining): goals related to tailings management: Goal 3.3: Reduce the production of conventional tailings by promoting alternative disposal methods, establishing a reduction target by 2022 and ensuring compliance by 2030. Goal 3.4: Ensure there are no abandoned tailings facilities by 2050.	Emissions	Air pollutant emissions Greenhouse gas (GHG) emissions	Establishes emission targets for PM10 and PM2.5 in the mining sector by 2025, with compliance expected by 2030. Reduces CO2eq emissions from large-scale mining operations by at least 50% by 2030, reaching carbon neutrality by 2040. Between 10% and 17% of the total emission reductions are expected to come from the mining sector.
		Environmental	Freshwater use	Reduces the percentage of continental freshwater used in mining, limiting it to no more than 5% of total water use by 2040, while promoting alternative sources that do not compete with human consumption.

Source: prepared by the authors.

presents an example of the analysis matrix, applied to the review of policy instrument goals. The full table is included in Table S1: Public policies and their relationship with OA indicators.

This matrix facilitated the identification of OA indicators that are instrumental in evaluating a country’s adherence to environmental commitments in the mining sector. Additionally, it highlighted significant gaps that require attention to enhance effective strategic monitoring.

4. Results

4.1. Public Policy Analysis

Chile has articulated a broad set of environmental commitments through national policies, sectorial strategies and international agreements. According to the

Table 5. Key environmental commitments in the mining sector in Chile.

Key Environmental Commitments in the Mining Sector
Sustainable Development Goals (SDG) [68]	Direct mining activities towards the Sustainable Development Goals (SDGs), promoting sustainability through comprehensive water management, renewable energy, a circular economy, carbon footprint reduction, biodiversity protection, industry, innovation, and infrastructure. Align various Sustainable Development Goals (SDGs) to promote the responsible use of resources, environmental restoration, and climate resilience, thereby encouraging partnerships among government, industry, and community stakeholders for effective implementation. SDGs 6, 7, 8, 9, 12, 13, and 15 were identified as priorities.
National Determined Contribution [69]	Reduce CO2 emissions through the substitution of fossil fuels. Improve water and energy efficiency, prioritizing the circular economy. Encourage the adoption of low-emission technologies and the systematic measurement of impact.
National Mining Policy 2050 [33]	Reduce the use of continental freshwater and promote alternative sources (desalination and recycling). Promote clean energy and carbon neutrality targets in mining operations. Ensure effective protection of biodiversity. Encourage the adoption of low-impact technologies. Rehabilitate environmental liabilities, tailings, and degraded territories. Strengthen community participation and transparency in environmental management.
Long-Term Climate Strategy [70]	Achieve carbon neutrality and climate resilience by 2050, with sector-specific targets for mining. Promote renewable energy and energy efficiency across the sector. Foster innovation and nature-based solutions to mitigate ecological impacts. Minimize, address, and manage the impacts of active, abandoned, and high-risk tailings through industry, innovation, and infrastructure development.
Sectoral Climate Change Plan for Mining and Climate Change and Water Resources Strategy in Mining [81]	Decarbonize production processes through the use of clean energy and electromobility in mining operations. Promote green hydrogen as a high-potential resource for reducing emissions in the sector. Implement circular economy practices and nature-based solutions to restore ecosystems affected by abandoned mining activities, mitigate environmental impacts, and enhance resilience. Ensure responsible water management by reducing continental freshwater consumption and protecting wetlands and aquifers. Improve energy efficiency by adopting sustainable, climate-resilient technologies.
Strategic Partnership between Chile and the European Union on Sustainable Raw Material Value Chains [71]	Integration of sustainable raw material value chains. Cooperation in research and innovation to enhance mineral knowledge and reduce environmental and climate footprints across the value chain. Alignment with environmental, social, and governance (ESG) standards to ensure sustainable practices. Development of infrastructure with the lowest environmental impact. Capacity building to promote the development of skills that support environmentally responsible practices. Improvement of governance in the mining sector.
National Strategy for Strengthening Smelting and Refining Capacity [72]	Reduce dependence on foreign markets and increase participation in global refined mineral markets. Modernize facilities to meet high environmental standards. Develop new plants using clean technology. Strengthen transparency and environmental monitoring. Promote the research and development of sustainable technologies. Encourage citizen participation and the dissemination of information.
Mining Royalty [82]	Creation of funds with potential positive environmental impact: Mining Municipalities Fund (for 32 municipalities with mining activity). Support Fund for Territorial Equity (for municipalities with fewer resources). Regional Fund for Production and Regional Development. Commitment to reducing the processing times for permits related to mining investment projects while upholding environmental protection standards. Update of regulations and standards related to excavations, tailings dams, mining safety, and environmental assessments.
National Lithium Strategy [35]	Creation of protected areas in salt flats for the preservation of ecosystems, contributing to the commitment to protect 30% of ecosystems by 2030. Use of low-environmental-impact technology. Participation in dialogue with local and indigenous communities. Establishment of a public institute dedicated to lithium and salt flat technology and research.
Law 20551 to manage the closure of mining facilities [74]	Development and approval of closure plans detailing measures and actions to mitigate the effects of mining activities. Financial assurances for the implementation of the closure plan, ensuring that the state does not sustain the expenses associated with the closure and post-closure phases of mining operations. Monitoring and follow-up during the post-closure stage to ensure the physical and chemical stability of tailings dams and protect the life, health, and safety of individuals and the environment. Risk assessment and updating of closure plans to identify potential environmental and safety impacts.

