privatization

By Jake Johnson - Common Dreams, November 2, 2023

Web Editor's Note: unfortunately, they didn't.

"The citizens of Cincinnati are at a historical crossroads," wrote one locomotive engineer of Issue 22. "The choice they make could either uphold a legacy of public ownership that has withstood the test of time or cede control to private interests."

Cincinnati voters will decide next Tuesday whether to allow the company responsible for the toxic train crash in East Palestine, Ohio earlier this year to purchase the last remaining municipally owned interstate railroad in the United States.

Norfolk Southern has been working to buy the Cincinnati Southern Railway (CSR) for years, but the effort largely flew under the national radar until one of the company's trains derailed in East Palestine in February 2023, unleashing chemical pollution that sparked major public health concerns and put the small Ohio town in the spotlight.

The wreck brought renewed scrutiny to Norfolk Southern's lax safety procedures, poor treatment of workers, and long history of lobbying against basic regulatory measures, making the hugely profitable corporation a poster child of rail industry greed and dysfunction.

Concerns about Norfolk Southern's practices in the wake of the East Palestine disaster have fueled opposition to the company's proposed $1.6 billion purchase of the CSR, which has been in public hands since its construction in the late 1800s.

The unelected Cincinnati board of trustees that manages the 338-mile CSR and the city's Democratic mayor announced and celebrated the proposed sale last November, setting the stage for the November 7 vote on Issue 22.

Cincinnati Interfaith Workers Center organizer Magda Orlander toldIn These Times on Wednesday that public opposition to the proposed sale has been "snowballing" since early voting began in early October. The grassroots group Derail the Sale has formed in opposition to Issue 22 and a number of local organizations, including the Cincinnati NAACP and Neighborhoods United Cincinnati, have joined the fight.

By Edward Carver - Common Dreams, June 26, 2024

The chair of the National Transportation Safety Board on Tuesday condemned Norfolk Southern for interfering with its investigation into last year's East Palestine train crash and the "vent and burn" of harmful chemicals that followed.

The remarks came at the final NTSB hearing on the disaster, in which the agency released a preliminary report—damning to Norfolk Southern and its contractors—from a 17-month investigation. NTSB officials explained that a decision to intentionally burn vinyl chloride, a carcinogen, from five derailed train cars was flawed and resulted from the company's selective sharing of information with officials at the time.

Norfolk Southern's uncooperative approach didn't stop after the vent-and-burn, according to the NTSB. Throughout the investigation, the company delayed or avoided sharing information, sought to "manufacture" evidence, and even issued a "threat" to agency staff, Jennifer Homendy, the NTSB chair, said.

"Norfolk Southern's abuse of the party process was unprecedented and reprehensible," Homendy said, also describing it as "unconscionable."

She praised NTSB investigators "for their fortitude in the face of mounting pressure, for their laser focus on the facts."

By Juanpablo Ramirez-Franco - Grist, June 24, 2024

On February 3, 2023, a freight train owned by Norfolk Southern carrying thousands of gallons of toxic chemicals derailed in the town of East Palestine, Ohio. For days, flames engulfed the rail cars, which contained highly hazardous materials, including vinyl chloride and butyl acrylate, used in the production of plastic. A thick, tall plume of black smoke billowed from the accident site and forced the evacuation of thousands of residents. Now, scientists say that traces of this pollution was found across 16 states, spanning 540,000 square miles from Wisconsin to Maine to South Carolina.

“Everybody expected a local contamination issue,” said David Gay, coordinator of the National Atmospheric Deposition Program at the University of Wisconsin-Madison and lead author of the new study. “But I think what most people don’t understand about this fire is how big it was and how wide-ranging the implications are.”

Gay and his colleagues tracked the pollution from the fire by testing rain and snow samples from approximately 260 sites across the country in the two weeks following the derailment. The analysis, published in the journal Environmental Research Letters, estimates that the fire in eastern Ohio impacted about 14 percent of U.S. land area and one-third of the country’s population, or 110 million people. 

Across these areas, researchers recorded some of the highest soil pHs, or alkaline soil, and levels of chloride ions in the past decade following the fire in East Palestine. Gay said that the elevated measurements documented during the two-week spike, while certainly unusual, were not dangerous. “It was jumping out like a red light,” said Gay. “I never would have guessed it would have been in Wisconsin, no way in hell.” 

By Julie Grant - Allegheny Front, June 21, 2024

After a train derailed in East Palestine, Ohio, last year, and chemicals were released throughout the community, the National Transportation Safety Board investigated what happened and why. 

The agency will hold a meeting on Tuesday to vote on its findings. One major issue is whether Norfolk Southern provided all relevant information to decision-makers as the disaster unfolded. 

What happened?

The Norfolk Southern train derailed in East Palestine on February 3, 2023, a Friday night, and fires flared up from the smoldering tank cars through the weekend. 

A Unified Incident Command quickly formed. It included Norfolk Southern, emergency responders, Ohio governor Mike DeWine, and was led by East Palestine Fire Chief Keith Drabick. 

That Monday, Drabick stood behind the governor at a press conference, as DeWine explained why he and Pennsylvania Governor Josh Shapiro were issuing mandatory evacuation orders for residents in a one-by-two miles radius around the derailment site, more than 2,000 people.

“The vinyl chloride contents of five rail cars are currently unstable and could potentially explode, causing deadly disbursement of shrapnel and toxic fumes,” DeWine said. 

He then pointed at a map with a red circle outlining a one-mile radius around the derailment site: “Those in the red area, those in the red area are facing grave danger of death. Those in the orange area are at severe risk of injury, including skin burns and severe lung damage.” 

