mining

By staff - Just Transition Fund, Summer 2020

Workers and families affected by the changing coal economy are facing a profound crisis complicated by unique difficulties. Prior to the COVID-19 pandemic and economic decline, coal facility closures, layoffs, and cuts to vital services were devastating to people and places dependent on the coal economy—many of whom are still struggling following earlier economic declines, the loss of manufacturing jobs, or inequality and widespread poverty.

For low-income communities and communities of color already disproportionately left behind by the status quo, the need for equitable and inclusive economic growth is vital. But, now, with COVID-19, these unique challenges are exacerbated. The closure of even more coal facilities is accelerated, giving communities little time to plan for the disappearance of their largest employer and the erosion of the tax base, which provides critical funding for public services, local education, and health care systems.

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By Trish Kahle - Journal of Energy History, December 12, 2019

This article examines how the perils conjured by blackouts in American cities after 1965 became interpreted as a key point of political and bargaining leverage for the nation’s coal miners. The anxieties provoked by these blackouts –sexual deviance, urban unrest, spoiled food, lost productivity, and Cold War incursions– pointed to a broader crisis of American political and social life driven by the massive social changes which had taken place since the end of the Second World War. As the United States entered the 1970s, a long-range energy crisis appeared not only to secure the future of the once-imperiled coal industry in the United States, but also allowed miners to recast their union as a bedrock of national security rather than as one of the main sources of the nation’s labor unrest.

Evoking the threat of coerced darkness in the modern American home which had been designed for bright illumination, they also pointed to the figurative darkness of the coal mining workscape, described by one miner as “beating the devil at a game of hell”: the constant threat of black lung, disablement, and death. A form of collective bargaining leverage thus opened up a broader debate: how, given the deadly work of coal extraction, could energy be produced in a democratic society that guaranteed the right to life, liberty, property, and, increasingly, light? Did “one man” have to “die every day” to keep the nation’s lights on? This paper argues that miners used the framework of lights and darknesses to contend that mines must be made safe and energy democratized in order to stabilize the energy regime in crisis. In so doing, they framed a new politics of illumination which allowed them to navigate a new terrain of collective action.

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By James K. Rowe, Steph Glanzmann, Jessica Dempsey and Zoë Yunker - Canadian Centre for Policy Alternatives, November 2019

THE WORLD’S LARGEST PENSION FUNDS comprise over half of global investment capital. The Canada Pension Plan Investment Board (CPPIB) manages one of the country’s largest pools of investments, at $400 billion. How pension funds choose to invest has significant bearing on how we collectively address the climate emergency and the needed energy transition away from fossil fuels. In this report we ask: Is the CPPIB investing with the 1.5-degree Celsius limit on global average temperature rise in mind?

In April 2016, Canada was among 195 countries that signed the Paris Agreement, committing to “holding the increase in the global average temperature to well below 2 degrees Celsius above pre-industrial levels and pursuing efforts to limit the temperature increase to 1.5 degrees Celsius.”

Our major finding is that the CPPIB is not investing with the 1.5-degree limit in mind. Within its public equities portfolio, it has over $4 billion invested in the top 200 publicly traded fossil fuel reserve holders (oil, gas and coal). To stay within 1.5 degrees, these companies can extract only 71.4 billion tonnes of carbon dioxide, yet the companies the CPPIB is invested in have 281 billion tonnes in reserve, meaning they have almost four times the carbon reserves that can be sold and ultimately burned to stay within 1.5 degrees. Since reserves are factored into current company valuations, this means the CPPIB has invested billions of dollars in companies whose financial worth depends on overshooting their carbon budget.

This is a moral and ecological failure. It is also a financial risk. As energy generation shifts away from fossil fuels, investors who do not respond could be left with “stranded assets”—investments that are no longer profitable. In its 2019 Financial System Review, the Bank of Canada included climate risk in its analysis for the first time. Canadian fossil fuel companies and their investors are especially exposed to stranded asset risk since the majority of oil produced in Canada is high-cost, carbon-intensive bitumen from the oil sands. And yet, the CPPIB remains exposed to the biggest oil sands majors, with over $1.2 billion invested in Canadian Natural Resources Ltd., Suncor Energy Inc. and Cenovus. Canadian pension beneficiaries may therefore be particularly vulnerable to stranded assets and the financial risks they pose.