Source: prepared by the authors based on the analysis of pertinent public policies. The complete table is in Table S1: Public policies and their relationship with OA indicators.

, the ten initiatives under examination form a regulatory–strategic framework that organizes Chilean mining around three analytical axes. These axes, which are both derived from the review and complementary, include (i) environmental performance and climate resilience; (ii) productive diversification with local value capture; and (iii) territorial equity and social legitimacy.

The first analytical axis emphasizes the importance of quantified objectives for emission reduction, responsible water use, and ecosystem conservation. The National Mining Policy 2050 [33] and the Long-Term Climate Strategy [70] have established carbon neutrality goals for 2050, while the Nationally Determined Contribution (NDC) [69] has set intermediate targets for 2030, aiming for a 30% reduction in CO₂ equivalent emissions compared to 2018 levels. This is further supported by the Sectoral Climate Change Plan for Mining, which advocates for a transition to renewable electricity, proposes limiting continental water consumption to less than 5% of the sector’s total, and mandates the physicochemical rehabilitation of environmental liabilities resulting from mining activities in Chile, in accordance with Law 20.551 on the Closure of Mining Operations and Facilities. The Lithium Strategy introduces specific protections for salt flats and a 30 × 30 biodiversity target.

The second analytical axis incorporates instruments designed to ensure that copper and lithium are processed with greater technological sophistication within the country, thereby supporting the domestic economy from an endogenous development perspective. The 2023 Smelting and Refining Strategy aims to establish new processing plants within the industry and achieve significant environmental improvements. Concurrently, the National Lithium Strategy establishes a public research and development institute and mandates direct extraction processes with a footprint of less than 50% of traditional evaporative methods. At the international level, the Chile–EU Strategic Association commits to funding for ESG traceability in the value chain and creates opportunities for green copper” products and low-carbon battery materials.

The third analytical axis addresses the mechanisms for economic redistribution and citizen participation that support the “social license to operate”. The Mining Royalty (Law 21.429) allocates up to USD 450 million annually to municipalities and regions, connecting revenue to projects focused on water resilience and productive diversification. Simultaneously, all major instruments—PNM 2050, the Lithium Strategy, and the Sectoral Plan—mandate early consultation with indigenous communities, public reporting in accordance with EITI standards, and the implementation of auditable closure plans.

Collectively, these ten instruments delineate Chile’s strategic framework towards a cleaner, more competitive, and socially legitimate mining sector that is aligned with global challenges. The roadmap is structured with a phased timeline (Figure 3)—2030 (NDC), 2035–2040 (sectoral plans and fiscal incentives), and 2050 (PNM and ECLP)—with the objectives of decarbonizing operations, conserving water and biodiversity, and retaining greater economic value within local territories. The PNM 2050 outlines the long-term vision for the sector; the ECLP and NDC set forth specific targets for achieving emission neutrality and climate change adaptation in both the medium and long term. The Sectoral Plan and the Water Resources Strategy operationalize adaptation measures, while the Smelting and Lithium Strategies offer fiscal and technological incentives to internalize the value capture of these industries and enhance environmental and social standards. The Chile–EU Partnership facilitates access to sustainable markets; Law 20.551 ensures responsible mine closures; and the royalty system channels resources to regions associated with mining operations, all under the framework of the 2030 Agenda and the Sustainable Development Goals (SDGs).

