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Scotland's Just Transition Commission Interim Report

By Jim Skea, et. al. - Scottish Just Transition Commission, February 2020

1.1 The Just Transition Commission was established by Scottish Ministers to advise on how just transition principles can be applied to climate change action in Scotland. Our remit is to prepare practical recommendations within two years of our first meeting, meaning our final report is due to be shared with Ministers by January 2021. We have been asked for recommendations that will help support action to:

  • maximise the economic and social opportunities that the move to a net-zero economy by 2045 offers
  • build on Scotland’s existing strengths and assets
  • understand and mitigate risks that could arise in relation to regional cohesion, equalities, poverty (including fuel poverty), and a sustainable and inclusive labour market

1.2 This report has been prepared as a result of a request from the Cabinet Secretary for Environment, Climate Change, and Land Reform asking for interim advice to inform the updated Climate Change Plan. We hope this document can be helpful in this regard.

1.3 We held our inception meeting at the start of last year, when we agreed a work plan and an approach to collecting evidence. Since that initial meeting, we have travelled the country speaking to a range of stakeholders regarding the challenges and opportunities of transitioning to a net-zero economy. This has included a variety of activities, such as consideration of written evidence, discussions with experts, engagement events and site visits.

1.4 While we have been carrying out this programme of work, we are very aware that public concern over the impact and response to climate change has never been higher. There have also been important changes on the policy front. With this in mind, there are a number of developments that we can point to as being broadly positive in terms of delivering a just transition to a net-zero economy in Scotland.

Read the report (Link).

Colorado’s Just A Transition Away from Coal Energy

By Benjamin Stemer - Global Green, August 20, 2019

Over the past few decades, global concern surrounding the rapid change in our Earth’s climate has consistently risen, to the point that many U.S. states are taking independent and decisive action for the welfare of the environment, their citizens, and the global population as a whole. Colorado is just one example of this trend which favors a reduction on energy produced from coal, and an increased emphasis on renewable alternatives. On May 28th 2019, Colorado signed into law the “Just Transition from Coal-based Energy” which incentivizes the early termination of coal plants, while simultaneously providing financial support for any citizens who may be negatively impacted by the early closing of these coal plants. 

With an issue as complicated and misunderstood as climate change, finding and implementing realistic and timely solutions for our climate crisis has proven to be extremely difficult. However, Colorado is not intimidated by the scope and seriousness of this subject and, as a result, they have moved beyond simply discussing this issue through the passing of their decisive policy titled the “Just Transition from Coal- based Energy”. According to the Institute of Energy Economics and Financial Analysis, with the introduction of this bill, Colorado is setting a strong example for other states to follow (1). This new law creates a Just Transition Advisory Committee, which consists of directors from the Department of Labor and Employment, the Colorado Energy Office, The Department of Local Affairs, representatives from the Governor’s office and the State Senate, as well as 12 local representatives, including three coal workers, three coal community representatives, two members from disproportionately impacted communities, and two experts on economic development and/or workforce retraining. The purpose of the Just Transition Advisory Committee is to create a plan that will provide benefits for impacted workers, make grants available for communities heavily reliant on the coal industry, and offer additional support for anyone impacted by the early closing of coal plants all across Colorado. One highlight of this bill is that any costs associated with supporting impacted workers and communities will be paid for through a process of voluntary securitization of investor-owned coal plants (2). If you’re like most people, you might not have any idea what the process of securitization entails, so let me explain.

The Just Transition for Coal Workers Can Start Now. Colorado Is Showing How

By Rachel M. Cohen - In These Times, July 24, 2019

This past May, Colorado’s Democratic governor Jared Polis signed a series of new environmental bills into law, with the enthusiastic backing of the state’s labor movement. Legislation ranged from expanding community solar gardens to establishing a “Just Transition” office for coal-dependent communities.

Organized labor in Colorado hasn’t always been an ally in the fight against climate change, but beginning in 2018, a Democratic messaging bill that called for 100 percent renewable energy by 2035 forced local unions to start having some tough conversations.

“Republicans controlled the Senate, so the bill had no chance of passing, but it forced the conversation on our end as to what do we need to do to get behind these bills in the future, instead of just blocking them or delaying,” explained Dennis Dougherty, the executive director of the Colorado AFL-CIO, which represents approximately 165 unions representing more than 130,000 workers. “It was really the first time we asked ourselves, well what’s our game plan?”

