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Trade Unions for Energy Democracy

Corbyn calls for “public, democratic control and ownership” of energy in order to transition to renewables

Jeremy Corbyn speech to Alternative Models of Ownership Conference - Trade Unions for Energy Democracy, February 11, 2018

Disclaimer: The IWW does not organizationally participate in electoral campaigns, but while we remain skeptical of the efficacy of Corbyn's call for nationalization absent a militant, rank-and-file, independent workers' movement, the proposal he lays out hereis something that could inspire such a movement to organize around.

It is a pleasure to close today’s conference which has shown once again that it is our Party that is coming up with big ideas.

And we’re not talking about ideas and policies dreamed up by corporate lobbyists and think tanks or the wonks of Westminster, but plans and policies rooted in the experience and understanding of our members and our movement; drawing on the ingenuity of each individual working together as part of a collective endeavour with a common goal.

Each of you here today is helping to develop the ideas and the policies that will define not just the next Labour Government but a whole new political era of real change.  An era that will be as John said earlier  radically fairer  more equal  and more democratic.

The questions of ownership and control that we’ve been discussing today go right to the heart of what is needed to create that different kind of society.

Because it cannot be right, economically effective, or socially just that profits extracted from vital public services are used to line the pockets of shareholders when they could and should be reinvested in those services or used to reduce consumer bills.

We know that those services will be better run when they are directly accountable to the public in the hands of the workforce responsible for their front line delivery and of the people who use and rely on them.  It is those people not share price speculators who are the real experts.

That’s why, at last year’s general election, under the stewardship of Shadow Business Secretary Rebecca Long-Bailey, Transport Secretary, Andy McDonald  and Environment Secretary, Sue Hayman, Labour pledged to bring energy, rail, water, and mail into public ownership and to put democratic management at the heart of how those industries are run.

This is not a return to the 20th century model of nationalisation but a catapult into 21st century public ownership.

The failure of privatisation and outsourcing of public services could not be clearer.

Puerto Rico’s Power Union Denounces Governor’s Decision to “Sell the Assets” of the Public Power Utility (PREPA)

By Angel Figueroa Jaramillo - Trade Unions for Energy Democracy, January 23, 2018

UTIER DENOUNCES GOVERNOR’S ANNOUNCEMENT OF THE PRIVATIZATION OF THE PUBLIC POWER UTILITY (AEE, OR PREPA)*

San Juan, Puerto Rico, January 23rd, 2018

The Union of Workers of the Electric and Irrigation Industry (UTIER) denounces Governor Ricardo Rossellá’s announcement to privatize the Puerto Rico Electric Power Authority (PREPA). The announcement demonstrates the insensitivity of this government and leaves clear that the welfare of the people is not among the interests of the current Governor.

UTIER has been consistent in denouncing the privatization plans of various government administrations and also the recent intentional slowness in the process of restoring the electrical system.

The Governor is taking advantage of the pain of thousands of people who are currently without electric power. Given the insensitivity of Governor Ricardo Rosellá of announcing the privatization of PREPA in the midst of the suffering of almost half a million Puerto Ricans who still do not have electricity, UTIER once again raises its voice in favor of the people. We have tried through our brigades to restore electric power as soon as possible, despite all the obstacles that the government, the Engineers brigade, the Board of Fiscal Control, and the upper management of PREPA have erected to try to prevent us achieving that goal.

For decades we have warned how various administrations have undermined workers and intentionally damaged the infrastructure of PREPA. This was intended to provoke the people’s discontent with the service in order to privatize our first industry, “the jewel in the crown”, to strip us—the people—of what is ours. “Because PREPA is a public good that belongs to the people and not to the politicians,” said the president of the UTIER, Angel Figueroa Jaramillo.

Figueroa Jaramillo explained how, since the 1970s, governments of the two main parties have tried to privatize PREPA. In each of these attempts, UTIER has reacted immediately, warning the people what this would mean for the country.

“We asked, how come it was possible that, facing so much devastation left by the hurricanes, that we would prioritize hiring a company such as Whitefish, which did not have the staff or experience to handle an emergency like the one we had gone through? Then we met the endless irregularities in the awarding of the contract that was signed with Whitefish and the powerful political links it has with the current US administration. Everything we said was proven to be correct and has been so in every complaint we have made over decades”, said Figueroa Jaramillo.

