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Decarbonized Electrification Would Generate Significant Job Gains

By Jim Stanford. - Center for Future Work, May 26, 2022

A new report from the David Suzuki Foundation takes a deep dive into the employment gains that could be achieved through the rapid electrification of Canada’s economy, driven by the expansion of sustainable power generation and infrastructure. The new report, “Shifting Power: Zero-Emissions Electricity Across Canada by 2035”, estimates that 75,000 net new jobs would be created by the expansion of clean electricity generation and use over a 15-year period. This would contribute substantially to the attainment of Canada’s net-zero objectives, as well as to strengthening employment outcomes for Canadian workers as the economy shifts toward sustainable energy sources.

Centre for Future Work Director Jim Stanford provided a supplementary analysis for the report, addressing the economic and employment opportunities associated with decarbonized electrification. He notes those benefits would occur through several complementary channels:

  • Jobs in developing and operating renewable generation systems (including solar, wind, geothermal and hydroelectric power). Construction of these projects will create hundreds of thousands of person-years, with thousands more ongoing jobs in operation and maintenance.
  • New work in expanding and upgrading the electric grid. Major investments will be required to upgrade transmission facilities, install modern control and regulating equipment and prepare the grid for the more complex and variable power distribution requirements associated with dispersed renewable generation.
  • Manufacturing of capital equipment and other material inputs to renewable generation projects. With appropriate value-added industrial strategies to enhance Canada’s industrial footprint in these growing industries, thousands of permanent jobs would be created manufacturing wind turbines, solar power equipment, transmission equipment and materials, and other capital inputs to electrification.
  • Installation and maintenance of new equipment that uses electricity in various industrial and consumer applications — everything from residential heating systems to electric vehicles to large industrial power systems.
  • Jobs in new industries attracted to Canada by the availability of clean, reliable and competitive electricity. Canada’s abundance of primary renewable electricity resources would position us at the forefront of the global transition to sustainable electric energy. That will stimulate interest and investment by industrial firms and financial investors from around the world.

Overstated and misleading warnings that shifting away from fossil fuel use will inevitably cause major job losses and dislocation have already been disproved by the progress in decarbonizing electricity that has already been made. Stanford notes that reliance on fossil fuels in electricity generation in Canada has already fallen by one-third since the turn of the century – yet the electricity generation and distribution industry has created 10,000 net new jobs over that same period. And since renewable energy sources, in general, are more labour-intensive than fossil fuels, this continuing shift can be expected to produce more net job gains in the years ahead.

Jim Stanford’s full commentary for the Shifting Power report is posted here. For more details, please see the Suzuki Foundation’s full report, “Shifting Power: Zero-Emissions Electricity Across Canada by 2035

As Illinois Coal Jobs Disappear, Some Are Looking to the Sun

By Kari Lydersen - In These Times, May 26, 2022

While Illinois phases out coal, clean energy jobs hold promise—both for displaced coal workers, and those harmed by the fossil fuel economy.

Matt Reuscher was laid off a decade ago from Peabody Energy’s Gateway coal mine in Southern Illinois, in the midst of a drought that made the water needed to wash the coal too scarce and caused production to drop, as he remembers it.

Reuscher’s grandfather and two uncles had been miners, and his father — a machinist — did much work with the mines. Like many young men in Southern Illinois, it was a natural career choice for Reuscher. Still in his early 20s when he was laid off, Reuscher ​“spent that summer doing odds and ends, not really finding much of anything I enjoyed doing as much as being underground.”

By fall of 2012, he started working installing solar panels for StraightUp Solar, one of very few solar companies operating in the heart of Illinois coal country. He heard about the job through a family friend and figured he’d give it a try since he had a construction background. He immediately loved the work, and he’s become an evangelist for the clean energy shift happening nationwide, if more slowly in Southern Illinois. With colleagues, he fundraised to install solar panels in tiny villages on the Miskito Coast of Nicaragua, and he became a solar electrician and worked on StraightUp Solar installations powering the wastewater treatment center and civic center in Carbondale, Illinois — a town named for coal. 

