ecosocialism

By David Griscom, Matt Lech, and Paul Prescod - Left Reckoning, April 14, 2023

By staff - Trade Unions for Energy Democracy, April 8, 2023

On Tuesday, the Mexican Government signed an agreement to purchase 13 power generation plants from the Spanish multinational Iberdrola. Purchase turns the State Company into a majority owner in electric energy generation in Mexico.

Three weeks after hundreds of thousands mobilised to mark 85 years since the expropriation of oil by former Mexican President Lazaro Cardenas, the federal government announced it is purchasing 13 electric energy generation plants owned by the Iberdrola for nearly USD $6 billion. The 13 plants represent 8,539 MW of installed capacity, with 8,436 MW corresponding to combined cycle gas and 103 MW to wind. Altogether, the purchase represents 77% of Iberdrola’s installed capacity in the country, although the Spain-based multinational would remain the main private generator of renewable energy in Mexico.

While many details are yet to be made public around the financing structure, according to the finance ministry, a new trust fund managed by Mexico Infrastructure Partners (MIP) will own the power plants, with a majority of its capital sourced primarily by Fonadin, the public infrastructure fund of Mexico. The federal power utility, Comisión Federal de Electricidad (CFE), will operate the plants.

"This means, without exaggerating (...), the rescue of the CFE and is a new nationalisation of the electricity industry. Most important of all, in this way, we guarantee that electricity prices will not increase for consumers, as has been the case in the last four years,” said President Andrés Manuel López Obrador (AMLO). “In other words, the CFE becomes the majority company. If we add to this that final plants are being built, hydroelectric plants are being rehabilitated with new turbines, all under the CFE, we can affirm that the Mexican state will maintain around 65 per cent of all energy generation at the end of the six-year term,” added AMLO in Tuesday’s televised announcement.

“The CFE is the only company with permission to commercialise electricity. The CFE had to buy electricity from these 13 Iberdrola plants in order to sell it. Today, we will no longer need this intermediation,” said Rocío Nahle, Secretary of the Energy Ministry (Sener). “The Mexican people are therefore favoured because we are able to sustain affordable electricity costs. In Mexico, we are the country with the lowest energy rates in the OECD because we have an energy policy that the President reviews daily, and with PEMEX, CFE, it allows us to have rates below inflation,” she said.

By Our Changing Climate - Our Changing Climate, April 7, 2023

By Michael Albert - ZNet, April 6, 2023

Degrowth is a vague term. On the one hand, Degrowth arouses fear of personal impoverishment. On the other hand, Degrowth encompasses a wide array of policies that seek social enrichment. While Degrowth emerged from many sources and while it features many facets, it has few if any positive institutional commitments. Instead, Degrowth mainly features a thematic commitment. To avoid ecological disaster and even total ecological collapse, society needs to substantially cut production and consumption. Some Degrowthers say we must cut by as much as 90 percent. Other Degrowthers have in mind an unspecified but much lower reduction.

In most accounts, the origin of Degrowth traces back to the 1970s and particularly, though not exclusively, to the work of Nicholas Georgescu-Roegen. A survey undertaken in 2014 found 220 Degrowth-focused texts. A similar survey in late 2020 found 1166 such texts. Other accounts now report upwards of 3,000 or more. So Degrowth is a rapidly growing focus in academia, but it also stretches beyond campuses, particularly in Europe (especially Spain) and to a lesser degree in North America.

One theme common to virtually all variants of the Degrowth school, movement, or perspective, (which of these you call Degrowth depends on how you assess it), is the observation that infinite growth on a finite planet must result in escalating ecological crises and eventual collapse. This observation owes first to Roegen who derivatively felt that even no growth, often called a steady state economy, wasn’t viable. Roegan argued that society instead needed (and now needs) serious cutbacks. Regarding Degrowth writ large, it is often overlooked that the basic theme that you can’t build infinitely on a finite foundation is trivially true. It is also often overlooked that to use this truism to argue for Degrowth would by the same logic motivate that there should have always been Degrowth on our always finite planet. Roegen wanted major cutbacks in the 1970s. Were he alive at the time, he could with the same logic have called for them in 1790. Of course, he could reply now, but not then, yes but now we are hitting a wall. Now disaster looms. True, but unless elaborated, the finite planet argument doesn’t say why particular outputs are bad. It doesn’t say how to determine the worthiness or badness of production choices. It doesn’t tell us under what conditions production we deem bad should be reduced or eliminated. It doesn’t tell us what areas of growth are not only not damaging but even beneficial and sometimes absolutely essential.