The President of UTIER insisted, “The position of UTIER is that electricity is a human right and not a commodity. That is what our people have realized after the ravages of hurricanes Irma and Maria, after having run out of electricity and suffering so many hardships and the loss of family members, either because they have died or had to leave the country. That is why we strongly oppose privatization in any of its expressions, whether through the transfer of assets or the transfer of management to private companies. We ask the people the following question so that they think clearly about it: If PREPA was not profitable and able to generate profits, would there be a company that wanted to acquire it?”

The president of the UTIER urged people to also remember the declarations of the Board of Fiscal Control (JCF) a year ago in which it presented the privatization of PREPA as one of its goals. “We cannot leave the heritage that belongs to us–-the people—in private hands. And one of them is PREPA. Because if at some point we face another atmospheric phenomenon such as the ones to which we are exposed every year during hurricane season, we already know how the private generators AES and Ecoelectrica will react: turning off their machinery in order not to lose their investment. That’s what they did on this occasion. They are not worried about the suffering of the people. That situation cannot be repeated and if PREPA is privatized, that is what’s in store for us. Furthermore, we must not be deceived: privatization increases the electric bill and makes us more vulnerable as the people. Let’s not allow the main industry for the development of our country to be stolen from us. Let’s not wait for it to happen”, added Figueroa Jaramillo.

TUED Bulletin #68: The Invisible Crisis of Wind and Solar Energy–and the Urgent Need for a Public Approach

By Sean Sweeney and John Treat - Trade Unions for Energy Democracy, December 5, 2017

Why, in a world awash with “idle capital” and in desperate need for a just energy transition to renewables-based energy systems, are global investment levels in renewable energy so obviously out of sync with climate targets?

According to a 2016 report released by the International Energy Agency, “Market-based, unsubsidised low-carbon investments have been negligable.” Without public money, the levels of modern renewable energy would be abysmally low. The tenth TUED Working Paper, Preparing a Public Pathway: Confronting the Investment Crisis in Renewable Energy describes how public money is papering over the fundamental failures of so-called “competitive” electricity markets. Public financing is increasingly being used to provide “certainties” for private companies and investors in the form of “power purchase agreements” or PPAs. PPAs make renewable energy expensive and vulnerable to the kind of political backlash we’ve seen across Europe and elsewhere. As a result, the entire energy sector becomes starved of investment and saturated in “political risk.”

“Preparing a Public Pathway” is available for download now (PDF)

From the Working Paper:

The dominant policy institutions have concluded that the market model that emerged from privatization and liberalization has proven to be an impediment to the kind of energy transition that is required. These same institutions instruct governments to increase their role as enablers of investment, by absorbing risk, providing support, and guaranteeing revenues and returns through P3s and PPAs.

The introduction of “capacity payments” speaks to the extent to which the “competitive market” is not only no longer competitive, it can no longer be usefully described as a market. Rather, we see governments, trying to ensure the energy-demand needs of the entire system are met, paying for unused electrical power—from both incumbent utilities and renewables companies—in order to ensure that all providers walk away with “returns on investment” that they (and the investors behind them) consider “satisfactory.”

One of the main goals of Preparing a Public Pathway is to provoke discussion among unions and their allies about the need to further cultivate a pro-public trade union counter-narrative that is clear, bold and persuasive, and—given the formidable nature of the challenge—offers some hope of decisively interceding in the global energy system’s worrying trajectories. Such a narrative must be able to assert, confidently and from an informed perspective, that only a planned, coordinated, publicly driven approach to investment has a credible chance of delivering the dramatically scaled up deployment of renewable power that we urgently need.

Report on TUED Strategy Meeting at COP23

By staff - Trade Unions for Energy Democracy, November 28, 2017

On November 10th, during COP23, Trade Unions for Energy Democracy (TUED) convened a “Strategy Roundtable” in Bonn, Germany. The meeting was attended by more than 40 representatives of roughly 25 unions from 14 countries as well as several allies from the environmental movement, media and research bodies.

Union participants came from Argentina, Australia, Belgium, Brazil, Canada, Dominican Republic, Germany, Italy, Netherlands, Norway, Philippines, UK and USA. The meeting was organized with support from the New York office of Rosa Luxemburg Stiftung (RLS–New York). Participants were welcomed by Stefanie Ehmsen of RLS-NYC, and TUED Coordinator Sean Sweeney of the Joseph S. Murphy Institute, City University of New York.