Solar installation pays considerably less than coal mining, Reuscher acknowledges, but he feels it’s a safer and healthier way to support his family — including two young sons who love the outdoors as much as he does. 

“You work with people who are really conscious about the environment. That rubs off on me and then rubs off on them,” Reuscher notes, referring to his sons.

Illinois has more than a dozen coal mines and more than a dozen coal-fired power plants that are required to close or reach zero carbon emissions by 2030 (for privately-owned plants) or 2045 (for the state’s two publicly-owned plants), though most will close much sooner due to market forces. Reaching zero carbon emissions would entail complete carbon capture and sequestration, which has not been achieved at commercial scale anywhere in the United States. 

Coal mines also frequently lay off workers, as the industry is in financial duress, though Illinois coal is bolstered by a healthy export market. A ​“just transition” — which refers to providing jobs and opportunities for workers and communities impacted by the decline of fossil fuels — has been an increasing priority of environmental movements nation-wide, and was a major focus of Illinois’ 2021 Climate and Equitable Jobs Act (CEJA). The idea is that people long burdened by fossil fuel pollution and dependent on fossil fuel economies should benefit from the growth of clean energy. Reuscher’s story is a perfect example. 

But in Illinois, as nationally, his transition is a rarity. Solar and other clean energy jobs have more often proven not to be an attractive or accessible option for former coal workers. And advocates and civic leaders have prioritized a broader and also difficult goal: striving to provide clean energy opportunities for not only displaced fossil fuel workers, but for those who have been harmed by fossil fuels or left out of the economic opportunities fossil fuels provided.

Goodbye Russian Gas, Hello Rapid Decarbonisation

By Simon Pirani - Open Democracy, May 20, 2022

We must cut Russian fossil fuel imports and change our energy use, to combat both the cost of living crisis and the global climate crisis.

Three months into the Kremlin’s war against Ukraine, European politicians and officials are working out plans to reduce fossil fuel imports from Russia to zero.

This week, the European Commission published a plan to end Russian gas imports by 2027. Climate campaign groups say it can be done much sooner.

This is a historic turning point. Gas imports from Russia started in the 1960s and came to symbolise not only a flourishing trading relationship with Europe, but also a geopolitical partnership that survived the break-up of the Soviet Union in 1991.

How strong is the case for Europe’s labour movement and civil society to support sanctions against the Russian economy, and specifically against Russian fossil fuels? Which sanctions could be effective? And could an embargo on Russian oil and gas imports give a push to decarbonisation and the fight to prevent dangerous global warming?

Two enemies, one fight: climate disaster and frightful energy bills

By Simon Pirani - People and Nature, May 16, 2022

Two clouds darken the sky. A close-up one: gas and electricity bills have shot up since the Russian invasion of Ukraine, and millions of families are struggling to pay. And a bigger, darker, higher one: the climate disaster, and politicians’ refusal to tackle it.

Ultimately, both these threats have a single cause: fossil fuels and the systems of wealth and power that depend on them. We need social movements to link the fight to protect families from unaffordable bills with the fight to move beyond fossil fuels, and in that way turn back global warming.

Here I suggest ways to develop such a movement in the UK, starting by demanding action on home heating.

As California Considers Dropping Fossil Fuels from Major Pension Funds, New Report Calls Out ‘Misinformation’ on Costs

By Sharon Kelly - DeSmog, May 13, 2022

CalPERS and CalSTRS, which oppose fossil fuel divestment legislation, have “wildly exaggerated” divestment costs, according to Fossil Free California’s latest report.

A newly published report by Fossil Free California finds California’s pension fund managers are circulating divestment “misinformation” by exaggerating the costs involved in shedding their fossil fuel investments in documents prepared for state lawmakers.

California lawmakers are currently considering Senate Bill 1173 (SB-1173), California’s Fossil Fuel Divestment Act, which would require the California Public Employees’ Retirement System (CalPERS) and the California State Teachers’ Retirement System (CalSTRS), to stop investing in fossil fuels before the decade is out. The move would impact billions of dollars currently invested in oil, gas, or coal on behalf of California’s teachers, firefighters, and other public employees.

