Hazelwood closure: power station shuts and jobs go
FOR the first time in more than 52 years an AC/DC cover band provided the only energy at Hazelwood power station. Workers tried to keep things upbeat, but it wasn’t easy.
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THE irony wasn’t lost on workers at Hazelwood power station on Friday. For the first time in more than 52 years an AC/DC cover band provided the only energy.
They tried to keep things upbeat. But for hundreds of employees who gathered to say goodbye, it wasn’t easy.
Some were nonchalant.
Others shed tears for the only job they’d ever known.
A funeral wreath fixed to the cyclone fence seemed entirely appropriate.
“It feels like a death in the family,’’ electrical contractor Paul Robinson said. “It’s like we’ve been watching somebody with a terminal illness.
“The last five months have been bloody tough. In a way, I’m glad it’s finally over.’’
More than 450 employees and 300 contractors have been left jobless after the French-owned energy company Engie made the decision to shut down last year.
It was a decision critics say was expedited by a government intent on pushing unreachable renewable energy targets. The plant, they say, could have been wound down over several years giving sacked workers more time to find work.
A worker transfer scheme furiously nailed down by the unions might offer some hope.
But the reality of life without the security of full-time work suddenly felt real for hundreds who filtered through the main gates of Victoria’s oldest power station.
Hard hats were lined up along the fenceline, as if this had been a mining tragedy.
In the minds of some it certainly was.
John Darling, who started work at the plant in 1967, felt sorry for the younger ones.
“(They) still have so many years ahead of them and now no income coming in,’’ Mr Darling said. He said speculation employees walked away with redundancy packages of up to $330,000 was incorrect.
“You have to have been here for more than 25 years,’’ he noted. The kids who needed it most, he said, had only been here “10 minutes’’.
His hope, he said, was that the Latrobe Valley might attract some interest from the manufacturing industry.
But he scratched his head and scuffed his feet as he admitted that the region was already on its knees.
“We’re in dire straits,’’ he said. “That’s the reality.’’
Another worker clocking on for the last time struggled to keep his emotions in check.
He choked up as he spoke to the media then walked away perhaps fearing somebody might spot his glistening cheeks.
“I’m sorry,’’ he said. “It’s just that I’ve been here about 36 years. I’m 51 years of age. It’s just really sad.’’
Another worker, David Johnson said he was the sole bread winner for a young family with an uncertain future.
He swapped a job at Yallourn for a position at Hazelwood.
“Unfortunately I jumped on to a sinking ship,’’ he said.
“This is our livelihood ... to have it pulled out from underneath us, it’s pretty hard.’’
He hadn’t ruled out moving from the region but wife Jess was trying to stay positive.
“We’ve got our house, we’ve got each other and we have our kids. We’ll be OK,’’ she said.
Gippsland Trade and Labour Council secretary Steve Dodd said the fight for workers would continue.
“We want to acknowledge all the work Hazelwood workers have done since the plant first went online in 1964,’’ Mr Dodd said. “It’s a sad day but we want to ensure the workers are supported now and into the future.’’
The band continued to bang out all the classics as the last of the employees shook hands and shared stories. Some of them certainly not repeatable.
One bloke in overalls emerged from the hustle and quietly paced to his car just after 3pm. He didn’t have another job to got to, he said.
“But I don’t have kids ... not like some of the other fellas.’’
He drummed his fingers across the car roof as he opened the door. “It’s been a strange day, I tell ya.’’
UNHAPPY NEW YEAR FOR THE BATTLERS
— Matt Johnston
HOUSEHOLDS using gas and electricity in Melbourne’s outer east and north copped New Year’s price hikes of about $280 a year if they were on default contracts.
And families in northern Victoria and the Latrobe Valley were also rocked by the highest average bill increases in the state, a new report by the St Vincent de Paul Society shows.
Most of the residential price spikes, which average 7 to 9 per cent, have been blamed on soaring gas prices and the closure of the Hazelwood power station.
Families are being urged to shop around and demand a better deal from retailers, with savings of hundreds of dollars a year often available.
The report found the difference between the worst default or “standing” offer and the best market offer for average-consumption families could be a whopping $1000 to $1300, depending on the location. And the difference between the best and worst market contracts can be as much as $650.
Policy and research manager at Vinnies, Gavin Dufty, said “now’s the time to put the squeeze on your energy retailer”.
“If you do leave your current retailer, expect a call from your old retailer with an even better deal,” he said.
The release of the report comes as the state government relaunched its energy saver website to show families how much they could be paying at their current consumption rate.
The Vinnies report also shows that while retail competition can help many families, vulnerable households that can’t afford solar and struggle with cash flow are likely to be left out in the cold when it comes to making use of discounts or cross-subsidies.
The report shows the average retail component of a bill is now $474.
victorianenergysaver.vic.gov.au
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A history of Hazelwood
HOW LONG HAS IT OPERATED?
* Hazelwood has operated for more than 52 years.
* It supplies up to 25 per cent of Victoria’s energy.
* When its closure was announced, it was employing 450 people directly and another 300 contractors.
WHY IS IT CLOSING?
* The ageing and increasingly inefficient plant is the most expensive brown coal station in Victoria.
* For safe and efficient operation, $400 million would need to be invested and owner Engie says that much investment is not viable.
* Engie is moving away from coal across international operations. SHUTDOWN * The first three generators were shut down on Monday, followed by three more on Tuesday and the final two on Wednesday.
* The business will close for good on Friday, March 31.
* Other shutdown processes, including draining fluids, removing oil and industrial gases, will continue until at least the end of May.
DECOMMISSIONING
* Involves containment of hazardous materials, disconnecting electrical supplies, cleaning, securing the site and salvaging.
* Expected to take about 12 months.
DEMOLITION
* Preparations will take about two years, including consulting with regulators and tendering contracts.
* Systematic demolition will take about three years.
REHABILITATION
* Engie estimates the mine rehabilitation process will cost about $439 million.
* Rehabilitation of an eastern part of the mine has already started.
* At least four years of rehabilitation is needed before the mine can be turned into a lake.
* Water may be sourced from underground aquifers, seepage, water entitlements and managed water from the Morwell Main Drain.
* Investigations are underway to see if Hazelwood’s pondage, used to cool the plant, Eel Hole Creek and Morwell River can be used.
* A full-pit lake would take more than 10 years to fill using a range of water sources.
* A partial-pit lake created by pumping from the aquifer would take six years.
SOURCE: Engie
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