What then, we might reasonably ask, is likable about Degrowth? If you seek to transcend gender, sexual, race, religious, ethnic, class, and political hierarchies of income, wealth, circumstance, and power, if you seek to attain a society that delivers diversity, solidarity, equity, self management, internationalism, and ecological sustainability/reciprocity, what should you like about Degrowth.

By Roberto Lobos and Horacio Fuentes - Constramet, April 2023

President Gabriel Boric presented his National Lithium Strategy, the great absentee in his speech were the workers of Chile, and we can not fail to point out our concern about it. This is why we want to express our opinion on the national chain and express some of the ideas of the workers' world.

In the more than twenty minutes that the President's speech lasted, several questions remained for the world of labour. The decision to move forward with the creation of a National Lithium Company, a campaign promise cast into doubt less than a week ago by the same government team, was welcomed. Yesterday's position, much more in line with the sentiments of the workers, is weighted for its positive value. It is clearly a decision that will have to be defended against the more neoliberal positions, which will oppose the strengthening of the state, which for us still needs to be delimited and clarified in greater depth.

The decision to transform Chile into the "main Lithium producer in the world" is an important bet; accompanying the energy transition process together with Green Hydrogen is part of the strategic development plan that CONSTRAMET and Plebeya have been working on, together with the need to discuss the current situation of copper in Chile in terms of the new energy matrix of the contemporary world-system. We highlight the decision to participate through the State in the entire production process by means of a national company, which is the only possible way towards redistributive economic growth.

With regard to exploration, exploitation and value addition from a "virtuous public-private partnership", there are several questions that plague us. Starting with the content of the link itself. Any process of dialogue between the state and the private sector must include the participation of workers. The greater the participation of the social world in sovereign decision-making in our country, the greater the strength of the public world in the negotiation process, the same for Codelco, today weakened to carry out the plan presented.

By Cuevas Zambrano and Staff - Trade Unions for Energy Democracy, April 2023

Cristián Cuevas Zambrano is a trade union leader and activist of the Chilean left. He is currently director of the Federation of Mining Workers Fetramin and Spokesperson of the National Coordination Committee of Codelco's contractor workers. Previously he was one of the founders of the Confederation of Copper Workers CTC and was its first President for six years. In addition, he was a leader of the Executive Board of the Central Unitaria de Trabajadores CUT Chile.

TUED: Some analysts have taken issue with the characterisation of a "nationalisation" of lithium with historical parallels to the nationalisation of copper. They say it is NOT a classic expropriation but a public-private partnership in which the state-owned company collaborates with the capital. Could you clarify this characterisation for us?

Cristian Cuevas (CC): Nationalisation is a concept that is commonly used to define a process of rescue or expropriation of productive activities in the hands of national or international private capital. This occurred with Law 17.450, promoted by President Salvador Allende, which expressly stated that "the state has absolute, exclusive, inalienable and imprescriptible control of all mines, meadows, metalliferous sands, salt flats, coal and hydrocarbon deposits and other fossil substances, with the exception of surface clays.

The spirit of Allende’s law was aimed at advancing our sovereignty and economic independence, which was completely disregarded during Pinochet's Civil-Military Dictatorship with the enactment of a Constitutional Organic Law that allowed mining concessions to private companies.

However, the Pinochet government issued a supreme decree decreeing lithium as a non-concessionary product given its strategic character in defence (base material that allows the creation of nuclear fusion). Therefore, the Boric administration’s announcements regarding the creation of the national lithium company are intended to allow the State to reclaim the sector and enter into the process of production and development of products made from this raw material.

TUED: In his announcement, Boric stated that the National Lithium Company will articulate public-private partnerships. What are the expected consequences of such a public-private partnership arrangement? What role should trade unions play in developing an alternative?

CC: President Gabriel Boric's announcement reflects the Government's inability to confront the national and foreign business sectors that seek to profit from this important mineral resource, the consequence of which is that the State will not capture for itself 100% of the value generated by lithium, handing the private sector a very good deal. Moreover, this government's surrender is reflected in the declarations of the Minister of Finance Mario Marcel, who only a couple of days ago pointed out as feasible the possibility that some salt flats could be fully exploited by the private sector.

The role that some trade unions have played through public statements, they have come out to reject this public-private partnership because it harms the interests of the State of Chile. However, the weakness of the Chilean trade union movement and the obsession with the CUT is a major constraint for the mobilisation of workers and society in defence of lithium and our common goods.