Mining and environment: The ecological impact of bauxite and copper production in Indonesia

This study examines the ecological impact of bauxite and copper production in Indonesia, focusing on the environmental consequences of mining activities and their implications for sustainable resource management in a mineral-rich country. Utilizing data from 1974 to 2022 and employing Autoregressive Distributed Lag (ARDL) as the main method, with Fully Modified Ordinary Least Squares (FMOLS) and Canonical Cointegrating Regressions (CCR) as robustness check methods, the results consistently show that both bauxite and copper production significantly affect the ecological footprint, highlighting a strong association between increased mining activities and environmental degradation. Moreover, the findings indicate that economic growth, with mining as one of its main pillars, also contributes positively to the ecological footprint, further exacerbating long-term environmental pressures. These evidence highlight the need for improved regulatory frameworks and sustainable mining practices to curb environmental harm. This study contributes to the literature on resource extraction's environmental challenges and offers insights for policymakers seeking to balance economic growth with sustainability.