Thank you, Mr. Chair.
First, let me thank you and the committee members for the opportunity to discuss innovation and economic development today. I'm joined by Jean Robitaille. Jean is the senior vice-president of business strategy and technical services for Agnico Eagle. More importantly, Jean is here representing CMIC as the chair of the board of Canada Mining Innovation Council.
The mining industry in Canada is foundational to Canada's economy, providing the raw materials that enable other sectors of our economy to flourish, including high tech, transportation, aerospace and defence, manufacturing, and clean tech. As we move toward a clean economy, the need for raw materials produced from mining will only increase. As an example, it's estimated that Tesla will consume 5% of copper production—that's 900,000 tonnes of copper—for its electric motors by the year 2030. That's one example from one company.
Innovation is not new to the mining industry. Our innovations include highly complex industrial processes that have required billions of dollars of investments to technologies incorporated into the lunar lander. Much of this technology development and associated investment occurs in metropolitan centres such as southwestern Ontario, Vancouver, Saskatoon, Calgary, and Ottawa. The industry desperately needs innovation, but adoption is hindered by its capital-intensive nature and current stress related to volatile commodity markets, increased costs, and significant competition from other jurisdictions.
With our partners in the mining industry and the Mining Association of Canada, CMIC created an innovation strategy for the mining industry—namely, the towards zero waste mining strategy. Towards zero waste mining defines the future of the industry in 20 years, focusing on the grand challenges common to the industry related to energy, environment, and productivity. Towards zero waste mining includes a full business case, transformational targets, technology road maps, and projects in various stages of execution.
CMIC incorporates an open innovation business model that includes all members of the supply chain, including academia, government and other laboratories, start-ups, SMEs, Fortune 500 companies, and of course mining companies, co-operatively focused on solving specific industry-defined challenges. Technologies from information and communication technology, genomics, aerospace, and defence have been identified as potential solutions. This highly collaborative innovation model accelerates technology development, deployment, and wide-scale adoption, and reduces the financial risk for all collaborators.
As an example, the process of crushing and grinding rocks consumes approximately 3% of the world's electricity, enough electricity to power Germany, of which 90% to 95% is lost as waste. Our energy and processing technology group, composed of senior volunteers from mining and engineering companies, a federal government lab, small and medium enterprises, and original equipment manufacturers, has identified a technology that has the potential to reduce energy consumption in this process by 50%. We're about to launch the first phase of a six-phase project next week to move this to a commercial product.
Our greatest challenge is the immense complexity of the innovation system in Canada. The existing funding mechanisms—over 7,000—to support research, development, and innovation are generally focused on research and academia, restricted to select regions of Canada, or generally are not compatible with the requirements of mining-related innovation projects. As a result, innovation and investments in technology development in Canada are significantly impacted.
A number of Canadian mining companies are placing innovation-related investments in foreign jurisdictions. Our proposal is modest. We're seeking a direct investment from the Government of Canada of $50 million over five years. This investment will result in the development of technologies that will significantly reduce energy consumption, greenhouse gas emissions, tailings discharge, and water use. These new technologies will be deployed in Canadian mines and globally. This will increase foreign direct investment in Canada by international technology companies, make Canada a global centre of mining innovation, and increase Canada's export market share for new and cleaner mining technologies.
The Mining Association of Canada has identified up to $145 billion in potential new mining investment in Canada over 10 years. Through the work of CMIC, we can help ensure that this investment represents the most energy-efficient, low-waste mines the country has ever seen. Zero-emissions fully electric mines are possible within the next five years, but it will require a concerted effort to make this happen.
Thank you for your time. We welcome your questions.