The meeting provided a rare opportunity for unions that are not yet part of the network to be exposed to TUED’s analysis and to participate in a lively debate about the struggle for the future of global energy systems. Copies of TUED’s most recent working paper, “Preparing a Public Pathway: Confronting the Investment Crisis in Renewable Energy,” were circulated.

Setting the context for the meeting, Sweeney provided a brief overview of the 5-year history of the 60-union network, and the political origins of the “Resist, Reclaim, Restructure” framework. There was broad consensus among participants that the current, market-driven approach, focused on “mobilizing the private sector,” is failing to produce a just energy transition and that, given the Paris targets, there is an urgent need to pursue public alternatives that advance social ownership and democratic control of the power sector and the broader energy economy, including energy options, management, and research and development.

Participants also provided updates on recent developments in their regions, including reports on: the Philippines and the challenges facing trade unions under Duterte’s government; the September meeting in Buenos Aires on “The Energy Grid and the Commons”; the UK Trades Union Congress resolution to support public ownership of energy; developments and next steps to follow the June 2017 meeting in Geneva of TUED unions in Europe; why “Public Renewable Power” is gaining support among unions in Australia; latest developments in Canada, particularly Alberta and Quebec; and the recent sharp debate around the AFL-CIO resolution on climate change in the US. Participants also heard about ITF’s campaigning work on public transportation.

Identifying points of agreement and shared analysis, representatives of Friends of the Earth International (FOE-I) and Friends of the Earth Europe (FOE-E) also participated in the discussion.

A just transition from climate change and unemployment – a trade union perspective

By Joseph Mathunjwa - Daily Mavrick, November 7, 2017

The global economy is facing numerous structural challenges. With the looming fourth economic revolution characterised by even more technological development and mechanisation, the future of productive labour is bleak. Most unskilled and semi-skilled workers are likely to lose their jobs. Even some skilled workers are not spared from this emerging catastrophe, as numerous job categories – such as brick-layers – are increasingly becoming redundant.

This points to the urgent need for planning, for conscious investment in job-rich, growth opportunities that enable economies to build productive capacity in labour intensive sectors. One way of achieving this is to strengthen wage led growth, which, in turn, stimulates aggregate demand through enlarged household incomes. Without a dramatic increase in the wages of mine workers, farm workers and all employed people in our country, we will never be able to deal with South Africa’s most urgent problems: inequality, mass unemployment and poverty.

Since unemployment is the greatest determinant of poverty and income inequality, we can expect these, too, to worsen. Already, in 2015, 30.4-million people, that is, 55.5% of the population live on less than R441 per month, or less than R15 per day. The fact that 10% of South Africa’s population earn around 60% of all income, points to South Africa’s widening inequality. Even more alarming is that the richest 10% of the population own at least 90–95% of all assets. 

With these terrible statistics in mind, it becomes redundant to repeat what we have been saying as a trade union for a long time, namely, SA urgently requires the redistribution of wealth.

When the millions of working people in our country can afford what the few take for granted – a television set, a washing machine, dining room table, etc – we create the conditions for developing the economies of scale that can sustain local industries from the intense competition coming from a globalised economy. In this way, we will be able to make in-roads into the almost 10 million people who are out of work, out of income and out of dignity.

The importance of the climate jobs work the Alternative Information & Development Centre (AIDC) has been leading is that it identifies where the jobs can be created. As AIDC’s latest research – One Million Climate Jobs – Moving South Africa forward on a low-carbon, wage-led and sustainable path – makes clear, there are potentially hundreds of thousands of jobs in championing low carbon development, as the complimentary strategy to a wage-led development path.

The AIDC’s solidarity with AMCU (the Association of Mineworkers and Construction Union) is greatly appreciated. It is a solidarity based on a shared approach and conviction of the urgent need to confront the numerous challenges facing our economy, the people whose needs the economy is supposed to meet and the sustainability of human life on a planet heating to unsustainable levels.

However, AMCU is a trade union representing mine workers and construction workers. These workers are embedded in the very industrial processes that are at the centre of contributing to global warming and other environmental problems. It is inescapable that, if we are going to move decisively to a low carbon less polluting economy, it is going to be at the cost of coal mining, coal fired energy plants, coal to liquid gas, etc. Unless jobs are offered to our members in clean industries, they would never voluntarily agree to the shutting down of mining and energy industries. It would be like asking them to commit suicide.