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By Ian Hussey and Emma Jacksonn - Parkland Institute, November 2019

This report explains that Alberta will have little coal-fired electricity left by the end of 2023, six years ahead of the federally mandated coal phaseout deadline of December 31, 2029. This relatively rapid transition away from coal power is the result of numerous decisions made since 2007 by various provincial and federal governments, a few arms-length agencies of the Alberta government, and several large publicly traded corporations that produce electricity for the Alberta market. Our report aims to evaluate Alberta’s electricity transition to date against principles and lessons gleaned from the just transition literature.

Following the introduction, the report proceeds as follows. In Section 2, we provide an overview of Alberta’s coal power industry, communities, and workforce. In Section 3, we delineate key principles and lessons from the just transition literature. In Section 4, we present case studies on the three companies affected by the Notley government’s accelerated coal phase-out (TransAlta, ATCO, and Capital Power). We examine the Notley government’s transition programs for coal workers in Section 5 and for coal communities in Section 6. Section 6 also includes a case study of Parkland County, which is the municipal district in Alberta perhaps most affected by the phase-out of coal-fired electricity. In Section 7, we provide an analytic discussion of our research results by evaluating the government’s transition programs against the key principles and lessons drawn from the just transition literature. In Section 8, we outline our conclusions based on the research results.

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By Hamza Hamouchene - Transnational Institute, October 2019

Extractivism as a mode of accumulation and appropriation in North Africa was structured through colonialism in the 19th century to respond to the demands of the metropolitan centres. This accumulation and appropriation pattern is based on commodification of nature and privatisation of natural resources, which resulted in serious environmental depredation. Accumulation by dispossession has reaffirmed the role of Northern African countries as exporters of nature and suppliers of natural resources – such as oil and gas- and primary commodities heavily dependent on water and land, such as agricultural commodities. This role entrenches North Africa’s subordinate insertion into the global capitalist economy, maintaining relations of imperialist domination and neo-colonial hierarchies.

The neo-colonial character of North African extractivism reflects the international division of labour and the international division of nature. It is revealed in largescale oil and gas extraction in Algeria and Tunisia; phosphate mining in Tunisia and Morocco; precious ore mining - silver, gold, and manganese - in Morocco; and water-intensive agribusiness farming paired with tourism in Morocco and Tunisia. This plays an important role in the ecological crisis in North Africa, which finds its clear expression in acute environmental degradation, land exhaustion and loss of soil fertility, water poverty, overexploitation of natural resources, pollution and disease, as well as effects of global warming such as desertification, recurrent heat waves, droughts and rising sea levels.

Concurrent with this dynamic of dispossession of land and resources, new forms of dependency and domination are created. The (re)-primarisation of the economy (the deepened reliance on the export of primary commodities) is often accompanied by a loss of food sovereignty as a rentier system reinforces food dependency by relying on food imports, as in the case of Algeria; and/or as land, water and other resources are increasingly mobilised in the service of export-led cash crop agribusiness, as in Tunisia and Morocco. Extractivism finds itself mired in serious tensions, which generates protests and resistance. This paper documents some of these tensions and struggles by analysing activist grassroots work, including the participation in alternative regional conferences and ‘International Solidarity Caravans’ where representative of grassroots organisations, social movements and peasant communities met and travelled together to sites of socio-environmental injustices, providing a space to strategise together and offer effective solidarity to their respective struggles.

