coal

By L. Michael Buchsbaum - Energy Transition, January 27, 2022

Following advice from the World Bank, most of Romania’s coal mines started shuttering in 1997. But this pivotal sector’s collapse left hundreds of thousands unemployed with few resources to help them transition to new careers. Only now, as the nation’s last underground mines prepare to close and Bucharest plots their lignite phase-out, are so-called “Just Transition” retraining programs and other projects finally being implemented. Next in the on-going Romanian Power Move series, lead blogger and podcaster, Michael Buchsbaum, reviews the nation’s rocky steps towards a “just” coal transition.

Romania’s black heart: Jiu Valley

After more than a century of mining, by the late 1970s some 180,000 miners were still busy wringing coal out of 14 mining complexes throughout Romania’s Jiu Valley. That changed dramatically beginning in 1997 when – following the restructuring programs imposed by the World Bank – many of the nation’s mines started closing. In a short time, some 90% of the region’s jobs were gone.

Though older and mid-career miners could retire early, as the sprawling mining operations closed, many young people fled. Since the region’s mono-industrial towns were built to house the coal miners who fueled the local economy: good work for most meant getting out. Some 40% of Jiu’s population did just that in the decade before Romania joined the EU in 2007.

“This lack of alternatives was the main issue that brought about negative consequences in the community,” related Roxana Bucata, a journalist and first year PhD candidate at the Central European University in Vienna focusing on energy transitions.

Throughout 2019 and 2020, as a Master’s student studying Just Transitions, Bucata traveled to the region to research how coal’s continuing demise was impacting the Jiu’s population.

Her interviews with local residents found “a general lack of trust towards any kind of authority or regional national union trade management. There’s been a lot of damage here,” she continued.

Now at the end of 2021, less than 4,000 miners are still pulling coal out of the valley’s four struggling deep mines. And with at least two more closures looming in 2022, most remaining workers are just hoping to stay on long enough to qualify for pensions or early buy-outs.

“We need something to replace mining jobs with,” Lucian Enculescu, the leader of the Livezeni ‘Libertatea 2008’ union said to the Guardian recently. “Anything.”

By Sarah Jones - Intelligencer, January 20, 2022

Over the last ten months, Brian Kelly has traveled, twice, from his home in Alabama to New York City. Kelly, along with roughly 900 of his co-workers, has been on strike since April 2021, a lengthy ordeal they pin on their employer Warrior Met Coal’s lackluster proposals for a new contract. In an unusual move for a labor strike, he and hundreds of workers came to protest the three hedge funds that own Warrior Met and pressure them to pressure the company’s management. It hasn’t been easy: Last November, the NYPD arrested Kelly and several others in front of the headquarters of BlackRock, the largest shareholder in Warrior Met.

A third-generation coal miner, Kelly worked for Warrior Met’s predecessor, Walter Energy, for two decades until it filed for bankruptcy protection in 2015. That’s when a judge allowed the private equity firms that took it over, including Apollo Global Management, Blackstone, and KKR, to reject prior labor contracts with Kelly’s union, the United Mine Workers of America, as the Financial Times previously reported. Miners accepted a pay cut of $6 an hour to keep their jobs. Health-insurance costs increased. “Then they forced us to work seven days a week, up to 16 hours a day,” Kelly recalled. “Overall, we made a sacrifice during that time.” The firms say they saved jobs; instead, miners say private equity prospered from their suffering. Though private equity no longer owns the company, the strike is arguably their legacy.

“All told, we estimate that this conglomerate of private equity firms realized about $1.1 billion in savings coming out of the bankruptcy court just over the past five years, that were essentially taken out of the pockets of workers,” said Phil Smith, a spokesperson for the United Mine Workers. A bigger payday was still to come. “Before its initial public offering in 2017, Warrior paid them a $190m dividend from cash on hand,” the Financial Times reported. “A few months later it paid a $600m dividend funded with cash as well as a $350m debt offering.” Austerity for some can be a windfall for others.

