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Work and Climate Change Report

Build back Better begins with funding to green Algoma Steel

By Elizabeth Perry - Work and Climate Change Report, July 6, 2021

On July 5, the federal government announced that $420 million in federal funding will go to Algoma Steel in Sault Ste. Marie Ontario, to enable the company to retrofit their operations and transform their coal-fired steelmaking processes to Electric-Arc Furnace production. The press release from the Prime Minister’s Office explains that Electric-Arc Furnace production is an electricity-based process, expected to cut greenhouse gas (GHG) emissions by more than 3 million metric tonnes per year by 2030, making Algoma the “greenest” steelmaker in Canada. At the same time, the transformation will create an estimated 500 construction and subcontracting jobs, as well as over 600 new co-op placements for students, and approximately 75 high-tech STEM jobs.

The total cost of Algoma’s transformation is estimated at $703 million over four years – $220 million will come from the federal Infrastructure Bank, and up to $200 million from the Net Zero Accelerator program, under the Strategic Innovation Fund. A major expenditure, but small compared to the $23 billion worth of support the government has provided since 2018 to the Coastal GasLink, Trans Mountain, and Keystone XL pipelines, according to a new report from the International Institute for Sustainable Development .

Algoma’s press release and its Environmental policies offer information about the company. A CBC summary of the funding announcement is here, and the Toronto Star offers an Opinion piece, “Justin Trudeau just gave one of Canada’s biggest polluters hundreds of millions of dollars – why won’t he show us the deal?” (July 5) . In that essay, author Heather Scofield states: “Algoma was first in line to get the federal funding because it was meant to set the tone for building back better. Let’s make sure it sets more than a tone, and actually sets standards of transparency, accountability and weaning our economy off fossil fuels too. ”

Workers at Algoma are represented by United Steelworkers Local 2251. From the national office, an article, “Canada’s Steel Industry Has A Secret Weapon That Could Soon Beat China’s Cheaper Bid” discusses the union’s hope that government green procurement policies will favour Canadian-made, low-carbon steel in future infrastructure projects. A February 2021 report from BlueGreen Canada made the same point about steel, aluminum and lumber products in Buy Clean: How Public Construction Dollars can create jobs and cut pollution . The Work and Climate Change Report previously reviewed some of the Canadian and international reports about greening steel in 2020, here . In summer 2021, European developments have been profiled “Green steel is picking up steam in Europefrom Canary Media, and “From Sweden, a Potential Breakthrough for Clean Steel” in Inside Climate News (June 24).

UFAW-Unifor proposals to save the Pacific salmon fishery not included in government announcement of closures

By Lee Wengraf - Tempest, June 29, 2021

On June 29, Fisheries and Oceans Canada (DFO) announced the closure of 79 salmon fisheries on the Pacific coast. Along with the closures, the press release also announced a new Pacific Salmon Commercial Transition Program – described so far only as a voluntary program which offers harvesters the option to retire their licenses for fair market value, with the goal of permanently reducing the number of fishers and reducing the size of the industry. The government press release states: “Over the coming months DFO will be engaging with commercial salmon licence holders to work collaboratively on developing the program, assess the fair market value or their licences and confirm the design of the program. All commercial salmon licence holders will have an opportunity to participate in this initiative.” This is part of the Pacific Salmon Strategy Initiative (PSSI) announced on June 8, and falls under the “Harvest transformation pillar” of the strategy.

UFAWU-Unifor is the union representing commercial fishers. Their response to the closures is here (June 29), and reflects surprise and concern for the future. Further, it states: “While it’s widely agreed that a license retirement program is needed, it is only one part of what should be a multi-pronged approach to solving the issues in salmon fisheries… Pinniped reduction has to be part of the equation. We need habitat restoration and investments in hatcheries.”

The union, along with other commercial salmon harvesters, had proposed their own specific recommendations, addressing all of these aspects as well as the relationship with First Nations fishers in May 2021 in: The Report on the Future of B.C. Commercial Salmon Fishing . As with the growing consensus amongst coal and fossil fuel workers, the UFAWU-Unifor report acknowledges the crisis and the need for change, stating: “The regular commercial salmon fishery is clearly in a state of crisis. This is a result of DFO policies and recent low salmon productivity, in part driven by higher predation and climate change, that have reduced harvests in regular commercial fisheries to the point where no one can survive.” (The report has strong criticism for the federal Department of Fisheries and Oceans on many fronts). Regarding the kind of licence retirement program that the government has announced, the report states: “This program must offer commercial salmon harvesters the ability to exit the industry with dignity and grace. For the future, it recommends all commercial salmon licences be held by harvesters or First Nations for active participation. A commercial salmon licence bank where licences from a buyout can be held will also allow for future re-entry into the industry. Licences must not be allowed to become investment paper or security for production for processors.” Unlike the federal DFO, the union is not seeking to shrink the industry, and argues that their proposals will allow for a viable and profitable future. The subtitle of their report reflects this optimism:  An Active Fishermen’s Guide to a Viable, Vibrant, and Sustainable Commercial Fishery. To date, the government has not responded to the union’s proposals.

