Tesla will conduct a third-party audit for its cobalt supply chain to ensure there is no child labour involved, Chief Executive Officer (CEO) Elon Musk revealed to his shareholders at the annual meeting.

Electrical vehicles and other devices using rechargeable batteries are often powered by cobalt because of its high capacity as well as good electrochemical performance. The demand for the mineral has increased following the rise in EVs and consumer electronics.

Over 70 percent of the cobalt in the world is found in the Democratic Republic of the Congo (DRC), while 15-30 percent of the Congolese cobalt is produced via artisanal and small-scale mining, according to the World Economic Forum.

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However, the mining of cobalt is marred by severe human rights issues. Over the years, particularly in the DRC's artisanal's mines, high levels of corruption, poor working conditions, fatal accidents, violent clashes and even child labour have been documented over the years.

In March, a video of nine Congolese miners popping out of a collapsed gold mine went viral.

A video showing nine Congolese miners unexpectedly popping out of a collapsed gold mine and tumbling down a steep slope as onlookers cry out in joy has gone viral, in a rare happy ending pic.twitter.com/Y4WF4v0uc7

— Reuters (@Reuters) March 27, 2023

Lack of proper equipment and safety procedures are at the root of frequent collapses of tunnels at Congolese mines, where the miners, who are trapped underground have a slim chance of survival. Just a few days prior, two miners had died in a similar incident in March.

However, it is not possible to just simply shut down these mines as they are a lifeline of millions of people in the country who live in extreme poverty.

Cutting these mines out of the cobalt supply chain will not be feasible because of how deeply interwoven it is and also because the mineral is a key element in our electronics goods and vehicles, the demand for which is set to increase further. Hence, fixing the supply chain seems to be the only feasible solution.

A few companies have started experimenting with 'ASM formalisation projects' that regulate the working conditions and mining methods, while other such projects have been in the planning phase.

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Lessons from such projects and recommendations from firms were published in a World Economic Forum report in 2020.

"The formalization of ASM practices is an essential step to address the widespread human rights problems that are prevalent today at Congolese mining sites. The jobs and income created on formalized ASM sites can also help reduce extreme poverty, which is a root cause of child labour," the WEF report stated.

The WEF's white paper also cited a UC Berkely CEGA study which stated that child labour was a systemic issue prevalent in the mining communities of the Congolese copper belt. As many as 57 percent of the children between the 3-17 age group performed domestic household works, while 11 percent worked outside their homes. Of the 11 percent, 50 percent were involved in agricultural activities, 30 percent were domestic labourers in other households and 23 percent worked in the mining sector.

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