In statements, Apollo, Blackstone, and KKR all emphasized that they are no longer intertwined with Warrior Met. “Our former investment in Warrior Met saved the company’s mining operations from the brink of collapse, allowed the company to deleverage and invest in its business and preserved more than a thousand high-paying jobs in Alabama,” a spokesperson for Apollo said. “During the time of Apollo’s investment until our ultimate exit in 2019, the company thrived — its stock price increased, they had positive relations with its workforce and the representative union, and employees, who rank among the top earners in Alabama, received significant pay increases and bonuses.”

That likely won’t persuade Smith or the miners who make up his union. Smith calls the firms “vulture capitalists,” which he explained in detail. “What the vultures do is they see something lying down on the ground and they come and they eat it, right?” he said. Warrior Met’s predecessor, Walter Energy, “was lying dead in bankruptcy court,” he explained, when private equity swooped in. “They’re preying on distressed and dead companies and figuring out ways to extract more money for themselves and for their investors from the bones and the remains of those companies,” he added.

By Austyn Gaffney - Sierra, January 19, 2022

The United Mine Workers of America issued a statement criticizing the senator for withdrawing his support from the legislation:

When West Virginia senator Joe Manchin III, a well-known coal baron, withdrew support from the Build Back Better agenda, the Biden administration’s landmark climate and social safety net bill, an influential coal-mining union was quick to respond.

The United Mine Workers of America (UMWA), a labor union formed in 1890 to organize coal miners seeking safe working conditions and fair pay, released a statement by international president Cecil E. Roberts on December 20 characterizing the union’s relationship with Manchin as “long and friendly” but expressing disappointment that the bill didn’t pass. (On the same day, the AFL-CIO, the largest federation of American labor unions, released a similar statement.)

“We urge Senator Manchin to revisit his opposition to the legislation and work with his colleagues to pass something that will help keep coal miners working,” Roberts wrote, “and have a meaningful impact on our members, their families, and their communities.”

Given the UMWA’s history with Manchin—he has been an honorary member since 2020—it was a notable reminder of just how much is at stake for miners and their communities as the president’s signature measure hangs in the balance. The Build Back Better legislation includes important items for the UMWA, like incentives to build manufacturing facilities in post-coal communities, financial penalties for employers who deny workers their rights to unionize, and an extension of the black lung trust fund, a levy paid by coal companies that provides a small monthly payment to miners with pneumoconiosis, a disease caused by coal dust and silica inhalation. 

By J. Mijin Cha, Dimitris Stevis, Todd E. Vachon, Vivian Price, and Maria Brescia-Weiler - Labor Network for Sustainability, January 2022

This paper argues that labour and community-led advocacy efforts towards a just transition are fundamental to delivering the promises of a Green New Deal (GND) and a just post-carbon world. To this end, an ambitious, far-reaching project was launched by the Labor Network for Sustainability, a non-governmental organization dedicated to bridging the labor and climate movements, in Spring 2020 called the “Just Transition Listening Project’’ (JTLP).

Over the course of several months, the JTLP interviewed over 100 individuals, including rank-and-file union members, union officials, environmental and climate justice advocates, and Indigenous and community advocates to understand what makes transition “just,” what opportunities exist for a broad coalition to advance a GND-style proposal, and to document the struggles facing working people and communities across the U.S. In doing so, we utilize the tools of political geography to examine the politics of spatiality, networks, and scale as well as the geographical and spatial dimensions of policy and political-economic institutions. We are particularly mindful of two spatial dynamics.

First, that transition policies, particularly in a hegemonic country like the USA, have global implications. The industrial transition that took place from the 1970s to the 1990s, for example, bred nativism because it cast other countries as the cause of the problem.

Second, critical geographers have pointed out that environmental justice (EJ) has been neoliberalized in the U.S. as a result of its operationalization, spatialization, and administration, starting with the Clinton Administration. Because JT is rising on the national and global agendas, we pay close attention to whether these dynamics that affected EJ are also operating with respect to JT, as well as how they can be contained.