4.2. Matrix Analysis

In the context of analyzing the coherence and coverage of environmental commitments pertaining to the mining sector in Chile,

Table 6. Relationship between public policy instruments and socio-environmental indicators.

Public Policy Instruments

% Representation of Indicators in Analyzed Instruments

Dimensions

Indicators

SDG 2030 Agenda

NDC

PNM 2050

ECLP 2050

Sectorial CC Plan for the Mining Sector

National Strategy smelting and refining

Partnership Chile–EU

Mining Royalty

National Lithium Strategy

Regulation 20.551 on the Closure of Mines

Air emissions

Air pollutant emissions

50%

Greenhouse gas emissions (GHG emissions)

Waste management

Waste management

30%

Tailings management and technology

Non-hazardous waste

Environmental public service management

Environmental management activities in public services

30%

Environmental compliance

Timelines for the resolution of mining projects in the SEIA

Projects submitted to the SEIA

Water management

Emissions of pollutants to water

40%

Freshwater rights for mining use

Protection and conservation of natural and cultural heritage.

Protected areas or biodiversity conservation areas

50%

Areas of cultural heritage value

Glaciers

Indigenous communities

Land use

Surface area disturbed by mining activities

40%

Operational mining projects in the territory

Mining projects with an approved closure plan

Community engagement

Project-related conflicts

20%

Socioeconomically vulnerable households

Source: prepared by the authors. The color refers to the link between the indicator and the public policy instrument.

was developed as a two-way matrix. This matrix facilitates the identification of environmental dimensions addressed by various public policy instruments. It enables the examination of the extent to which strategic documents, such as the Nationally Determined Contribution (NDC), the Long-Term Climate Strategy (ECLP), the National Mining Policy 2050 (PNM), the Climate Change Adaptation Plan for the Mining Sector, and other instruments, consider aspects such as water, air, and waste, among others. This systematization also allows the establishment of relationships between declarative policy commitments and the issues actually prioritized, thereby revealing potential gaps or emphases in the environmental strategies adopted by the country concerning mining. The table below summarizes these findings, highlighting the instruments that explicitly address each of the analyzed dimensions.

Regarding the dimension and associated indicators of public policy instruments (Table 6), the most prominently represented are air emissions, such as air pollutants and greenhouse gas emissions, as well as the protection and conservation of natural and cultural heritage, including biodiversity, glaciers, and cultural heritage. These areas are addressed by five measurable public policy instruments, accounting for 50% representation. Dimensions with moderate representation, ranging from 30% to 40%, include waste management, water management, environmental services management, and soil management. Conversely, the dimension with minimal representation involves the interaction between the surrounding environment and indicators related to project conflict and socioeconomically vulnerable households.

The examination of the representation of OA indicators within public policy instruments associated with the mining sector in Chile reveals disparities in thematic prioritization. The most prominently represented dimensions, emissions (50%) and the protection of natural and cultural heritage (50%), highlights a normative focus on regulating biophysical impacts, particularly those quantifiable through conventional technical and environmental parameters, such as air emissions, GHG emissions, biodiversity, and glaciers. Conversely, critical governance dimensions, including the management of environmental public services (30%) and community engagement (10–20%), are less comprehensively integrated into the existing frameworks. Additionally, the absence of indicators for certain state functions, such as the traceability of projects submitted to the Environmental Impact Assessment (SEIA in Spanish), indicates a deficiency in evaluating institutional performance and accountability mechanisms.

4.3. Environmental Observatory UC for Monitoring Environmental Commitments in Mining

An examination of the 20 indicators from the Environmental Observatory (OA) in relation to public policy instruments indicates that the environmental commitments within the mining sector are unevenly represented. There is a significant emphasis on aspects related to emissions and natural and cultural heritage, whereas critical dimensions such as environmental public services and community engagement are notably underrepresented.

