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South Africa: Unions reject plans to close power stations

3 April, 2017Faced with a looming 30,000 energy jobs bloodbath, IndustriALL affiliates in South Africa, the National Union of Mineworkers (NUM) and the National Union of Metalworkers of South Africa (Numsa), are outraged by power utility Eskom’s plans.

Eskom wants to close five coal-fuelled power stations in Mpumalanga Province, and replace them with renewable energy from the Independent Power Producers.

The unions are rejecting this. Instead, they support a Just Transition from fossil fuels to a low carbon economy. That way, the burden will not be heavily placed on workers.

During a mass meeting on 16 March at Arnot, Komati and Duvha power stations, the NUM submitted a memorandum of grievances to the management.

As part of protest action against Eskom, seen as a “common enemy”, the unions’ leadership is planning joint actions.

NUM President, Piet Matosa, and Numsa General Secretary, Irvin Jim, confirmed during the Sub Saharan Executive Committee meeting in Harare, Zimbabwe, on 30 March that the two IndustriALL affiliates were consulting on the issue.

The NUM says the decision is “ill-informed, senseless, irrational and malicious” and serves “a narrow neo-liberal agenda and selfish business interests”.

The proposal is against the government’s National Development Plan, which aims to create jobs, end poverty and inequality, argues the NUM. South Africa faces high unemployment of 26.5 per cent according to Statistics South Africa. But the rate is higher at 35.6 per cent if one uses the expanded unemployment rate, which includes those who are so discouraged that they have given up looking for work.

Numsa agrees, calling the plans “reckless” as it will “destroy the livelihoods of thousands of workers and their families”.

The metalworkers add: “The South African government has failed to industrialize the country and create an economy that can shift workers from fossil fuels to a modern economy powered by renewables”.

Fabian Nkomo, IndustriALL regional secretary for Sub-Saharan Africa emphasizes:

“To even contemplate losing so many jobs is unthinkable. We support the affiliates in their efforts for a just transition agreement that will protect workers, and promote sustainable industrial policies.”

Glen Mpufane, IndustriALL mining director, said:

“We support the need to phase out fossil fuel power generation, but this can only happen in the context of a proper Just Transition deal. Workers must not pay the price, and South Africa cannot afford to toss another 30,000 workers onto the scrapheap of unemployment. We are concerned that Eskom is using sustainability as an excuse to restructure and privatize.

"If they have excess capacity, they should lower energy prices, and begin a managed transition that doesn’t cost jobs."

IndustriALL energy director Diana Junquera Curiel said:

"The closure of coal-fired power stations is affecting unions around the world. Last week, the Hazelwood power station in Australia closed. In that case, the union won a Just Transition deal which means workers won’t pay the price. This is the approach that unions in South Africa and elsewhere should take.”