New analysis: uncertain if the EU’s new due diligence rules help protect Sámi herding communities in Sweden from negative impacts of mining

Many hope that the EU’s new Corporate Sustainability Due Diligence Directive (CSDDD) can help address such goal conflicts. The directive, which will enter into force from mid-2027, will require large businesses to identify, prevent, and address adverse impacts of their activities on human rights and the environment. It also establishes liabilities for failing to do so.

A new SEI working paper examines the CSDDD’s provisions in light of international business and human rights standards and discusses ways it could help protect Sámi rights in the context of mineral extraction. While the directive has potential to strengthen protections, there remains a lack of direct references to key rights, such as the right to give or withhold Free, Prior and Informed Consent. It also leaves much open to interpretation in terms of the measures that companies should take in practice to comply with the new requirements.

“How effective the CSDDD will be will largely depend on how it is put into effect at the national level, via regulatory oversight and judicial enforcement. While the new due diligence requirements have the potential to push companies to substantially revise their business practices, poor implementation might lead to a mere tick-box exercise with no benefits for affected rights-holders or the environment,” said Carlo Mazzoleni, co-author of the paper and PhD fellow at the Sapienza University of Rome.

Several mining projects are proposed in the Swedish north that pose risks to Sámi culture and rights. The paper includes a case study examining the proposal to mine one of Europe’s largest reserves of rare earth metals, the Per Geijer deposit in Kiruna, Sweden, which strongly illustrates the issues that the new directive must tackle. The Per Geijer deposit is located on traditional lands of the Indigenous Gabna Sámi reindeer herding community. State-owned mining company LKAB has announced plans to mine this area and has applied for accreditation as a strategic project under the EU’s Critical Raw Materials Act, which would allow for streamlined permitting and investments.

Gabna foresees extensive impacts from mining the Per Geijer deposit. Notably, they say, the mine would obstruct the only remaining seasonal reindeer migration route essential for connecting winter and summer pastures, jeopardizing the future of the whole community. LKAB, on the other hand, identified no “impacts of importance” for reindeer herding in its plans submitted to the Mineral Inspectorate of Sweden (Bergsstaten). In its application for a mining concession permit, the company proposed no measures to prevent or mitigate potential adverse effects, stating it will do so later.

“A big issue is that the dialogue between the company and the community is constrained due to gaps in Swedish law as regards Sámi rights. So far, LKAB has not been able to conduct the required consultations with Gabna on developing the mining concession application. The community is currently refraining from participation because of concerns over weak legal protections,” says Rasmus Kløcker Larsen, Senior Research Fellow at SEI.

Reindeer herding rights are poorly incorporated in Sweden’s Minerals Act (bill no 1991:45) and Environmental Code (bill no 1998:808), which currently do not require consent or consideration of potential impacts on Indigenous or other human rights in mineral permitting.

Domestic implementation will determine whether companies will be held to account for how they amend their practices to comply with the new due diligence rules. In Sweden, the human rights gaps in existing mining law – if unaddressed – are likely to counteract compliance with the directive.

“The Per Geijer mine proposal will be a test case for Sweden. While LKAB’s current conduct might align with current national regulations, it is questionable if it would comply with the new requirements of the Corporate Sustainability Due Diligence Directive”, says Rasmus Kløcker Larsen.

Read the working paper

What do the EU’s new rules on corporate due diligence mean for Sámi rights and mining in Sweden?

For further information, contact:

Rasmus Kløcker Larsen, Senior Research Fellow SEI, [email protected], +46 73 707 85 64

Ulrika Lamberth, Senior Press Officer SEI, [email protected], + 46 73 801 70 53