The rural working poor and the unemployed in Northern Africa are the most impacted by the multidimensional crisis. Comprising small-scale farmers, near-landless rural workers, fisherfolks and the unemployed, the movements emerging in the five case studies presented here are resisting the looting of their subsoil resources, the despoliation of their lands, pervasive environmental destruction and the loss of livelihoods. The paper asks the following questions: should we see these protests, uprisings and movements as mainly environmental, or are these fundamentally anti-systemic – anti-capitalist, antiimperialist, decolonial and counter-hegemonic protests? Are these circumstantial episodes of resistance, or do they rather represent the latest development in the historical trajectory of class struggle against the latest capitalist offensive in North Africa? The paper presents an assessment of the nature of these movements which grapple with tensions and contradictions that face them.

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By Richard Halsey, Neil Overy, Tina Schubert, Ebenaezer Appies, Liziwe McDaid and Kim Kruyshaar - Project 90 by 2030, September 19, 2019

A just transition (JT) is a highly complex topic, where the overall goal is to shift to systems that are better for people and the planet, and to do so in a fair and managed way that “leaves no one behind”. A JT is about justice in the context of fundamental changes within the economy and the society.

Both of these areas are extremely contested, consensus is hard to achieve, and people are generally resistant to change. A JT confronts “business as usual” and threatens powerful vested interests in certain economic sectors. In recent years, a vast amount of literature on the subject has been published, and in South Africa the conversation has picked up pace. The urgency of acting now is indisputable.

While a JT can apply to many sectors and industries, this publication focuses on energy. In addition to being a major contributor to climate change, environmental damage and impacts on human health, the energy sector (particularly Eskom), is facing significant challenges in South Africa. We fully acknowledge that energy is linked to other sectors such as transport, agriculture, water and land use, and that a just energy transition (JET) is a part of a wider JT. While the focus of this report is on one sector, we do so recognising that it is linked to other parts of a larger system in many ways.

Our approach was to look at what we can learn from international experience, to combine that with what has already been done in South Africa, and to make recommendations about how to move forward. This publication focuses on the shift from coal to renewable energy (RE), mainly for electricity generation. We are well aware that a movement away from fossil fuels (coal, oil and gas) is far more than just moving from coal to RE, but as discussed in Chapter 3, this particular transition is the obvious starting point in South Africa. The lessons and recommendations presented here can also be adapted to other fossil fuel sectors. While the focus of this study is on coal, a big picture perspective of the energy system is crucial. South Africa must adopt an integrated planning approach, for energy and other sectors.

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By Robin Webster and Dr Christopher Shaw - Climate Outreach, September 2019

The idea of just transition first emerged in the 1970s, when US union leader Tony Mazzocchi1 proposed that people whose jobs were threatened by nuclear disarmament should be compensated for the loss. In the 1990s Mazzocchi broadened the argument to refer to workers in environmentally damaging jobs, whose employment is affected by new policies aiming to reduce pollution.

The International Trade Union Confederation (ITUC) now defines just transition as reducing emissions while ensuring “decent work, social inclusion and poverty eradication.” Its basic elements, according to ITUC, include public and private investment to create green jobs, advance planning to compensate for the negative impacts of climate policies and opportunities for retraining for people whose jobs are affected.

A wide range of groups - including environmental NGOs, labour justice groups and policymakers - have since adopted the idea and it is codified in international climate policy. The preamble to the 2015 Paris Agreement requires the international community to take into account “the imperatives of a just transition of the workforce and the creation of decent work and quality jobs” and the European Commission aims to bring more focus on “social fairness” in tackling climate change.

Just transition is an important concept; a tool for facilitating dialogue between different stakeholders and challenging the discourse of ‘jobs versus climate.’ As one report puts it, it has the potential to be “at the heart of a powerful narrative of hope, tolerance and justice; a narrative that is grounded in people’s actual lived experiences and aspires to guide collective action while simultaneously giving rise to tangible alternatives.”

It is also important from a pragmatic perspective. Recent events - including the Gilets Jaunes protest against a government proposal to raise fuel prices in France and President Trump’s championing of jobs in the US coal industry as a reason for pulling out of the Paris climate change agreement - demonstrate the need to seek social consent for the low-carbon transition, or risk it being undermined.