Table 7. Variable: commitment of the mining sector and its relationship with the OA indicators.

Variable	Commitment	Reference Document	OA Indicator	Additional Comments
Reportability and responsible production	A standardized environmental monitoring and reporting system (carbon footprint, water use, and other indicators), with public and auditable data to ensure responsible production aligned with impact reduction goals and transparency in management. Develop a public platform that records compliance with environmental commitments and provides updated information on the state of the environment, enabling citizen verification and strengthening transparency and accountability.	PNM 2050 [33] ECLP 2050 [70]; SDG Agenda 2030 [68]; Strategic Partnership between Chile and the EU on Sustainable Raw Materials Value Chains [71]; National Strategy for Strengthening Smelting and Refining Capacity [72]	Cross-cutting, based on the operation of the platform	The Environmental Observatory (OA) enhances accountability by integrating and visualizing fragmented environmental data, thereby reducing information disparities among the public sector, private industry, and civil society. By employing collaboratively developed indicators and an accessible platform, it facilitates the monitoring of key metrics, the generation of verifiable reports, and the comparison of performance across temporal and geographical dimensions. Consequently, it bolsters transparency, accountability, and adherence to environmental commitments within the mining sector.
Water	To mitigate the reliance on continental freshwater resources, it is imperative to promote alternative sources such as desalination and recirculation. The objective is to ensure that the use of continental water does not exceed 10% by the year 2025 and is further reduced to 5% by 2040. This strategy should be implemented while fostering solutions that do not compete with human consumption.	PNM 2050 [33]; ECLP 2050 [70]; Sectoral Climate Change Plan for Mining and Climate Change and Water Resources Strategy in Mining [81]	Freshwater rights	Due to the absence of publicly accessible data regarding the actual volume of water used in mining activities, whether sourced from continental or desalinated supplies, the Environmental Observatory (OA) uses “freshwater rights requested” as a proxy indicator. This approach facilitates an estimation of the potential demand for continental water resources, although it does not accurately represent actual consumption nor account for the use of seawater. This emphasizes the need for more comprehensive data sources to accurately evaluate progress toward established targets.
Glaciers	To safeguard and conserve glaciers and high-altitude mountainous regions, it is imperative to ensure that mining activities do not compromise their stability or hydrological functions. It requires the implementation of monitoring plans and the establishment of specific regulations designed to prevent the degradation and retreat of these ice bodies.	SDG Agenda 2030 [68] PNM 2050 [33]. ECLP 2050 [70]	Distance to glaciers	Due to the absence of publicly available data on the direct effects of mining projects on glaciers, the Environmental Observatory (OA) employs the proximity of mining sites to glaciers as a proxy indicator. However, this measure fails to account for glacier stability or hydrological functions. Consequently, more comprehensive data collection and monitoring are necessary to accurately assess the actual impact and ensure adherence to protection commitments. Thus, the OA highlights a critical data gap essential to evaluate potential threats and protect these fragile ecosystems.
Protection of biodiversity and ecosystems	To mitigate the degradation of ecologically valuable areas, it is imperative to restore regions impacted by mining activities, enhance the resilience of terrestrial and marine ecosystems in response to climate change, and incorporate nature-based solutions into sectoral projects and planning.	SDG Agenda 2030 [68]. ECLP 2050 [70]; Sectoral Climate Change Plan for Mining and Climate Change and Water Resources Strategy in Mining [81]. National Lithium Strategy [35]	Distance to protected areas or biodiversity conservation areas	In the absence of empirical data regarding the actual impact on biodiversity, the Environmental Observatory employs the proximity of mining projects to protected areas or areas of special conservation interest as a proxy indicator. This measure does not accurately reflect actual degradation or restoration efforts; thus, additional information is required to precisely assess compliance with commitments. This metric emphasizes existing data gaps, highlighting the necessity for further monitoring and field studies.