Telecommuting holds promise for decarbonizing Canada’s economy

By Elizabeth Perry - Work and Climate Change Report, June 24, 2021

Connecting Canada on the Road to 2030 is a report released by the Pembina Institute on June 16, with the subtitle: Exploring the climate benefits and impacts of teleworking. The report states that in 2020, the pandemic resulted in a global GHG emissions drop of 3.9% – and in Canada, GHG emissions dropped by 7% compared to 2019. By August 31, 2020, 27% of Canadians were teleworking full-time (up from 18% in March 2020). The report attributes the greatest proportion of emissions reduction to reduced transportation, but given that the research was commissioned by TELUS Canada, the main focus of the report is to examine the GHG impacts of greater use of the internet.

Using U.S. data when Canadian data is not available, the report states that the increase in residential emissions by employees was outweighed by the decrease in emissions from transportation and commercial buildings, indicating that there is the potential for decarbonization through telework. Residential emissions from internet use are primarily attributed to the energy demand of access devices, such as phones, laptops, and TVs, and the emissions intensity of the electricity grid that powers them – and the report discusses the differences and complexities of renewable energy by Canada’s ICT sector. The attention to the differences in rural and urban Canada is key aspect of this report – both in terms of commuting distances and installed broadband internet capacity. The report concludes that: “governments must recognize the environmental value of connecting homes in rural and underserved areas to broadband, coupled with investments from government and industry in clean energy to ensure all possible emissions reductions are achieved.” It makes clear that Canada requires further research into the GHG emissions of internet use.

Job growth in clean energy will more than offset fossil fuel losses

By Elizabeth Perry - Work and Climate Change Report, June 21, 2021

Clean Energy Canada released a new report on June 17, projecting that Canada’s clean energy sector will grow by almost 50% (over 200,000 jobs) by 2030, to reach 639,200 jobs. The report states that this will far exceed the 125,800 jobs expected to be lost in fossil fuels. Surprisingly, the province with the greatest increase in clean energy jobs will be Alberta – forecast to increase by 164% by 2030. As the introduction concludes: “Oil and gas may have dominated Canada’s energy past, but it’s Canada’s clean energy sector that will define its new reality.”

The New Reality report is the latest in the “Tracking the Energy Transition” series, updating the 2019 report. It is based on modelling by Navius Research – presented in a technical report here. Employment and GDP numbers are considered under two policy scenarios: the Pan-Canadian Framework for Clean Growth and Climate Change (the Liberal government’s previous policy) , and the Healthy Environment, Healthy Economy policy, unveiled in December 2020. The definition of “clean energy jobs” is broad, and forecasting breaks down into industry sectors – for example, stating that jobs in electric vehicle technology are on track to grow 39% per year, with 184,000 people set to be employed in the industry in 2030—a 26-fold increase over 2020. The report also highlights specific examples of the pioneering clean energy companies in Canada.

Agreement reached to save Terra Nova offshore oil and gas field in Newfoundland

By Elizabeth Perry - Work and Climate Change Report, June 16, 2021

UPDATE: As reported by CBC News on June 16 in “New hope for Terra Nova as Suncor announces tentative deal to save N.L. oilfield” , and by a Unifor press release, an agreement in principle has been reached to restructure ownership of the Terra Nova oil fields, offering a path forward which may save the jobs of the workers. Details are not yet available, but Suncor will increase its equity stake and previous owners may participate in the new structure, contingent on the province honouring its commitment to provide $205 million from the oil industry recovery fund, and some $300 million in royalty relief .

Workers demonstrated outside the Newfoundland legislature on June 14 and 15 , as politicians debated inside about the fate of the Terra Nova oil field and an ultimatum from Suncor Energy, asking for the government to buy the assets of the Terra Nova FPSO, an offshore production and storage platform which employed nearly 1,000 workers in 2019, which is the last time oil was produced. Suncor is the last company remaining in the consortium which owned the oil field. The complexity of the situation is described in several CBC articles, including: “Talks to save Terra Nova oilfield collapse after N.L. government rules out equity stake” (June 10), and “As deadline for Terra Nova approaches, pressure mounts to save troubled oilfield” (June 11). To date, the government has refused to buy the asset, saying that the risks are too great because the oilfield is estimated to be 85% depleted. Instead, it has agreed to provide about $500 million in cash and incentives to the company. As of June 16, Suncor Energy has still not announced a decision, as reported by CBC in “Terra Nova deadline comes — and goes — without word of its fate” .

