Coal Mines and jobs

In Australia we have a large dispute over coal mines. In particular, people dispute over the proposed Carmichael coal mine in Queensland, run by the Indian company Adani which would be one of the largest coal mines in the world. Some say that if it opens then we may as well give up trying to stop climate disruption.

Politicians frequently defend the mine by saying it will result in at least 10,000 jobs in a fairly depressed area. This is also the figure that Adani chuck around when they are not in court.

In court where they can charged with perjury, the story is different.
Adani’s expert witness in the Land Court, Jerome Fahrer from ACIL Allen consulting, claimed (and please read this carefully)

“Over the life of the Project it is projected that on average around 1,464 employee years of full time equivalent direct and indirect jobs will be created.”

  • 1) This is over the *life time* of the project.
  • 2) “1464 employee years” (so if everyone works two years that is 732 jobs for two years, if every job lasts for 4 years that is 366 jobs. If the life time of the mine is a mere 20 years, and all jobs last 20 years, then that is 70 or less jobs. The mine is forecast to be operating much longer than that (I have seen predictions of 50 to 60 years). It is likely the opening years of the mine will consume most of these “employee years” while it requires construction.
  • 3) “Direct and indirect” – this figure includes all the jobs that will be created in response to employment at the mine – bar tenders, contractors, motel staff and so on.
  • 4) Be created – this means on top of the jobs lost elsewhere, as other mines are forced to shut down, because of competition.
  • So we would be in high risk of destroying the Great Artesian Basin, Queensland’s agriculture and world climate stability, for less than 70 extra jobs over 20 years. Adani are notorious for not paying tax and royalties, so we might as well stop pretending that Australia will get anything for all this destruction.

    That was for the big mine. Adani will no longer open the big mine as it is too costly at the moment, so the jobs figure will be smaller. So we should not keep telling everyone this will come anywhere near solving Northern Queensland’s unemployment problem. This seems false rhetoric designed to persuade people that the mine should go ahead, and profits should be made and taken elsewhere.

    Mining jobs make up less of the workforce than retail jobs, accommodation and food, and far less than the arts. But of course people in the arts don’t count.

    Mining jobs have traditionally been well paid so miners are naturally attached to them, but this small number of jobs in Queensland is probably not going to maintain a field of high paying jobs, and it is a trivial number of well paid jobs given the risks….

    Mining jobs are also becoming increasingly automated, so it may be that even fewer extra jobs will be created – although this will probably be blamed on Green politicians, rather than on mining company automation.

    All of this suggests that coal mines do not benefit the country in any significant way, but they do endanger it for profit.

    Tags: , ,

    Leave a comment