Tailings	Rehabilitate or decommission abandoned mining sites, ensure compliance with safety standards for active tailings, promote advanced disposal technologies and subsequent soil restoration, and mitigate risks to ecosystems and communities.	PNM 2050 [33]. ECLP 2050 [70]. Law 20.551 to regulate the closure of mining facilities [74]	Magnitude and technology of tailings Mining projects with approved closure plans	The OA systematically documents the quantity of tailings based on their status—abandoned, active, or inactive—and their technological classification as conventional or non-conventional. It further estimates both the safety and volume of these tailings. Additionally, the OA identifies the number of mining projects that have received approval for closure plans. These two indicators serve as measures of compliance in the rehabilitation and risk mitigation of tailings, thereby enhancing the protection of ecosystems and communities.
Circular economy and responsible production	Encourage the reuse, recycling, and reduction of waste in mineral extraction and processing, promote the efficient use of inputs and minimize waste generation, in accordance with the objectives of responsible production and consumption for sustainable development.	PNM 2050 [33]; SDG Agenda 2030 [68]; Sectoral Climate Change Plan for Mining and Climate Change and Water Resources Strategy in Mining [58]	Hazardous waste Non-hazardous waste	The Environmental Observatory (OA) offers a comprehensive analysis of the volume and management practices of mining waste, thereby facilitating the evaluation of adherence to commitments regarding efficiency and waste reduction.
Air quality	To minimize atmospheric pollution in mining environments, it is essential to enforce stringent standards to control and monitor particulate matter, adopt cleaner energy sources, reduce diesel combustion, and implement local emission mitigation and management plans.	NDC [69] PNM 2050 [33]; ECLP 2050 [70]	Air pollutant emissions	The Environmental Observatory (EO) systematically documents air emissions from mining operations, thereby facilitating the assessment of local pollution mitigation efforts.
Greenhouse gas emissions	Ensure the maintenance of an emissions budget through 2030, not exceeding 1100 MtCO2eq, by establishing sector-specific targets for mining. Additionally, promote the systematic measurement of the carbon footprint in mining operations to facilitate the progressive reduction of emissions.	NDC [69]. ECLP 2050 [70]. Sectoral Climate Change Plan for Mining and Climate Change and Water Resources Strategy in Mining [58]	Greenhouse gas emissions	OA reports solely on CO2 emissions due to the absence of publicly available data on other greenhouse gases (GHGs) from mining operations, thereby constraining the comprehensive monitoring of the emissions budget.
Energy and decarbonization	To achieve carbon neutrality by 2050, it is imperative to expedite the adoption of clean energy and enhance energy efficiency, with particular emphasis on the electrification and substitution of fossil fuels in mining processes.	NDC [69]; ECLP 2050 [70]; Sectoral Climate Change Plan for Mining and Climate Change and Water Resources Strategy in Mining [58]	Not available	The OA lacks specific indicators for energy, as this dimension was not prioritized during the project’s co-creation process, thereby limiting the capacity for direct monitoring of progress towards achieving carbon neutrality.
Regulatory management and efficiency	The processing time for environmental and sectoral permits is reduced by addressing the challenges encountered by investment projects. The objective is to streamline processes without compromising the rigor of evaluation, thus ensuring the quality of information and safeguarding environmental and social aspects.	PNM 2050 [33]. ECLP 2050 [70]. Mining Royalty [73]	Deadlines for the resolution of mining projects in the Environmental Impact Assessment (SEIA)	The OA incorporates an indicator that facilitates the monitoring of the duration required for environmental processing, in that way providing evidence of potential obstacles and the efficiency of regulatory processes.
Environmental oversight and compliance	Enhance the capacity, scope, and frequency of environmental oversight and monitoring, encourage adherence to environmental obligations, and implement remediation or sanction measures when necessary.	PNM 2050 [33]; ECLP 2050 [70]; Mining Royalty [73]; Law 20.551 to regulate the closure of mining facilities [74]	Environmental management activities and environmental compliance	The OA oversees inspections, instances of non-compliance, fines, and sanctions related to mining projects. This oversight facilitates the monitoring of environmental compliance and enhances transparency in the management of remediation efforts and sanctions for environmental and health-related damages.
Participation and social responsibility	Facilitate the involvement of local and indigenous communities in the assessment of mining projects and environmental management. Ensure transparency when spreading information, conduct prior consultations, and implement accountability mechanisms to enhance social licenses and partnerships for sustainable development.	PNM 2050 [33]. SDG Agenda 2030 [68]. National Lithium Strategy [35]	Not available	While the OA does not explicitly assess community involvement in environmental evaluation and management, it includes sections that document management activities, including processes for active citizen participation, the promotion of engagement, and the provision of essential information for decision making.