By Brett Christophers, Andrew Glassford, and Lucy Burke - Green New Deal Media, February 19, 2024

By Harvey Smith and Steve Zeltser - Labor Video, January 9, 2024

By staff - National Union of Rail, Maritime and Transport Workers (RMT), November 5, 2023

As Britain ‘celebrates’ 30 years of rail privatisation, RMT reveals that the three-decade debacle has seen at least £31 billion leak out of the system, mostly into shareholders pockets, while passengers are paying 8% more in real terms to travel on a deteriorating system.

• Renationalising the railway and creating a single, integrated publicly owned railway company would save around £1.5 billion every year which could be used to cut fares by 18%, helping to encourage more people back onto Britain’s railways.
• At least £1.5 billion and very likely more leaks out of Britain’s railways every year in the form of profits extracted by train operating companies, rolling stock leasing companies, subcontractors and other costs that arise the fragmentation of the railways.1 Throughout privatisation, the annual outflow of funds would have enabled, on average, a cut of 14% in fares (Table 1.)
• If the railways were nationalised now and the flow of funds into the private sector was cut off, the money saved would fund a cut of 18% in fares.
• The cost of travelling by rail is now almost 8% higher in real terms than it was in 1995, before privatisation. This figure has dropped in the last two years only as inflation as risen above 13%. Until the cost-of-living crisis, when fare increases were decoupled from RPI inflation, fares were consistently 15-20% higher in real terms than before privatisation.

Download a copy of this publication here (PDF).

By staff - Public and Commercial Services Union, October 25, 2023

The UK civil and public services have been under a decades old drive to reform in the name of efficiency savings and cost cutting. This is from both Labour and Tory administrations, and the ConDem coalition.

The reality of this for workers has been a relentless attack on their pay, jobs, terms and conditions. With increasing privatisation of public services and outsourcing, it has weakened the services they deliver and led to an ideological rolling back of the welfare state.

Today we have multiple crises facing us from the costs of living and energy crises, to public health and climate change. The twin impacts of Brexit and Covid-19 revealed two important things that were not surpising to those working in the UK civil and public services at least.

In the case of Brexit, the extent of which the hollowing out of expertise and experience showed that major transformations to our economy cannot be done on the cheap without both financial and human resources. In terms of the Covid-19 pandemic, the extraordinary commitment and adaptability of civil and public service workers illustrating just how vital they are to the economic, political, and social well-being of the nation.

Covid-19 gave a glimpse of what could be possible when the vital role of the civil and public services was briefly recognised. It also showed how the state can be transformative, act with urgency, and coordinate resources for the public good. Key civil service departments had to rapidly adapt for example in delivering the Coronavirus Job Retention or furlough scheme and benefit changes. Factory production lines, in consultation with unions, were quickly repurposed to produce ventilators or PPE equipment.

Now there is also the increasingly pressing challenge to respond to of climate change and biodiversity loss. Unfortunately we have politicians so hostile to public and democratic institutions, that it promotes inefficiency and profit making at the expense of organising the civil and public services in a way that can lead on the rapid and far reaching action that we need to address the climate crisis.

This is why we urgently need to develop an alternative vision and call for a radical rethink about how the machinery of government is configured to achieve our climate change and biodiversity targets. At the heart of this is the proposal for a National Climate Change and Biodiversity Service which for the rest of this pamphlet we will refer to simply as the National Climate Service (NCS).

Download a copy of this publication here (PDF).

By Svjetlana Nedimović - Berliner Gazette, October 16, 2023

Svjetlana Nedimović · Resisting Green Capital from Berliner Gazette on Vimeo.

By Sean Sweeney - Trade Unions for Energy Democracy, August 31, 2023

Following the onset of the COVID-19 pandemic in early 2020, calls for a GGND and a commitment to GPGs intensified. In July 2020, UN Secretary-General Antonio Guterres declared, “The global political and economic system is not delivering on critical global public goods: public health, climate action, sustainable development, peace…we need a New Global Deal to ensure that power, wealth and opportunities are shared more broadly and fairly at the international level.” 

Authored by TUED Coordinator Sean Sweeney, the paper argues that a GGND of the left must distinguish itself from green “recovery economics.” Many North-based progressives are comfortable talking about the need for “more public investment,” and the need for “ambitious climate action” but many continue to be vague or agnostic on questions of public ownership and control. 

The paper argues that an undiscerning approach to public investment weakens the case for a GGND. It shows how the current emphasis on “de-risking” private investment means that public money is used to make profitable what would not otherwise be profitable. Obama’s stimulus package of 2008, to the more recent Green Deal for Europe, and the Biden Administration’s Inflation Recovery Act that commits $369 billion of public spending to secure long-term revenue streams and profits for mostly private investors and developers. The more recent “Just Energy Transition Partnerships” and the emphasis on “blended finance” are an extension of this approach. 

Taking a deep dive into the roots of neoliberal climate policy, Beyond Recovery shows how a “recovery” narrative has helped both conceal and perpetuate the failures of the current investor-focused approach to energy transition and climate protection. For more than three decades, this approach has shown itself to be ineffective in terms of reducing economy-wide emissions. Sweeney describes the policy as a resilient failure, the extent of which is not always fully grasped. 

Energy: The Means of Production

The paper argues that a left GGND must view public investment as a means to extend public ownership, with energy systems and critical supply chains being a priority target. 

Public ownership of energy gives governments the power to pivot away from the highly commodified “energy for profit” regime. More than any single policy option, control over energy will ensure that governments are better positioned to advance an economy-wide energy transition in ways that can control and then reduce emissions while also addressing joblessness, inequality, and other social problems. It can set the stage for the kind of sweeping interventions in the political economy that are needed to address climate change, confront the political power of fossil fuel interests, and intercept the dynamics of “endless growth” capitalism. 

Download a copy of this publication here (PDF).