Climate change is changing how countries manage their natural resources. Around the world, governments and businesses are looking for better ways to protect the environment while producing important minerals. One way to do this is through responsible supply chains, which ensure that minerals are mined, processed, and sold in ways that protect people and nature. In Ghana, the Artisanal and Small-Scale Gold Mining (ASGM) sector has an important role to play.
The ASGM sector provides jobs and income for more than one million people in Ghana. It also supports local communities and contributes to the country's economy. However, about 80% of small-scale gold mining is still informal, meaning many miners do not have the required licenses and permits. Because of this, they often cannot access bank loans or formal financial services and usually sell their gold through unfair supply chains that limit their income.
The sector also faces environmental problems. These include land degradation, deforestation, water pollution, and the use of mercury to process gold. These activities harm the environment, affect people's health, and reduce the ability of forests and land to store carbon, protect water sources, and support farming and other livelihoods.
Responsible supply chains can help solve these problems. They make sure that gold is mined, processed, and traded in ways that protect the environment, respect people's rights, and follow national and international laws. Today, many international gold buyers want proof that the gold they purchase comes from responsible and environmentally friendly sources.
The planetGOLD Ghana Project is helping make this possible. The project supports small-scale miners to reduce and eventually stop using mercury. It also promotes formal mining, improves access to finance, and encourages the use of mercury-free mining technologies. By helping miners adopt safer gold processing methods, the project reduces pollution, protects the environment, improves community health, and supports better livelihoods.
Formalization is another important part of responsible mining. When miners become formal, they can meet legal requirements, improve their mining practices, and sell their gold to markets that value responsibly sourced products. Formal mining also makes it easier to protect the environment and take part in supply chains that buyers can trust.
Access to finance is also important. Many small-scale miners cannot afford better equipment or improved environmental practices because they lack funding. The planetGOLD Ghana Project is helping miners gain access to formal financial services so they can invest in cleaner technologies and build stronger, more sustainable businesses.
Climate change and responsible mining are closely linked. Mining practices that protect forests, reduce pollution, and conserve water help communities adapt to climate change and reduce environmental damage. Responsible supply chains also encourage miners to improve their practices because responsible gold can attract better market opportunities.
As Ghana continues to improve and formalize its small-scale mining sector, the planetGOLD Ghana Project shows how environmental protection, climate action, and economic development can work together. By promoting mercury-free technologies, supporting formalization, and encouraging responsible supply chains, the project is helping create a more sustainable and climate-resilient future for mining communities and Ghana's gold industry.
Responsible supply chains are not only about meeting international market standards. They are also about making sure that gold mining supports sustainable development while protecting the environment for future generations.
Written by: Samuel N. Quaye
Project Communications Officer
planetGOLD Ghana Project
References
- United Nations Development Programme (UNDP). (2025). Transforming Ghana's ASGM Sector Through Inclusive Financing and Responsible Mining.
- planetGOLD. (n.d.). Ghana Country Programme.
- planetGOLD. (2023). Inception Workshop and Launch of the planetGOLD Ghana Project: Advancing Formalization and Mercury-Free Gold in Ghana.
- United Nations Environment Programme (UNEP). (2019). Artisanal and Small-Scale Gold Mining in Ghana: Evidence to Inform an Action Dialogue.
- Long, R. N., et al. (2015). Understanding the Social Context of the ASGM Sector in Ghana. International Journal of Environmental Research and Public Health.
- Hilson, G., et al. (2015). Integrated Assessment of Artisanal and Small-Scale Gold Mining in Ghana — Part 3: Social Sciences and Economics. International Journal of Environmental Research and Public Health.