Unifor Local 2121 represents the workers at Terra Nova, and organized the demonstrations at the legislature. Unifor describes the rally here, and in this press release asserts that the Terra Nova decision is a harbinger of the future of the Newfoundland oil and gas industry.

Clean energy jobs as a transition destination

By Elizabeth Perry - Work and Climate Change Report, June 15, 2021

Released on June 3, Responding to Automation: Building a Cleaner Future is a new analysis by the Conference Board of Canada, in partnership with the Future Skills Centre. It investigates the potential for clean energy jobs as a career transition destination for workers at high risk of losing their jobs because of automation. The clean energy occupations were identified from three areas: clean energy production, energy efficiency , and environmental management and the “rapid growth” jobs identified range from wind turbine technicians and power-line installers to industrial engineers, sheet metal workers, and geospatial information scientists. Based on interviews with clean economy experts, as well as the interview responses from over five hundred workers across Canada, the analysis identifies the structural barriers holding employers and workers back from transition:

  • Lack of consistent financial support for workers to reskill
  • Employer hesitancy to hire inexperienced workers
  • Current demand for relevant occupations which makes change less attractive
  • Lack of awareness around potential transition opportunities
  • Personal relocation barriers, such as high living costs in new cities, and family commitments.

None of the recommended actions to overcome the barriers include a role for unions, with the burden for action falling largely on the individual employee. Only summary information is presented as a web document, but this research is part of a larger focus on automation, so it can be hoped that a fuller report will be published – if so, the partner group, Future Skills, maintains a Research website where it will likely be available.

Other news about renewable energy jobs:

“Renewable Energy Boom Unleashes a War Over Talent for Green Jobs” appeared in Bloomberg Green News (June 8), describing shortages of skilled workers in renewable energy, mainly in the U.S.. It also summarizes a U.K. report which forecasts a large need for workers in the U.K. offshore industry, which is expected to be met by people transferring from the oil and gas sector.

A report by the Global Wind Energy Council forecasts a growth of 3.3 million wind jobs worldwide by 2025, and suggests that offshore wind energy jobs could offer a natural transition for workers dislocated from offshore oil and gas and marine engineering workers. According to the analysis, in 2020, there were approximately 550,000 wind energy workers in China, 260,00 in Brazil, 115,000 in the US and 63,000 in India. A related report, The Global Wind Workforce Outlook 2021-2025 forecasts a large training gap: the global wind industry will need to train over 480,000 people in the next five years to construct, install, operate and maintain the world’s growing onshore and offshore wind fleet. That report is available for download here (registration required), and is summarized in this press release.

And forthcoming: Clean Energy Canada will release its research on the clean energy labour market in Canada on June 17. Their last jobs report, The Fast Lane: Tracking the Energy Revolution, was released in 2019.

Talk, but no firm climate plans from G7 meetings in U.K.

By Elizabeth Perry - Work and Climate Change Report, June 14, 2021

The issue of global climate finance was seen as crucial to the success of the meetings of G7 leaders in the U.K. on June 11-13, as outlined in “As leaders gather for G-7, a key question: Will rich countries help poor ones grapple with climate change?” in The Washington Post (June 7). In the meeting aftermath, reaction is muted and disappointed: according to The Guardian headline, “G7 reaffirmed goals but failed to provide funds needed to reach them, experts say”. Guardian reporter Fiona Harvey quotes the executive director of Greenpeace, who says: “The G7 have failed to set us up for a successful Cop26, as trust is sorely lacking between rich and developing countries.” Common Dreams assembles the harshest reactions of all, in “On Climate and Covid-19 Emergencies, G7 Judged a ‘Colossal Failure’ for All the World to See” – which quotes the representative from Oxfam, who states that the leaders of the richest nations “have completely failed to meet the challenges of our times. Never in the history of the G7 has there been a bigger gap between their actions and the needs of the world. In the face of these challenges the G7 have chosen to cook the books on vaccines and continue to cook the planet.”