The report titled “Hyperbole in the Hearings” found that the pension “funds have wildly exaggerated losses from past divestments” like those involving tobacco, firearms, and some forms of coal. It concludes that CalPERS and CalSTRS estimates for costs associated with fossil fuel divestment are also exaggerated.

Extraordinary sums of money, invested on behalf of California’s public employees and teachers, are on the line. The two pension funds have estimated holdings of $7.4 billion and $4.1 billion respectively in fossil fuel investments that would need to be divested if the law went into effect. 

REPORT: Canadian pension fund investment managers’ entanglement with fossil fuel industry raises conflict of interest concerns

By Adam Scott and Patrick DeRochie - Shift Network, May 5, 2022

New analysis finds 80 Canadian pension managers with 124 different roles at 76 fossil fuel companies, raising questions from beneficiaries about fiduciary duty and pension administrators’ potential conflicts of interest on climate-related investment decisions. 

Shift Action for Pension Wealth and Planet Health’s May 2022 report, Canada’s Climate-Conflicted Pension Managers: The Oil and Gas Insiders Overseeing Canadians’ Retirement Savings, reveals the deep entanglement between the fossil fuel industry and directors, trustees and investment managers at Canada’s largest public pension funds. 

The overlap raises serious questions from beneficiaries about their pension administrators’ ability to objectively manage climate-related financial risks and make critical climate-related investment decisions – when the pension administrators are so deeply entangled with an industry whose products are the primary cause of the climate crisis, whose bottom line depends on the continued production of climate-damaging products, and that has a long and ongoing legacy of obstructing efforts to cut carbon pollution.

The analysis finds that among Canada’s ten largest pension funds, which together manage more than $2 trillion in assets:

  • 80 different pension directors, trustees, executives and senior staff currently hold or previously held 124 different roles with 76 different fossil fuel companies. 

  • This includes nine current pension fund directors or trustees that currently hold 13 roles on the board of directors of 12 different fossil fuel companies, and 56 senior staff or investment managers at pension funds who hold 76 different corporate director roles at 39 different fossil fuel companies. 

  • Seven of the ten pension funds have at least one board member who simultaneously sits on the board of a fossil fuel company. 

  • In some cases, over a quarter of the pension fund’s board has direct connections to the oil and gas industry.

The best long-term interests of pension fund beneficiaries are not aligned with the financial interests of shareholders of fossil fuel companies. A pension director who is also a corporate director of a fossil fuel company could find themself with real or perceived conflicts of interest between their fiduciary duty to invest in the best long-term interests of pension beneficiaries, and their simultaneous legal obligation to act in the financial interests of the fossil fuel company on whose board they sit.

Press Release

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Workers and Communities in Transition: Virtual Discussion on the Just Transition Listening Project

By J. Mijin Cha, Vivian Price, Dimitris Stevis, and Todd E. Vachon - Labor Network for Sustainability, May 3, 2022

The Center for Global Work and Employment, Labor Education Action Research Network (LEARN) and Center for Environmental Justice at Colorado State University have recently sponsored a virtual discussion on the Just Transition Listening Project (JTLP)’s 2021 report Workers and Communities in Transition. You can watch the recording online on LEARN-TV.

Warehouse Workers Call for Zero-Emission Trucks

By staff - Labor Network for Sustainability, May 2022

A growing convergence between climate protection and worker justice is embodied in a new report from Warehouse Workers for Justice titled “For Good Jobs and Clean Air: How a Just Transition to Zero Emission Vehicles Can Transform Warehousing.”

Warehouse Workers for Justice (WWJ) is a worker center founded in 2008 to win “stable, living wage jobs with dignity” for the hundreds of thousands of workers in Illinois’ logistics and distribution industry. WWJ “provides workshops about workplace rights, unites warehouse workers to defend their rights on the job, builds community support for the struggles of warehouse workers and fights for public and private policies that promote full-time work at decent wages in the warehouse industry.”