The term itself, however, is little used outside the policy and technical literature, and hardly used at all in the global South, where it may conflict with other strong cultural narratives - for example the need for poorer countries to develop and use more energy.10 In countries where the idea is more current, only a limited amount of research has been carried out exploring what the idea of just transition means to the communities it is meant to help.

Yet the idea of ‘social dialogue’ between governments, businesses, trade unions and civil society is at the core of just transition, according to many unions.12 Social dialogue means engaging in discussions about what transition means for people’s lives and sense of identity; for jobs, communities and place.13 If just transition is to move from pages of policy reports into reality, then attention needs to be paid to how to frame the dialogue between advocates of a low-carbon economy, and those who are likely to be most fundamentally affected.

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By Benjamin Hitchcock Auciello - War on Want and London Mining Network, September 2019

While the global majority disproportionately suffer the impacts of the climate crisis and the extractivist model, theGlobal North’s legacy of colonialism, the excess of the world’s wealthiest, and the power of large corporations are responsible for these interrelated crises.

The climate change mitigation commitments thus far made by countries in the Global North are wholly insufficient; not only in terms of emissions reductions, but in their failure to address the root causes of the crisis – systemic and intersecting inequalities and injustices. This failure to take inequality and injustice seriously can be seen in even the most ambitious models of climate mitigation.

This report sets out to explore the social and ecological implications of those models.

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By Daniel Aldana Cohen, Kate Aronoff, Alyssa Battistoni, and Thea Riofrancos - Common Wealth, 2019

Climate politics are today bursting to life like never before. For four decades, market fundamentalists in the United States and United Kingdom have blocked ambitious efforts to deal with the climate crisis. But now, the neoliberal hegemony is crumbling, while popular climate mobilisations grow stronger every month. There has never been a better moment to transform politics and attack the climate emergency.

When the climate crisis first emerged into public consciousness in the 1980s, Margaret Thatcher and Ronald Reagan were consolidating a neoliberal doctrine that banished the most powerful tools to confront global heating— public investment and collective action.

Instead, neoliberals sought to free markets from democratically imposed constraints and the power of mass mobilisation. Thatcher insisted that there was no alternative to letting corporations run roughshod over people and planet alike in the name of profit. Soon, New Democrats and New Labour agreed. While the leaders of the third way spoke often of climate change, their actual policies let fossil capital keep drilling and burning. Afraid to intervene aggressively in markets, they did far too little to build a clean energy alternative.

Then the financial crisis of 2008 and the left revival that exploded in its wake laid bare the failures of the neoliberal project. An alternative political economic project is now emerging—and not a moment too soon. As the Intergovernmental Panel on Climate Change put it, keeping global warming below catastrophic levels will require “rapid, far-reaching and unprecedented changes in all aspects of society.” In other words: public investment and collective action.

Fortunately, movements on both sides of the Atlantic have been building strength to mount this kind of alternative to market fundamentalism. On the heels of Occupy Wall Street and Black Lives Matter, Bernie Sanders’s 2016 Democratic primary campaign breathed new life into the American left and its electoral prospects. Jeremy Corbyn’s election as leader of the Labour Party, spurred by a vibrant grassroots mobilisation, gives those of us in the U.S. hope: if New Labour could give way to Corbynism, surely Clintonism can give way to the left wing of the Democratic party. In the U.K., drawing on tactics from the Sanders campaign, Momentum has developed a new model of mass mobilisation to transform a fossilised political party. It’s restoring the dream that formal politics can be a means for genuinely democratic political organising. In turn, U.S. leftists are learning from Momentum’s innovations.

The vision of the Green New Deal that has taken shape in the United States in the past few months is in many ways a culmination of the U.S. left’s revival. The Green New Deal’s modest ambition is to do all that this moment requires: decarbonise the economy as quickly as humanly possible by investing massively to electrify everything, while bringing prodigious amounts of renewable power online; all this would be done in a way that dismantles inequalities of race, class and gender. The Green New Deal would transform the energy and food systems and the broader political economy of which they are a part.

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