In February 2018, Colorado activists launched a state-based affiliate of the Peoples Climate Movement, a coalition of community, faith, youth and environmental groups focused on promoting an equitable response to climate change. Dougherty, who worked for years as a federal mediator before joining the labor movement, soon became co-chair of the Colorado coalition. “This was the first time labor has really stepped out in leadership on climate,” he told In These Times.

What followed were a series of organized talks between unions and environmental groups. With resources from its parent organization, the Peoples Climate Movement Colorado even hired a skilled facilitator from the Institute for the Built Environment at Colorado State University to help guide its conversations. The work culminated in a Climate, Jobs and Justice Summit last September.

Democrats won a majority of seats in the state Senate after the 2018 midterms, giving them trifecta control over Colorado politics, and the ability to pass many climate-related bills this year. Those bills included two pieces of legislation advocates hope can serve as a model for climate, jobs and justice organizing in other states.

One is HB-1314, which establishes a Just Transition Office in the Colorado Department of Labor and Employment. The first-of-its-kind office, which will have both a dedicated staff and an advisory committee of diverse stakeholders, is charged with creating a equitable plan for coal-dependent communities and workers as the state transitions away from fossil fuels. The goal is to mitigate the economic hardship that will accompany this energy transition. A draft plan is due by July 2020, and by 2025, the state will start administering benefits to displaced coal workers, and provide workforce retraining grants to coal-transitioning communities like Pueblo, Larimer, Delta, Morgan and others.

Transforming Vic: Creating Jobs While Cutting Emissions: A ‘green new deal’ proposal for a Fair and Just Transition from Friends of the Earth

By staff - Friends of the Earth Melbourne, July 4, 2019

The Transforming Victoria: creating jobs while cutting emissions report aims to provide a pathway which outlines how the state could place itself on a sustainable footing while ensuring affected communities are not left behind in the transition to a low carbon future.

Key aspects of the report call for:

  • Creating a Just Transition Authority and appointing a Minister for Transition
  • Ensuring good, secure union jobs are created in the transition away from oil, coal, gas and native forest logging
  • Ensuring sustained investment in the Latrobe Valley, including support for economic diversification, renewable energy and storage, and high tech manufacturing
  • Ensuring better energy efficiency standards for new homes and buildings and continued retrofitting of existing housing stock
  • Helping householders and businesses shift from relying on gas to 100% renewable energy
  • Shifting funding away from mega road projects like the North East Link and into major public transport infrastructure like the Metro 2 tunnel
  • Greatly expanding the public transport network
  • Continuing to build trams, buses and trains locally
  • Supporting a rapid transition away from coal to 100% renewable energy
  • Committing to deep emission reduction targets
  • Supporting public ownership of energy production and the electricity grid
  • Supporting a not for profit, community owned electricity retailer
  • Supporting ‘game changing’ renewable energy projects like the Star of the South offshore wind farm proposed for South Gippsland
  • Ruling out further development of fossil fuel reserves
  • Protecting native forests and redeploying affected workers

Read the report (PDF).

18 Strategies for a Green New Deal: How to Make the Climate Mobilization Work

By Jeremy Brecher - Labor Network for Sustainability, 2019

The Green New Deal projects a broad vision of creating a climate-safe America through an economic and social mobilization on a scale not seen since the New Deal and World War II.

That mobilization can provide a historic opportunity to create millions of good, high-wage jobs, virtually eliminate poverty, provide unprecedented levels of prosperity and economic security, and counteract systemic injustices. So far discussion about the Green New Deal has rightly focused on values and goals. But there are many practical problems that will have to be solved as well.

The LNS discussion paper 18 Strategies for a Green New Deal: How to Make the Climate Mobilization Work lays out how the Green New Deal can realize its goals.

Read the report (PDF).

Sea Change: Climate Emergency, Jobs and Managing the Phase-Out of UK Oil and Gas Extraction

By Greg Muttitt, Anna Markova, and Matthew Crighton - Oil Change International, Platform, and Friends of the Earth Scotland, May 2019

This new report released by Oil Change International, Platform and Friends of the Earth Scotland shows that a well-managed energy transformation based on Just Transition principles can meet UK climate commitments while protecting livelihoods and economic well-being, provided that the right policies are adopted, and that the affected workers, trade unions and communities are able to effectively guide these policies.

This report examines the future of UK offshore oil and gas extraction in relation to climate change and employment. It finds that:

  • The UK’s 5.7 billion barrels of oil and gas in already-operating oil and gas fields will exceed the UK’s share in relation to Paris climate goals – whereas industry and government aim to extract 20 billion barrels;
  • Recent subsidies for oil and gas extraction will add twice as much carbon to the atmosphere as the phase-out of coal power saves;
  • Given the right policies, job creation in clean energy industries will exceed affected oil and gas jobs more than threefold.