What did the G7 actually say? The G7 Leaders Communique covered a wide range of topics, with statements about health, economic recovery and jobs, free and fair trade, future frontiers, gender equality, global responsibility and international action – and Climate and the Environment. As well as the Communique, the G7 leaders approved the Build Back Better World (B3W) partnership, designed to mobilize private sector capital in four areas—climate, health and health security, digital technology, and gender equity and equality . The B3W statement explicitly states: “The investments will be made in a manner consistent with achieving the goals of the Paris Climate Agreement.” And in recognition of the importance of biodiversity and conservation in the climate fight, the 2030 G7 Nature Compact pledges new global targets to conserve or protect at least 30% of global land and ocean.

Keystone is Dead!

By Elizabeth Perry - Work and Climate Change Report, June 11, 2021

On June 9, TC Energy issued a press release announcing that the company, in consultation with the Alberta Government, has terminated the Keystone XL Pipeline project, although it will continue “to co-ordinate with regulators, stakeholders and Indigenous groups to meet its environmental and regulatory commitments and ensure a safe termination of and exit from the project.” The Alberta government had invested over $1 billion in the project as recently as March 2020 , and continued to defend it even after U.S. President Biden rescinded the permit in January 2021. The WCR compiled sources and reactions in January in “President Biden’s Executive Orders and Keystone XL cancellation – what impact on Canada?” A new compilation of Alberta Government statements is here . CBC Calgary describes Keystone XL is dead, and Albertans are on the hook for $1.3B.

Climate activists in Canada and the U.S. rejoiced at the latest news: “‘Keystone XL Is Dead!’: After 10-Year Battle, Climate Movement Victory Is Complete” , and activist Bill McKibben (and others) are hammering home a message of “never give up, activism works!”. The article from Common Dreams quotes Clayton Thomas Muller, longtime KXL opponent and currently a senior campaigns specialist at 350.org in Canada: “This victory is thanks to Indigenous land defenders who fought the Keystone XL pipeline for over a decade. Indigenous-led resistance is critical in the fight against the climate crisis and we need to follow the lead of Indigenous peoples, particularly Indigenous women, who are leading this fight across the continent and around the world. With Keystone XL cancelled, it’s time to turn our attention to the Indigenous-led resistance to the Line 3 and the Trans Mountain tar sands pipelines.” The National Observer expands on this with “Keystone XL is dead, but the fight over Canadian oil rages on” (June 10). The Indigenous Environmental Network news chronicles the ongoing resistance to pipeline development, as well as the reaction to the Keystone announcement.

The high health costs of climate change in Canada, focused on heat stress and air pollution

By Elizabeth Perry - Work and Climate Change Report, June 8, 2021

The Health Costs of Climate Change was released in June by the Institute for Climate Choices, the second in their series on the costs of climate change. This report attempts to quantify how air quality, increased cases of Lyme disease, and heat will impact people’s health, using two different GHG scenarios until the year 2100. The report also discusses broader issues such as the socio-economic factors which determine unequal health results, mental health impacts, impacts on Indigenous culture and food security, and the impacts on health infrastructure. Results show that Lyme disease will be the least costly of the projected impacts, but air pollution and heat threats will increase dramatically – even under the low-emissions scenario, heat-related hospitalization rates will increase by 21 per cent by mid-century and will double by the end of the century. The labour productivity impact of higher temperatures is projected as “a loss of 128 million work hours annually by the end of century—the equivalent of 62,000 full-time equivalent workers, at a cost of almost $15 billion.” Unlike most reports which focus on the impacts of heat on outdoor workers only, the report acknowledges the impact on indoor space too, and offers some analysis and cost analysis of the installation of green roofs and shading on manufacturing facilities. It concludes with recommendations for government policy, and includes a 10-page bibliography of Canadian health research. “Climate change is set to cost Canada’s health system billions”  (The National Observer, June 3) summarizes the report.

New B.C. forest policy fails to defuse protests and journalists fight RCMP for access to Fairy Creek site

By Elizabeth Perry - Work and Climate Change Report, June 4, 2021

On June 1, the government of British Columbia released  Modernizing Forest Policy in British Columbia, an “Intentions Paper” which attempts to address the intense protests in the province over logging of old growth forests. The government press release includes several backgrounders, including highlights of how the policy addresses the Old Growth issue, but environmentalists are not satisfied. “Five ways B.C.’s new forestry plan sets the stage for more old-growth conflict” in The Narwhal explains. Stand.earth reacted with an immediate call for deferral of logging for all at-risk old growth forests, and on June 4, after company bulldozers breached protest blockades, Stand.earth repeated their call, in order to “to reduce tensions and the threat of violence or injury in Fairy Creek and keep old growth forests standing — while the province undertakes a paradigm shift for forestry rooted in Indigenous rights and consent, ecological values, and community stability.”

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