Source: prepared by the authors.

offers a comprehensive overview of the intersections between environmental commitments in public policies and OA indicators, detailing each variable/commitment, reference document, corresponding OA indicator, and any methodological limitations or observations. This analysis reveals that out of the 13 commitments in the mining sector, 7 have a direct correlation with OA indicators and established objectives. Emission indicators are associated with targets such as a 50% reduction in CO₂ emissions from large-scale mining by 2030 and achieving carbon neutrality by 2050. Indicators related to water usage are linked to the objective that continental water consumption by the mining industry should not exceed 5% by 2050. Indicators concerning soil, particularly the management of tailings and the surface area impacted by mining, are essential for the sustainability of mining activities and their interaction with protected areas.

The analysis of public policies reveals that adjustments to the mining institutional framework have been implemented to enhance competitiveness and sustainability. These adjustments include incentives for research and development, new closure agreements, and the promotion of green hydrogen. However, the OA has not yet established explicit indicators to measure these technological advancements. Conversely, while the PNM 2050 and the National Lithium Strategy advocate for community involvement in the evaluation and decision-making processes of mining projects, the OA documents formal milestones, such as active citizen participation processes.

4.4. Summary

In conclusion, three distinct patterns emerge concerning the variables and dimensions under discussion: firstly, there is comprehensive coverage of environmental performance indicators, including emissions, water, tailings, air quality, and biodiversity. Secondly, there is partial coverage regarding productive diversification; while indicators for waste and tailings offer valuable insights, there is an absence of metrics for energy efficiency. Lastly, there is an emerging focus on territorial equity, as beyond project-related disputes and SEIA timelines, the implementation of royalties and the distribution of benefits at the municipal level remain unmonitored.

The preceding analysis highlights a dual focus: firstly, the emphasis on tangible environmental variables such as emissions, water, and tailings, which may be attributed to the availability of indicators in the OA, and secondly, the presence of comprehensive instruments like the PNM-2050 or the ECLP2050, which are almost entirely auditable. This contrasts with more recent strategies, whose monitoring relies on information that has yet to be standardized.

There are substantial gaps that currently constrain the capacity to comprehensively monitor public policy commitments related to mining. Of the commitments reviewed, open access (OA) facilitates direct or indirect monitoring of nearly 85% (Table 6). Nevertheless, this coverage is incomplete and encounters structural challenges concerning both the availability and quality of public data.

Within the framework of the 20 Environmental Observatory indicators, 19 are aligned with the environmental commitments outlined by the nation in the mining sector, thus demonstrating a high degree of relevance and thematic coverage. However, one indicator, while relevant, is not directly associated with any identified commitment: the number of mining projects submitted to the Environmental Impact Assessment (SEIA). This indicator facilitates the monitoring of the quantity and evaluation status of mining projects submitted to the SEIA, which must adhere to the requirements established in Law No. 19.300, including a detailed project description, its area of influence, regulatory compliance, and voluntary environmental commitments where applicable. Although it does not correspond to a specific commitment, this indicator is crucial for understanding the volume and dynamics of mining projects evaluated for environmental compliance, providing essential insights into ex ante environmental management within the sector.

5. Discussion

This study identifies three principal tensions that connect empirical findings with the theoretical framework. The first tension pertains to the rhetoric and practice of sustainability within the mining sector. The second addresses the risk associated with a 2.0 extractive dependency. The final aspect examines the fragility of social legitimacy. These tensions are explored below, incorporating evidence from public policy instruments and indicators from the Environmental Observatory (OA).

In the context of the rhetoric of sustainability in mining [83], the initial tension identified relates to studies on the governance of critical minerals, which assert that sustainability is contingent upon verifiable accountability systems that enables the transition from discourse to practice [26]. In Chile, it is noted that the alignment of the analyzed public policy instruments with the SDGs, NDC, and PNM 2050 is explicit and subsequently disaggregated into multiple sectoral instruments. However, only 11 of the 13 mapped environmental commitments are currently auditable using OA indicators.