The new report, which includes both scientific information and vivid accounts by warehouse workers themselves, documents the toxic, diesel-driven air quality, public health, and labor impacts of warehousing at the nation’s largest inland port, Will County, IL. Its findings were generated by community-driven air quality monitoring, truck counting, and interviews.

The report finds that through environmental racism and poor labor standards, companies like Amazon put their predominantly Black and Latine workers at a “double jeopardy” of exploitation on the shop floor and toxic air pollution in the community.

The report shows that the transition to electric trucks creates an opportunity to uplift labor standards for warehouse workers and truckers while mitigating diesel-related public health crises — but only if the shift to EVs adequately prioritizes workers and residents.

Germany going fossil-free – and Protecting Fossil Fuel Workers

By Staff - Labor Network for Sustainability, May 2022

Germany, which imports around two-thirds of its gas from Russia and other former Soviet Union states and which aims for net-zero carbon emissions by 2045, is planning to require nearly 100% renewable electricity by 2035. Robert Habeck, German’s economic affairs and climate minister, said Germany needs to triple its rate of emissions reductions.

In response to the Russian attack on Ukraine, Germany has denied a license to the recently constructed Nord Stream 2 pipeline that was to be a major conduit for gas from Russia to Germany. It is also scheduled to close its three nuclear plants by the end of this year.

Germany adopted a plan two years ago to close all coal-fired power plants by 2038. It includes compensation for coal regions, coal companies, and their workers. The total government investment to diversify the regions’ economies and create new jobs over the coming two decades as coal is phased out is $47.3 billion.

For the new German policy: Germany’s New Government Had Big Plans on Climate, Then Russia Invaded Ukraine. What Happens Now? – Inside Climate News

For more on Germany’s just transition program for coal regions and workers: What should coal communities do when power plants shut down? Ask Germany. – Vox

Opinion: Labor taking lead on green economy

By staff - Connecticut Post, April 28, 2022

The American economy is driven by American workers. In Connecticut, many areas of employment have organized labor and fill our unions with bright, hardworking individuals dedicated to moving the state forward and securing a better future for all residents.

However, we still aren’t moving fast enough when it comes to our economic transition toward a green-collar workforce. It is important for labor to lead on climate now. This process begins with individual workers, mainly union members, taking action and organizing around environmental issues.

Labor unions are a powerful political force that can advance environmental protection for the benefit of workers and society as a whole. An initiative of the ILR Worker Institute at Cornell, in partnership with Climate Jobs National Resource Center, “Labor Leading on Climate,” proves that when organized labor leads on an issue like climate change, the outcome is a thriving economy. According to the International Labour Organization the creation of 24 million new jobs is also something that cannot be ignored. The challenge for individual workers, however, is that it isn’t always clear what they can do to advance a clean energy transition in ways that are meaningful and sustainable.

Labor unions and their members can be a driving force of a transition to a clean-energy economy. Sometimes, unions and their members already do this when they advocate for improved workplace conditions. For example, bus drivers can advocate for electric buses to reduce both their exposure to harmful diesel exhaust and air pollution in the communities they serve. Health care professionals can advocate for air pollution reduction measures that can limit asthma prevalence. Educators can present concepts of sustainability to their students and can introduce older students to “green-collar” careers to prepare them for work in the low-carbon economy of the future.

The building trades can rally around clean infrastructure investments. For example, electricians benefit from increased electric vehicle charging installations that are beneficial for the electrification of buildings and industry whereas pipefitters can benefit from geothermal energy projects. State and municipal employees can advocate internally for Lead by Example programs and publicize what their agencies or departments have learned to help businesses and residents transition away from fossil fuels. Manufacturers can seek new opportunities in renewable energy such as manufacturing parts for the Northeast’s emerging offshore wind industry.

The opportunities for unions and their members to engage in environmental advocacy in ways that benefit both workers and the environment are abundant. Workers should not fear a transition to a clean energy economy. While fighting climate change seems like an insurmountable feat, it is also one that shouldn’t be delayed any further. The time to act is now and organized labor can and should take the lead on this issue.

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