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Newcastle Herald
Newcastle Herald
Matthew Kelly

Revealed: plan to support coal workers when mines and power stations close

Eraring Power Station workers rally in support of a National Transition Authority in 2023. Picture by Peter Lorimer.

Hunter workers who lose their jobs due to coal mine and power station closures will be supported by state government transition authorities.

The government will launch an issues paper for its proposed model to support workers and their communities for a future beyond coal in Muswellbrook on Tuesday.

A newly-created position of Future Jobs and Investment advocate will play a central role in government to support the Hunter, Illawarra, Central West and North West as coal mines and coal-fired power stations close in the coming decades.

More than 125,000 workers in the state are presently directly or indirectly employed by the coal mining or coal-fired power sectors. But by 2040 all four of the state's coal-fired power stations, and 32 of the state's 39 coal mines will close.

"Coal mining will continue to support thousands of local jobs and underpin the state's energy grid for many years to come. But with global demand for coal projected to decrease over the coming decades, we want to ensure workers, communities and regional centres are given the support they need," Minister for Natural Resources Courtney Houssos said.

"Releasing this issues paper continues the government's work with local communities for a future beyond coal."

Courtney Houssos

Under the proposed model, the Future Jobs and Investment Advocate will provide advice to the Minister for Natural Resources to lead strategic work with each regional authority.

The advocate will chair the Future Jobs and Investment Board, which will be comprised of the chairs of each regional authority, unions, industry associations and relevant government agencies.

The Office of the Future Jobs and Investment Authorities will be a central, dedicated delivery unit within the Department of Primary Industries and Regional Development. It will be staffed to support the work of local authorities, the advocate and the board.

Regional Future Jobs and Investment Authorities will be created in the Hunter, Illawarra, Central West and Far West with representation from local government, community groups, unions and the mining industry to ensure locally-led input and bespoke advice can drive government decision making.

The authorities will replace the Royalties for Rejuvenation and Expert Panels scheme set up by the previous state government.

Proposals and projects suggested by the authorities will be tailored for each region so they can drive investment opportunities which are aligned to competitive advantages for each region.

In the Hunter this could mean promoting renewable energy manufacturing and in the Illawarra industries like clean energy and defence.

The authorities will also facilitate economically beneficial post-mining land uses. In one example, plans were recently unveiled to transform the former Rhondda Colliery at Lake Macquarie into a motor park resort and tourism centre.

Other mine sites are being investigated for their potential to be become pumped hydro and clean energy facilities.

Opportunities to promote local manufacturing will also be supported near former coal mines.

Workers will also be provided with access to TAFE courses and other training to obtain the skills required for future job opportunities.

Global demand for coal is projected to decrease by 30 per cent by 2050, including among NSW's key trading partners.

The issues paper follows a series of stakeholder roundtables held over the past year in the Hunter, Illawarra, Central West and North West.

The paper also includes a detailed analysis of planned coal mine closures, employment rates, and economic data for each of the four regions.

Coal-fired power stations generated 71 per cent of the state's electricity in 2023. Eighty seven per cent of coal produced in NSW in 2022-23 was exported. Global demand for coal is projected to decrease by 30 per cent by 2050, including among NSW's key trading partners.

Earlier this month, Minister Houssos asked NSW Legislative Council's Standing Committee on State Development chair Emily Suvaal to undertake an inquiry into post-mining land use.

The authorities will also work with the Commonwealth Government's Net Zero Economy Authority to deliver real support for workers, industries and communities to seize transformational opportunities.

Submissions on the issues paper can be made prior to the introduction of legislation later in the year.

Consultation opens Tuesday 28 May 2024 and will be open for six weeks.To view the issues paper, go to www.nsw.gov.au/fjia.

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