Trade union the National Union of Mineworkers (NUM) on March 31 presented its ‘Just Transition and the Energy Sector’ report for discussion and adoption, on day two of its yearly national congress.

The report emphasised that while workers and labour support the just energy transition, there are a number of concerns that need to be addressed. Several proposed resolutions were also outlined.

It was indicated that workers and trade unions are not opposed to the ultimate objective of the country’s transition to a low-carbon, climate-resilient economy. However, they have reservations about how the concept is defined and the proposed path for it to be achieved.

A key concern for workers is the anticipated loss of jobs and livelihoods, especially in the energy and mining sectors.

This has resulted in the reluctance of workers to embrace the just energy transition.

Reservations stemmed from, besides others, calls by some just energy proponents for an immediate halt in coal use, as well as little consideration of the opportunity cost and socioeconomic implications of phasing out coal, it was noted.

Also, the NUM highlighted unresolved questions around the just energy transition, such as the future of coal and what an appropriate pace of the transition should be.

In terms of potential pathways that are being considered nationally for a just energy transition, the NUM said it must be noted that, while renewable energy sources, especially solar and wind, have been identified as potential key drivers, these pose risks to jobs, owing to the different skills required.

Moreover, it said that while nuclear energy is potentially clean and more reliable, this is not supported by all unions.  

Also, while the report acknowledged the negative impact of coal on the environment, it noted that coal still remains a strategic national resource for the country, and therefore, cannot just be discarded.

Therefore, the report’s proposed resolution for the just energy transition includes that it should be underpinned by four pillars - social dialogue, social protection, rights at work and employment protection and creation.

Moreover, research to inform the process and implementation of the transition must be done to ensure that it is just, the report emphasises.

Also, it was indicated that the ultimate goal for the country should be net-zero emissions, rather than zero emissions.

The report said the pace and timing of the transition should not be based only on environmental concerns, but rather, must also consider the socioeconomic implications to the country as a whole.

The report said that while the NUM supports bold and urgent action to address climate change, it is opposed to a “green structural adjustment” that is led by government and other organisations such as the International Monetary Fund and financial institutions.   

The report indicated that while South Africa can take preliminary steps to advance the transition away from coal, it must first withdraw its proposal to unbundle Eskom, declare a moratorium on the Renewable Energy Independent Power Producer Procurement Programme, and find ways to build low-carbon generation capacity that is consistent with persevering energy sovereignty and building local supply chains.

The report also emphasised that the privatisation of energy must not happen in the country, and rather, it called for a public pathway approach to the energy transition.

The foundation stone of this approach would be having a fully public national energy utility, a “new Eskom”.

SECRETARIAT REPORT

Also presented on the day, for discussion and adoption, was the NUM’s Secretariat Report.

Key findings include that State-owned Eskom has decided to reduce the number of the seconded leadership who serve the union full time. The NUM said this was done without consulting the union; therefore, it would be engaging with Eskom on the matter, given that a considerable number of its members are employed by Eskom.  

The NUM’s ten-year plan document has been reviewed and now runs from 2020 to 2030, with the revised plan now containing a section of the metals industry with various scenarios around Covid-19 as well.

The report indicated that the NUM’s membership has been declining since 2018. Moreover, revenues were also decreasing.

The report pointed out that the NUM has successfully concluded collective bargaining agreements with several companies, such as Harmony Gold, Northam Platinum, Royal Bafokeng Platinum, Exxaro Resources and Murray & Roberts.

However, two companies of concern were Eskom and Sibanye-Stillwater’s South African gold division. The former was noted as offering union members a 1.5% wage increase, with the matter now with the Commission for Conciliation, Mediation and Arbitration for arbitration.

With regard to Sibanye’s gold operations, the NUM noted that it had asked for a 6% wage increase, which had been rejected by the company. The NUM is calling for the Department of Mineral Resources and Energy and other government departments to intervene and help resolve the impasse.

The report also touched on the National Women’s Structure (NWS), a separate structure within the NUM.

It noted that the challenges experienced by this structure were mainly caused by the pandemic, with an increase in job losses, gender-based violence, harassment and femicide.

It was recommended that this structure’s regional conferences continue to be conducted separately from the main regional conferences and that the structure’s elections should be conducted by an independent electoral commission. This, it explained, is owing to the fact that the NUM does not deal with gender-specific issues, and therefore, a separate structure is needed.

The NWS has committed to embark on campaigns aimed at defending and advancing the union and protecting women at work and in communities.

Regrettably, it was highlighted that a new culture has erupted during the elective conference, with delegates of the structure being influenced by male members.

The need for a youth structure, in similar vein to the women’s structure, was also emphasised. The leadership of this structure was noted as solid and hardworking in building sound relations with other youth formations.

However, a challenge was highlighted in that regions are no longer convening the regional youth committee meetings as per their agreed upon plans.

Also, the structure has been experiencing declining union membership, and therefore, the report called for more campaigns within regions.