Click here for a copy of
the Surface Coal Mining Collective Agreement
Increasing demand, especially from emerging
economies, has resulted in a sustained increase in the
international price of coal over the last ten years. As a
consequence an increasing number of sites have become commercially
viable, providing the UK surface coal mining industry with a major
opportunity to increase activity and output.
It is often overlooked that the UK surface
coal mining directly employs around 2,500 full time workers, on
salaries in the region of £30,000 to £35,000 per annum, and engages
an extensive supply chain.
Unite are very much aware of the fact that the
loss of such employment would have a considerable cost to the
Exchequer, estimated in the region of £50 million per year in
benefits and lost income tax revenue, whereas an increase in
employment in the sector would have the reverse
effect.
The geographical location of viable coal
reserves means that an increase in surface mining activity can not
only retain but create jobs in areas where there are otherwise
extremely limited opportunities for skilled and permanent
employment, most significantly in Scotland, Wales and the
north of England.
In addition to providing well-paid and skilled
jobs in economically depressed areas the surface coal mining
industry generates significant funds for local economies. It should
be noted for example that, UK Coal pays around £50 million in rates
to local authorities every year.
Further to the objective economic benefits,
the UK surface coal mining industry plays a significant role in the
rejuvenation of derelict land which subsequently reduces such costs
to the taxpayer.
Alongside the laudable drive to reduce carbon
emissions, the key driver of energy policy moving forward will be
the need to secure energy supplies.
In order to achieve a period of sustained
growth the UK economy cannot become over reliant on imported fuel
sources or over dependent on intermittent and inflexible
generation.
In consideration, Unite would fully endorse
the position taken by Malcolm Wicks MP, in the authoritative report
Energy Security: A National Challenge in a Changing World
which concluded that “Given the abundance of proven coal reserves
and its relative low costs and flexibility to meet fluctuations in
demand for power, I believe that there is a long-term future for
coal in the UK’s energy mix”.
Unite hold the view that the disproportionate
limitations of the planning process on the UK surface coal mining
industry are a major constraint on the ability of the industry to
both meet demand and retain skilled employment opportunities in
regions of economic deprivation.
Unite share industry concerns that the
constraints put on surface coal mining activity are currently more
restrictive than for any other source of mineral extraction, and of
the fact that the existence of buffer zone restrictions are likely
to limit activity and output in Scotland and Wales post 2020.
In addition, Unite are convinced that any
legislation which effectively results in the introduction of a
buffer zone in England will suffocate any potential for future
growth.
Unite have long campaigned for a balanced
energy policy and note with interest the measures outlined in the
recent White Paper designed to stimulate investment in low carbon
generation.
However, Unite have very real concerns that
the contribution domestic coal reserves can make to securing energy
supply is being hampered by the negative perception of the
industry.
Unfortunately this perception is also coupled
with a lack of understanding of the fact that future deployment of
carbon capture and storage technologies could significantly reduce
the overall carbon emissions from coal fired power stations by 90%.
Unite is therefore calling on policy
and decision makers to overcome their negative perceptions of the
UK surface coal mining industry and recognise the essential
contribution that the extraction of indigenous coal supplies can
make to both driving economic growth and achieving energy
security.
