Coal fueled the industrial revolution but filled the skies with smog. Today, coal remains the world’s primary source of energy and a leading cause of planet-warming greenhouse gas emissions. If not eliminated before 2040coal will push the world closer to climate change catastrophe, United Nations Framework Convention on Climate Change has warned.
For these reasons and more, countries from Indonesia to Ukraine are moving away from coal. But in 2021, coal consumption is bouncing strongly of a decline during the COVID-19 pandemic. Many developing countries face severe energy shortages that undermine their economic recovery and disproportionately affect the poor. These factors and the challenges associated with the closure of coal assets and the revival of coal-dependent communities continue to loom large. slow the transition to clean energy.
The experience of Europe and the United States has shown that moving away from coal can take decades and present not only economic and employment challenges, but also social and cultural ones. However, countries can prepare now to transition away from coal in a way that protects people, communities and the environment.
“It’s about communities, jobs, skills and a better life”
“Abandoning coal in the electricity sector is the most important step to limit global warming,” said Mari Pangestu, World Bank Managing Director for Development Policy and Partnerships, during a recent discussion at the World Bank annual meetings.
“We are committed to helping countries accelerate the energy transition, but at the same time we are also focused on the important part, which is people: how can we protect workers, their families, their communities and the environment ? Pangestu added. “It is essential that we help workers and communities create and access new economic opportunities in the transition to clean energy. It’s about jobs, skills and, of course, a better life. »
Many governments and businesses sat down with workers to discuss the transition to coal and negotiated a path forward, including a coal phase-out date and commitments from employers and governments to a just transition , according to Sharan Burrow, general secretary of the International Union. Confederation.
“What does a just transition look like? What that really means is having the certainty of knowing that there are jobs, jobs, and more jobs — because if people find out they’re going to be left behind, they’re going to be stuck like blocked assets, or even will be part of blocked communities. , the trust just won’t be there,” Burrow said.
Through its Climate Change Action Plan, the World Bank is working with coal-producing countries of all sizes to help national, regional and local governments develop clear roadmaps to phase out coal, protect workers , their families, their communities and the environment while supporting investments in energy efficiency, low-carbon energy and renewable energy.
Coal phase-out: a roadmap
Pursuing a just transition for all will require a whole-of-society approach that considers a wide range of stakeholders, including governments, the private sector, communities, academia and civil society.
According to Per Olsson Fridh, a crucial first step is that social dialogue will be necessary to establish processes involving everyone. Swedish Minister for International Development Cooperation. “We need a whole-of-government approach around the world to this transition. By bringing actors and parties together to find where the opportunities lie, this transition can be for everyone, and that is what we need.
Early engagement with communities is a vital part of understanding potential social impacts on different groups of people, building trust and ensuring they can drive their development and transition process. Those most affected are helping to create plans, policies and reforms that will strengthen institutions and mobilize the investments needed to remediate land, support people in their jobs and lives after the transition, and build a new economic future.
The Bank’s global initiative – Supporting the Energy Transition in Coal Regions – provides advice and financing to countries that have made the decision to move away from coal. Among other things, the initiative helps Governments design comprehensive social protection programs for potentially laid-off workers, develop retraining and career transition programs, develop comprehensive environmental rehabilitation plans to enable the repurposing of former mining lands and coal assets, and present potential pathways for economic transition. The initiative also helps countries meet their nationally determined contributions under the Paris Agreement.
In Greece, the Bank contributed to the development of a roadmap in 2019-2020 to phase out coal. West Macedonia, where unemployment is the highest in the country, particularly among young people, and the loss of coal-related jobs could put further pressure on the region. . The roadmap sets out what needs to happen at government, social and environmental levels, including the roles of different levels of government to prepare people and communities for transition, restore mined lands as well as reallocate land and assets .