In light of these findings, the UK and Scottish Governments face a choice between two pathways that stay within the Paris climate limits:

  1. Deferred collapse: continue to pursue maximum extraction by subsidising companies and encouraging them to shed workers, until worsening climate impacts force rapid action to cut emissions globally; the UK oil industry collapses, pushing many workers out of work in a short space of time. Or:
  2. Managed transition: stop approving and licensing new oil and gas projects, begin a phase-out of extraction and a Just Transition for workers and communities, negotiated with trade unions and local leaders, and in line with climate change goals, while building quality jobs in a clean energy economy.

The report recommends that the UK and Scottish Governments:

  • Stop issuing licenses and permits for new oil and gas exploration and development, and revoke undeveloped licenses;
  • Rapidly phase out all subsidies for oil and gas extraction, including tax breaks, and redirect them to fund a Just Transition;
  • Enable rapid building of the clean energy industry through fiscal and policy support to at least the extent they have provided to the oil industry, including inward investment in affected regions and communities;
  • Open formal consultations with trade unions to develop and implement a Just Transition strategy for oil-dependent regions and communities.

Read the text (PDF).

Colorado: Support a Just and Equitable Transition via Securitization

By Julia Prochnik - Natural Resources Defense Council, April 24, 2019

Utility securitization can be a prescription for lowering energy costs and reallocating funds previously committed to expensive fuels and reinvesting them in lower cost clean energy infrastructure. Securitization is also a useful financing tool to help fund a Just and Equitable Transition to clean energy infrastructure.

Securitization is a financing tool that has existed in the financial sector for decades and is a special type of utility bond offering that gets funds from private investors at a very low interest rate. It can be used to replace more expensive capital and costs that utilities pass on to customers.  Securitization provides a lower cost to customers. 

Legislation is needed, in Colorado and elsewhere, to guarantee a regulated dedicated rate and an unavoidable charge with Public Utility Commission oversight to ensure that the bonds are paid in full.  This dedicated rate along with other conditions allow for high credit score on the bonds to get the lowest interest rate from investors and therefore the lowest costs for customers. 

For example, when a utility says they need to securitize something, they are looking into refinancing their costs of raising capital at a secured lower bond rate, just as you would with decreasing interest charged on a credit card. The regulated utility can then repurpose the money raised into a variety of cleaner operations and transition funds. 

A Just and Equitable Transition builds from the indigenous and labor movement to create a just transition.  Adding equity expands the policymaking to include diverse community voices and help make change livable for all impacted.  

Decent work in the management of electrical and electronic waste (e-waste)

By staff - International Labour Organization, April 2019

At its 329th Session (March 2017), the Governing Body of the International Labour Office decided that a Global Dialogue Forum on decent work in the management of electrical and electronic waste (e-waste) would be held in Geneva. During its 334th Session (October– November 2018), it decided that the date of the meeting would be 9–11 April 2019 and that all interested governments should be invited. Eight Employer and eight Worker participants would be appointed on the basis of nominations made by their respective groups in the Governing Body, and selected intergovernmental organizations and non-governmental organizations would be invited as observers.

The purpose of the Global Dialogue Forum is to discuss current and emerging issues and opportunities related to the promotion of decent work in the management of e-waste, with the aim of adopting points of consensus, including recommendations for future action by the International Labour Organization (ILO) and its Members. Taking place in the centennial year of the ILO, the Forum is also an opportunity to discuss more broadly the future of work in the circular economy.

Read the report (Link).

An Ecosocialist Green New Deal: Guiding Principles

By the DSA Ecosocialist Working Group - Democratic Socialists of America - February 28, 2019

The IWW has not endorsed this document; however, individual members of the IWW EUC have helped shape it.

Humankind has reached a moment of existential crisis. Human activity is causing disastrous climate disruption and Earth’s sixth mass extinction event, triggering critical losses of biodiversity. We are already locked in for global warming that will have catastrophic effects, and we are on a slippery path to our own extinction. The 2018 Special Report from the Intergovernmental Panel on Climate Change (IPCC) warns unequivocally that “without societal transformation and rapid implementation of ambitious greenhouse gas reduction measures, pathways to limiting warming to 1.5°C and achieving sustainable development will be exceedingly difficult, if not impossible, to achieve.”