U.S. unions fighting climate change with innovative campaigns

By Elizabeth Perry - Work and Climate Change Report, November 7, 2017

Labour and climate activists gathered to exchange experiences and plan for future action at the Second Labor Convergence on Climate event, held on September 23-24, under the banner “Building Worker Power to Confront Climate Change.”  The meeting was hosted by the Labor Network for Sustainability (LNS), which  recently released a report on the meetings  summarizing the impressive initiatives and projects,  including:  the Canadian Postal Workers Union proposal Delivering Community Power,  which envisions expansion and re-purposing of the postal station network to provide electric vehicle charging stations, farm-to-table food delivery, and  community banking ; the International Brotherhood of Teamsters described the San Francisco Zero Waste program that now diverts 80% of municipal waste from landfills into recycling and composting and provides union jobs; Service Employees International Union (SEIU) 1199  described their environmental and climate justice programs, resulting from the impact of disasters  like Superstorm Sandy;  worker training programs at the Net-Zero Energy training facility built by the  International Brotherhood of Electrical Workers (IBEW) Local 595 in partnership with the Northern California National Electrical Contractors Association; the United Food and Commercial Workers described their experience with the  Good Food Purchasing Policy as a tool for protecting and enhancing labor standards for workers in the food industry and advancing climate justice; and the International Brotherhood of Locomotive Engineers and Trainmen profiled their successful Green Diesel campaign to win cleaner fuel engines and a visionary strategy called  “Solutionary Rail” ,  profiled in “How we can turn railroads into a climate solution”  in Grist (March 2017) and in “ Electric Trains everywhere – A Solution to crumbling roads and climate crisis”  in  YES Magazine (May 2017).

Participants at the Second Labor Convergence on Climate included over 130 people –  labour union leaders, organizers, and rank and file activists from 17 unions, 3 state federations/central labor councils and 6 labor support organizations,  as well as environmental and economic justice activists.

Should Unions Strike for a Just Transition?

By Sean Sweeney - Trade Unions for Energy Democracy, October 10, 2017

After more than a decade of tenacious union lobbying of government negotiators, the words “a just transition of the workforce” was written into the preamble of the 2015 Paris Climate Agreement.

But now what? Encouraged by Paris, unions around the world have committed fresh energy towards giving Just Transition some practical significance, otherwise it will remain little more than a moral appeal for fairness in a corporate-dominated world economy where both morality and fairness are increasingly scarce.

This Bulletin features an article by TUED coordinator Sean Sweeney on the recent commitment made by unions in South Africa to strike for a “just transition.” However, the goal of the threatened strike is to halt the plan of the national utility (Eskom) to close 5 coal-fired power stations, a move that threatens 40,000 jobs.  Titled “When Stopping Coal Plant Closures Makes Environmental Sense” the article, which first appeared in the Fall 2017 edition of New Labor Forum, urges environmentalists not to support the closures, but to join with unions in opposing Eskom’s proposed actions.  Supporting the closures, argues Sweeney is “a poisoned chalice,”  that “will separate the environmental movement from the unions with whom it should be allied. And whatever environmental gains the 5 closures might produce at the margins in terms of avoided emissions and pollution levels will be more than offset by the impact of ‘jobs versus environment’ political fragmentation. This is why the Eskom closures should be opposed, but opposed in a way that might lay the political foundations for a more fundamental energy transition.”

Since the article was written, Eskom’s war with the private renewable energy companies has continued, with the utility pushing back against high-cost of power purchase agreements for wind and solar power. TUED union NUMSA and also the new South African Federation of Trade Unions (SAFTU) have called for a socially owned renewables sector in order to allow for a just energy transition from the present coal-dominated power system to one that can take advantage of South Africa’s abundant supplies of wind and sunshine.

Full Report from an “International Meeting on the Energy Mix and the Commons” – Buenos Aires, Argentina (English)

By admin - Trade Unions for Energy Democracy, September 27, 2017; English translation provided by Daniel Chavez of this original report.

The Energy Mix and the Commons

On 4-5 September 2017, an International Meeting on the Energy Mix and the Commons was held at the ATE National trade union’s main office, in Buenos Aires, Argentina.