The ability to verify the implementation of these instruments and their objectives is constrained; only a limited number can be directly measured (e.g., tailings, waste, environmental monitoring, permitting timelines, and air quality), while others are assessed through proxies (e.g., reduction of water use, glacier protection, biodiversity and ecosystem protection, GHG emissions, and reportability), and several lack fundamental data (e.g., clean energy, efficiency, and community participation). This observation corroborates the discrepancy between discourse and empirical verification, undermining the adaptive governance proposed by [26].

Recent developments indicate a shift towards an “entrepreneurial state,” as exemplified by the National Lithium Strategy, which advocates for the establishment of a National Lithium Company and a public technological institute. The innovation policy frameworks outlined by [36,55] differentiate between corrective policies aimed at market failures and state interventions addressing systemic failures; the proposed initiative aligns with the latter. Chile is transitioning from promoting a private mining sector to an “entrepreneurial” state model that aims to capture added value. However, from a developmental economics standpoint, reliance on commodity exports extends structural vulnerabilities, requiring the establishment of local connections and innovation [45,56]. The lack of indicators concerning the proportion of “green” copper, skilled employment, or technological content—deficiencies identified in the OA matrix—suggests a “resource-extractive dependency 2.0,” which modernizes traditional center-periphery dynamics, ultimately raising the question of whether this will lead to sustainable development.

Furthermore, the aforementioned tensions highlight the concept of environmental justice, which, as [27] contend, ought to be integral to all energy-transition policies. This observation emphasizes that Chile’s mining policy remains in its early stages concerning the effective integration of territorial equity and citizen participation criteria in the design and implementation of policy instruments.

In addressing the third tension identified in the review, it is noted that five indicators within the OA, developed through a bottom–up approach, do not correspond with any of the public policy instruments examined. This observation is particularly noteworthy, as it may indicate the fragile social legitimacy of these instruments, as highlighted by [76]. Such initiatives can create tensions if they fail to establish effective mechanisms for citizen participation and oversight in the management of strategic common goods. Additionally, this finding is consistent with the observation that while the OA can collect data on citizen participation processes in mining projects, it does not assess the quality of such participation, which could ultimately impact another measured indicator of project conflict. The literature suggests that only energy transitions need bottom–up processes that acknowledge local knowledge and equitably distribute risks and benefits [27,59]. Furthermore, the tensions between the actual practices of mining companies and their voluntary sustainability commitments, as discussed by [84], are also evident in this study. Despite high regulatory standards, effective compliance and transparency in monitoring are not fully guaranteed. In this context, the OA’s role as an independent accountability mechanism becomes pertinent, aligning with the proposals of [63] and [65] who advocate for citizen monitoring platforms that enhance the legitimacy of public policies and institutional trust.

Our findings reveal four interconnected challenges that Chile must address to ensure its mining policies are both effective and trusted by local communities:

1. Transparency and Information Gaps: The evidence presented in our indicator matrix indicates that available data sources are limited. Insufficient public access to these datasets hinders accountability, echoing concerns raised by [83] and [63].

2. Cultural and Ecosystem Safeguards: Our analysis shows gaps in the indicators relating to glaciers and indigenous cultural values, highlighting a lack of integration of the safeguards discussed by [85].

3. Data Interoperability and Enforcement Capacity: Observations of delays in the compilation of air-emission and tailings datasets across various agencies illustrate the urgent need for interoperable platforms and coordinated oversight, revealing a significant implementation gap.

4. Policy Coherence and Prioritization: Our mapping indicates that the National Mining Policy 2050, Long-Term Climate Strategy 2050, and the National Lithium Strategy pursue overlapping objectives. However, only five indicators are in place to monitor more than one commitment. This fragmentation reflects the governance challenges identified by [54] and [23].

Successfully addressing these four challenges is crucial for translating policy intent into outcomes that are trusted by local stakeholders.