Yet, the crisis we face exceeds ecological breakdown. Deepening inequality, suppressed democracy, precarious jobs, racial and gendered violence, border hostility, and endless wars make up the terrain on which climate destabilization will be unleashed. The most vulnerable members of society will be hit hardest, first, and suffer most.

We must solve the climate crisis and the inequality crisis together. Climate remedies in the context of austerity will produce a popular backlash, as we see in the yellow vest protests against a fuel tax. Corporations profiting from fossil extraction have long worked to turn workers against environmentalists, claiming that clean energy would be a job killer. But working class and poor people’s quality of life, gravely threatened by climate disruption, would greatly improve in a just transition. Because corporate capitalism rewards extraction to concentrate wealth, it must be replaced by a sustainable economy. A Green New Deal can begin the transition from exploitative capitalism to democratic ecological socialism.

The urgency and scale of the crisis we face demand solutions that meet the magnitude of this moment. The ineffectual gradualism and corporate obedience demonstrated by the U.S. government’s climate response has proven to be a dead-end for humanity. We need rapid, systemic transformation that heals the stratification of wealth and power while putting decarbonization and justice at the forefront.

We need a Green New Deal. We demand a Green New Deal, and we demand that it serve people and planet—not profit.

Read the report (PDF).

International Trade Union Confederation unveils a Just Transition Centre at COP22

By Elizabeth Perry - Work and Climate Change Report, November 16, 2016

The 22nd meeting of the United Nations Conference of the Parties (COP22) in Marrakesh Morrocco concluded on November 18, having made dogged progress despite the looming spectre of President Donald Trump . (see “7 things you missed at COP22 while Trump hogged the headlines“). 150 trade union members from 50 countries comprised a delegation led by the International Trade Union Confederation (ITUC). On November 18, the ITUC released their assessment of COP22: “ Marrakech Climate Conference: Real Progress on economic diversification, transformation and just transition, but more ambition and more finance needed”.

The three “top line” ITUC demands going in to the meetings can be summed up as: greater ambition and urgency for action; commitments on climate finance, especially for vulnerable countries, and commitment to just transition for workers and communities. The summary of demands is reproduced at the Trade Unions for Energy Democracy website and described in detail in the ITUC Frontlines Briefing: Climate Justice COP 22 Special Edition. (Note that one of the case studies in the Special Edition highlights the president of Unifor Local 707A in Fort McMurray, Alberta, who describes the union’s efforts to lobby government, to bargain for just transition provisions, and to sponsor job fairs for displaced workers.) The union demands are consistent with the issues raised in Setting the Path Toward 1.5 C – A Civil Society Equity Review of Pre-2020 Ambition. The ITUC is a signatory to the Setting the Path document – along with dozens of other civil society groups, including Canada Action Network, David Suzuki Foundation, and Friends of the Earth Canada.

The ITUC Special Edition statement announced “…the ITUC and its partners are establishing a Just Transition Centre . The Centre will facilitate government, business, trade unions, communities, investors and civil society groups to collaborate in the national, industrial, workplace and community planning, agreements, technologies, investments and the necessary public policies.” The “partners” mentioned include the United Nations Environment Programme (UNEP), the B Team , an international network of business executives who believe that “the purpose of business is to become a driving force for social, environmental and economic benefit” and We Mean Business, a coalition of business, NGO and government policy organizations promoting the transition to a low-carbon economy.

As an aside: The CEO of We Mean Business wrote A Just Transition to defeat the populist politicians (Nov. 5), summing up the business point of view about Just Transition. See excerpts here.

The European Trade Union Congress, a member of ITUC, promoted five demands in its own Position Statement , adopted by the Executive Committee on the 26-27 October. The ETUC demands largely mirror those of ITUC but also call for concrete action to move the issue of Just Transition from the Preamble of the Paris Agreement, ( where it landed by compromise ) . “The COP 22 must now urge Parties to integrate just transition elements into their national contributions, notably by mandating the Subsidiary Bodies Implementation (SBI) and for Scientific and Technological Advice (SBSTA), for they define the terms of this integration.” The ETUC urges that the ILO Principles for a just transition to environmentally sustainable economies and societies for all provide an internationally recognized reference for governments and social partners concerning just transition.

The Canadian Labour Congress, Confederation des Syndicats Nationaux and Centrale des Syndicats Democratiques in Canada, and the American Federation of Labor (AFL-CIO) are ITUC affiliates. Details, pictures, videos are posted on Twitter at #unions4climate.

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