This research is particularly timely given the ongoing federal governmental efforts to contain the spread of COVID-19 and provide basic economic and social supports. The process of the JTLP parallels the goals of the GND–intersectional efforts rooted in community knowledge for the development of a people-led GND. This paper details the process of the JTLP and the prospects for intersectional, broad-based movements that are the only way a GND can be realized.

Read the text (Link).

By Bruce Wilson and Shea Sinnott - Centre for Social Innovation, December 4, 2020

By staff - Climate Safe Pensions, December 2021

A first-of-its-kind report ... from Climate Safe Pensions Network and Stand.earth reveals that just 14 pension and permanent funds finance fossil fuels to the tune of $81.6 billion.The report shows a comprehensive accounting of the fossil fuel exposure of 14 pension funds in one report from Climate Safe Pensions Network and Stand.earth reveals that just 14 U.S. public pension funds are the quiet culprits of climate chaos: with $81.6 billion invested in coal, oil, and gas.

With over $46 trillion in assets worldwide, pension funds are among the largest institutional investors in fossil fuels. These investments have dangerously underperformed the rest of the market, making public pensions’ fossil fuels investments inherently risky.

Pension funds’ financial influence make them a force to reckon with in the battle to confront, slow and mitigate climate change. Pension fund decision-makers must take climate protection seriously — not only for their financial well-being, but also for the well-being of their millions members.

With 10 years of data, there’s hard evidence that divestment is a winning financial strategy. The fastest way for pensions to address climate change is to divest fossil fuel holdings and invest in just and equitable climate solutions.

Read the text (PDF).

By C.J. Polychroniou, Noam Chomsky, and Robert Pollin - Truthout, November 22, 2021

The legacy of the 2021 United Nations Climate Change Conference (COP26) this fall was perhaps best encapsulated by its president, who bowed his head and — close to tears — actually apologized for the process, which ended with a last-minute watering-down of participants’ pledges on coal.

“May I just say to all delegates I apologize for the way this process has unfolded and I am deeply sorry,” said Alok Sharma, the British politician who served as president for COP26. The conference ended on November 13 with a disheartening “compromise” deal on the climate after two weeks of negotiations with diplomats from more than 190 nations.

In the interview that follows, leading public intellectuals Noam Chomsky and Robert Pollin offer their assessments of what transpired at COP26 and share their views about ways to go forward with the fight against the climate crisis. Chomsky — one of the most cited scholars in history and long considered one of the U.S.’s voices of conscience — is Institute Professor Emeritus at the Massachusetts Institute of Technology and currently Laureate Professor of Linguistics and Agnese Nelms Haury Chair in the Agnese Nelms Haury Program in Environment and Social Justice at the University of Arizona. He is joined by one of the world’s leading economists of the left, Robert Pollin, who is Distinguished Professor and co-director of the Political Economy Research Institute at the University of Massachusetts at Amherst. Chomsky and Pollin are co-authors of the recently published book, Climate Crisis and the Global Green New Deal: The Political Economy to Save the Planet.

C.J. Polychroniou: COP26, touted as our “last best hope” to avert a climatic catastrophe, has produced an outcome that was a “compromise,” according to United Nations Secretary General António Guterres, while activists conducted a funeral ceremony at the Glasgow Necropolis to symbolize the failure of the summit. Noam, can you give us your analysis of the COP26 climate agreement?

Noam Chomsky: There were two events at Glasgow: within the stately halls, and in the streets. They may have not been quite at war, but the conflict was sharp. Within, the dominant voice mostly echoed the concerns of the largest contingent, corporate lobbyists; rather like the U.S. Congress, where the impact of lobbyists, always significant, has exploded since the 1970s as the corporate-run neoliberal assault against the general population gained force. The voice within had some nice words but little substance. In the streets, tens of thousands of protesters, mostly young, were desperately calling for real steps to save the world from looming catastrophe.

By Mametlwe Sebei - 350 Africa, November 8, 2021

By various - 350 Africa, November 8, 2021

By various - 350 Africa, November 8, 2021