The meeting was framed within a broader process of exchange of knowledge and experiences on climate and energy policies in Argentina, Latin America and the world. The Argentinian State Workers’ Association (Spanish acronym ATE; acronyms will be for Spanish names where applicable) and the Autonomous Argentinean Workers’ Congress (CTA-A) are engaged in international processes towards the construction of regional and global alternatives, in particular the Development Platform of the Americas (PLADA) and the Trade Unions for Energy Democracy (TUED) initiative. The PLADA platform was conceived within the framework of the Trade Unions Confederation of the Americas (TUCA; CSA in Spanish) as a strategic political proposal centred around four dimensions—political, economic, social and environmental—aiming to contribute to the design and implementation of a regional model for sustainable development. PLADA proposes a gradual reduction in the use of fossil fuels, the universalisation of access to energy services, and the rationalization of those sectors of the economy that pollute the most. TUED, a global network composed of workers’ confederations and trade unions, focuses on democratizing generation, distribution and consumption of energy around the world.

The meeting was organised by ATE and CTA-A, with the support of the Transnational Institute (TNI, a worldwide network of scholar-activists based in the Netherlands) and the Latin American and Caribbean Confederation of State Workers (CLATE).

5.7-Million-Member TUC Supports Labour Party’s Manifesto Commitments on Public Ownership of Energy and Climate Change

By staff - Trade Unions for Energy Democracy, September 25, 2017

The annual congress of the UK Trades Union Congress (TUC) has passed a historic composite resolution (also below) on climate change that supports the energy sector being returned to public ownership and democratic control.

The resolution—carried unanimously by hundreds of delegates—calls upon the national center to work with the Labour Party to achieve this goal, as well as to: implement a mass program for energy conservation and efficiency; lobby for the establishment of a “just transition” strategy for affected workers; and, investigate the long-term risks to pension funds from investments in fossil fuels.

The Labour Party’s 2017 election manifesto, For the Many, Not the Few,pointed to the failures of electricity privatization, energy poverty, the need the honor the UK’s climate commitments, and to put the UK on course for 60% of its energy to be met by zero carbon or renewable sources by 2030.

The Manifesto also committed to “take energy back into public ownership to deliver renewable energy, affordability for consumers, and democratic control.” It calls for the creation of “publicly owned, locally accountable energy companies and co-operatives to rival existing private energy suppliers.”

Moved by Sarah Woolley, Organising Regional Secretary for the Bakers, Food and Allied Workers Union (BFAWU), the resolution refers to the “irrefutable evidence that dangerous climate change is driving unprecedented changes to our environment,” as well as the risks to meeting the climate challenge posed by Trump’s announced withdrawal from the Paris Agreement, and by the chaotic approach to both Brexit and broader policy by the current Conservative government.

The resolution affirmed that combating climate change and moving towards a low-carbon economy cannot be left to markets, but requires a strong role for the public sector in driving the transition. In supporting the resolution, several speakers referred to the devastation unleashed across the Caribbean over the previous several days by Hurricane Irma—the most powerful Atlantic Ocean storm in recorded history—and across southern Texas only days before that by Hurricane Harvey.

Backing Corbyn, UK Unions Call for Energy to be Returned to Public Ownership and Democratic Control

By staff - Trade Unions for Energy Democracy, September 12, 2017

5.7-Million-Member TUC Supports Labour Party’s Manifesto Commitments on Climate Change and Energy Transition

When addressing climate change, “public ownership of energy under democratic control is crucial” – Iain Dalton, USDAW

September 12, 2017, Brighton, U.K.

The annual congress of the UK Trades Union Congress (TUC) has passed a historic composite resolution on climate change that supports the energy sector being returned to public ownership and democratic control.

The resolution—carried unanimously—calls upon the 5.7-million-member national federation to work with the Labour Party to achieve this goal, as well as to: implement a mass program for energy conservation and efficiency; lobby for the establishment of a “just transition” strategy for affected workers; and, investigate the long-term risks to pension funds from investments in fossil fuels.

The Labour Party’s 2017 election manifesto, For the Many, Not the Few, pointed to the failures of electricity privatization, energy poverty, the need the honor the UK’s climate commitments, and to put the UK on course for 60% of its energy to be met by zero carbon or renewable sources by 2030.

The Manifesto also committed to “take energy back into public ownership to deliver renewable energy, affordability for consumers, and democratic control.” It calls for the creation of “publicly owned, locally accountable energy companies and co-operatives to rival existing private energy suppliers.”

Moved by Sarah Woolley, Organising Regional Secretary for the Bakers, Food and Allied Workers Union (BFAWU), the resolution refers to the “irrefutable evidence that dangerous climate change is driving unprecedented changes to our environment,” as well as the risks to meeting the climate challenge posed by Trump’s announced withdrawal from the Paris Agreement, and by the chaotic approach to both Brexit and broader policy by the current Conservative government.

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