As part of Chile’s ambitious energy transition plans, nine coal-fired power plants have closed in the country since 2019. Four of these are located in Tocopilla, an industrial town situated between the Pacific Ocean and the Atacama desert. In Chile, power companies are obliged to support direct employees when a plant closes, but for every coal mine closed, around 600 sub-contractors (or indirect workers) who depend on the coal industry are excluded from such support.

The European Investment Bank (EIB) has pledged EUR 150 million to support transforming the German lignite mining region of Lusatia into a green energy hub. Two thirds of Lusatia’s 13,000 mining jobs will disappear with the closure of the region’s last two open-cast mines by 2030. The EIB funding aims to reduce the social and economic impact of the lignite phase-out, with funds earmarked for public transport, local and regional development, health, energy, and training opportunities.

The former mining city of Fuxin, in Liaoning Province, China, has found an innovative way to honour its coal legacy by converting former open-pit mines into high-speed racetracks. Once a source of great prosperity, the region’s coal mines began facing resource depletion in the 1980s, prompting an exodus of workers seeking economic stability. In 2018 Fuxin began redeveloping the pits, which today draw large numbers of visitors, fuelling local tourism and economic development in the region.

Ghana’s government has organised a sensitisation and awareness workshop for over 50 local journalists in Accra. The aim is to educate journalists on the country’s National Green Jobs Strategy, a new framework that intends to minimise job losses in the transition to a greener economy. Appealing to the media to intensify education on issues of climate change and requirements for a just transition, the strategy frames creating green job opportunities as a shared responsibility.

The European Commission has approved a EUR 300 million Polish scheme to alleviate the social costs of closing coal- and lignite-fired power plants and lignite mines. The funds are intended to support workers whose jobs are at risk due to the closures. Poland has set its own tentative coal phase-out deadline of 2049, but the new government, in power since December 2023, has backed the European Union’s recently announced initiative to target a net 90% emissions cut by 2040, indicating that this timeline is likely to be brought forward.

A new map created by researchers at the Massachusetts Institute of Technology (MIT) shows where the shift towards clean energy will have the biggest impact on jobs across the United States. Alongside big oil and gas regions, the map reveals that areas with high levels of manufacturing, agriculture, and construction—industries heavily dependent on coal, oil, and gas—will also face significant disruption. While policy-makers now broadly recognise the concept of just transition and aim to support employees directly affected by the decline of fossil fuels, workers in secondary industries are not being considered.

With the aim of creating energy communities in areas affected by the closure of coal-fired power plants across Andalusia, Asturias, and Galicia, the Spanish government has initiated just transition contests for access rights to the electrical grid for renewable energy projects in these areas. These competitions will evaluate projects based on investment in the provincial value chain as well as the promotion of employment and local consumption.

A new report on just energy transition in Maharashtra—the first comprehensive assessment of the challenges and opportunities of a just energy transition in the Indian state—has found that the energy transition will affect 41% of all factories in the state over the next two decades, impacting 1 million formal workers as well as large numbers of low-paid informal workers. The report highlights the need to develop a comprehensive State Just Transition Policy that focuses on economic diversification, workforce skilling, and investments in social and physical infrastructure in order to build social capital and attract investment.

It’s been over a year since Indonesia and Vietnam announced their Just Energy Transition Partnerships (JETPs) at COP 27. Both have now presented investment plans outlining the estimated cost to decarbonise their power sectors, with Indonesia requiring a projected USD 96.1 billion until 2030 and Vietnam requiring USD 134.7 billion. Funding commitments so far total only 21% and 11% of the sum required by each country, respectively, with grants comprising just 2.6% of pledged funds for Indonesia and 4% for Vietnam. Whether the JETPs can live up to their ‘gamechanger’ promise will depend on their ability to catalyse further investment.

An industrial transition is an integral part of a just transition, creating added economic value and new sustainable jobs. However, the transformation of Indonesia’s industrial sector is facing significant challenges, including in relation to workforce and effective governance. The new Indonesian government should look to global success stories on this issue and prioritise a managed and planned industrial transition after the upcoming elections.

Miss our last just transition news roundup? Just Energy Transition in the Media – January 31, 2024