Newcastle and the Hunter region have a proud history of energy-related manufacturing. However, since the 1990s the sector has experienced a steady decline, born of decades of neoliberal, free trade policies that encouraged companies to move offshore.
Presently, only 10% of the Hunter workforce is employed in the manufacturing sector. But climate change and the need for clean energy alternatives are opening new doors.
Despite regular claims from the fossil fuel lobby about the loss of jobs in any transition to a clean, renewable energy economy, the evidence is that the number of jobs in this old industry continues to decline.
Conversely, research shows that a shift to a renewable energy economy would revitalise our manufacturing industry and create thousands of new jobs, including in coal communities.
Yet the coal lobby constantly repeats its mantra of “what about the jobs?” whenever such a transition is mentioned, and some take this to be the truth.
Moreover, big coal tries to indoctrinate communities with the falsehood that a transition away from coal and gas extraction would mean the beginning of the end for the Hunter.
The pretense that the region’s economic stability and growth depends on the coal industry is carefully maintained.
Xstrata’s recent announcement of a huge expansion of its Ravensworth open-cut coalmine has been celebrated for creating 500 jobs, despite all that is known about the environmental and social impacts of open-cut mining.
We can counter this propaganda by asking: “Is that all? Only 500?” Modeling shows that a shift to a clean, renewable energy economy would create thousands, not mere hundreds, of jobs.
This 19th-century industry that pollutes the air and our water supplies, and destroys the health of communities and our fertile food production areas, must be phased out to make way for the energy sources of the 21st century.
Undoubtedly, the Hunter region has relied on fossil fuel extraction as an economic base since European settlement. But it’s time to change to keep up with the rest of the world.
The Hunter is in real danger of remaining too reliant on the resources boom and thus too complacent in planning for our future industrial base.
As the global demand for resources falls, new industries need to be developed to fill the gaps. Indeed, this region has the potential to become a leader in new “green-collar” industries — new TAFE courses, new traineeships, new apprenticeships in manufacturing clean, renewable technology and in various multiplier industries.
The Hunter, as one of the powerhouses of Australia’s energy needs, must rethink its position and change tack. We can rebuild our manufacturing base but we need to think laterally, or risk being left behind.
Technologically, there are no barriers to beginning this shift to diversify the Hunter’s industrial base. There are barriers of course, but they are political — specifically, the narrow field of vision of Australian politicians.
Their idea of “the big picture” is restricted within the bounds of the election cycle, leaving them extremely vulnerable to the powerful fossil fuel lobby with their “economic-collapse” scare tactics.
But studies have shown that we can lead the way in a double-pronged approach.
We can reduce greenhouse gas emissions by investing in new sustainable manufacturing development while also ensuring communities and workers now reliant on the fossil fuel industry are supported.
Indeed, the Australian Manufacturing Workers Union (AMWU) national secretary Dave Oliver said in 2008: “Tackling climate change is a huge opportunity for Australian manufacturing if we manage it properly.
“Acceding to big business calls to delay action will mean we miss this opportunity and fail in our responsibilities to leave a sustainable world for future generations.”
AMWU assistant secretary Mike Nicolaides said in December: “We believe there is a strong connection between acting on climate change and industry development policy. There are jobs in clean energy. Lots of them.”
The AMWU has called upon federal politicians to adopt a carbon tax without delay, creating the impetus for clean energy investments and creating employment in “green collar industries” for our children and grandchildren.
The challenges associated with this change are significant, but not insurmountable.
Indeed, a transition to clean renewable energy is not a “jobs versus environment” issue, but a “jobs and environment” opportunity.
The University of Melbourne’s Energy Institute and climate research group Beyond Zero Emissions have produced a “Zero Carbon Australia Stationary Energy Plan” that the Hunter can draw on to navigate the transition comfortably.
This is a 10-year plan to achieve 100% baseload, renewable energy at the cost of $8 per household per week — a similar electricity price-rise to what may be expected if Australia keeps using fossil fuels.
This is not hypothetical or anecdotal — this is based on science and robust modeling and can be achieved using technology that is commercially available now.
However, the disclaimer is that the crucial ingredient is missing — leadership and action from our politicians and policymakers.
Only we the people can begin to match the influence of those who stand to lose in the transition and we need to act now for the sake of our children and all those who will come after us.
[Phillipa Parsons is a Greens councillor on Lake Macquarie City Council.]