6. Conclusions

This study sought to evaluate the extent to which public policies design and implementation in Chilean mining align with the imperatives of the global energy transition. Against the backdrop of climate change, decarbonization, and the surging demand for critical minerals (copper and lithium), Chile faces both opportunity and risk. The increasing demand for critical minerals therefore demands an institutional response able to capitalize on past lessons while avoiding socio-environmental pitfalls of previous commodity booms.

The present opportunity is characterized by escalating tensions in the management of water, soil, and biodiversity, requiring a comprehensive understanding of sustainability across three dimensions: economic, social, and environmental. The active involvement of the state, through coherent policies, regional programs, and inclusive governance, is vital for achieving shared and equitable mining development. The sector’s integration into a national development project, alongside social legitimacy, environmental protection, and innovation, constitutes an essential condition for this process.

• Assessment of Research Questions
• RQ1: In what ways can Chile align its mining policy with carbon-neutral and sustainability goals?

An analysis of 13 environmental commitments reveals clear regulatory pathways for controlling air emissions, managing water resources, and protecting heritage sites. However, it also highlights significant gaps in clean energy adoption, glacier protection, and citizen participation. To address these gaps, Chile can improve its mining policy by implementing stronger data mandates, promoting cross-agency coordination, and expanding community dialogue. This approach will help Chile align its mining practices with carbon-neutral targets while safeguarding ecosystem integrity. As a result, the first research question (RQ1) is addressed, indicating that further strategic refinement is necessary for enhancing Chile’s mining policy.

• RQ2: Which indicators can effectively assess policy progress?

The UC Environmental Observatory worked with experts from the public, private, and civil sectors to co-create 24 validated indicators. Among these, 10 indicators were prioritized for immediate implementation, in addition to 10 previously developed validated indicators. This results in a total of 20 indicators for the dashboard. These indicators can track 85% of the mapped commitments, demonstrating high coverage, adequacy, and effectiveness, thereby answering RQ2.

• Confirmation for the Working Hypothesis

The working hypothesis posited that a specific indicator system enables objective evaluation of Chile’s mining policies. The empirical application of the 20-indicator set confirms this premise, validating the integrative potential of the Observatory platform and strengthening accountability mechanisms.

• Identified Hurdles and Policy Implications

Key hurdles remain in data interoperability, social legitimacy, and thematic blind-spots (clean energy inputs and glacier dynamics). The Chilean economic model, traditionally reliant on resource extraction, is presently subject to public scrutiny. This scrutiny has led to distrust in the interactions among the state, corporations, and communities, compelling a framework for participatory, stable, and transparent public policies. Tripartite collaboration has emerged as the cornerstone of contemporary extractive governance. In the absence of early and binding participation, these relationships become strained, thereby impeding investment.

Addressing these challenges requires (i) institutionalizing open-data standards, (ii) expanding participatory monitoring, and (iii) harmonizing indicator definitions with GRI/IRMA for full traceability across the mining cycle.

The UC Environmental Observatory (OA in Spanish) has made a notable contribution by facilitating the co-creation of indicators using public information and territorial evidence. This tool has enabled monitoring of environmental performance and serves as an innovative model of extractive governance. However, the current indicator set covers only part of the sectoral commitments, calling for gradual expansion and alignment with international standards; the bottom–up approach enhances social license and mitigates conflict.

Policy recommendations should therefore be phased along the mining life cycle, from project conception to closure, tailored to territorial contexts, and supported by independent observatories and open-data platforms that foster transparency and technological innovation.

The findings indicate that while climate regulations are essential, they are insufficient for energy transition. A robust institutional ecosystem is required, integrating regulatory instruments and monitoring tools to meet the objectives of the 2030 Agenda, NDC, National Mining Policy 2050, and other frameworks.

• Future Research

Future lines of research could assess the effectiveness of the policies and their contribution to the sustainability of the Chilean mining industry once a temporal series of indicators is available.

Chile has made significant strides in establishing a political and technical framework to guide the sustainability of its mining sector within the context of energy transition. However, the success of these policies hinges on the country’s ability to address information gaps, enhance accountability mechanisms, and consolidate an integrative, participatory, and result-oriented indicator system. Consequently, the primary challenge is to translate the rhetoric of sustainability into empirical verification and tangible benefits for territories.