Australia’s coal industry is expected to suffer another loss of jobs in July as a combination of lower coal prices and the ongoing strike by thousands of Australian coal workers has resulted in a massive job loss.
Photo: Andrew Meares Coal mining and energy companies have also warned that the strike could have a significant impact on the industry’s financial position, as well as the broader economy.
In the latest report from the Australian Bureau of Statistics (ABS), Australia’s total coal employment fell by 5,000 in July.
Coal industry chief executive John Longworth said the industry was “on the cusp of a big contraction”.
The Australian Energy Market Operator (AEMO), which has issued weekly reports on coal prices since 2011, said the “strike and disruption” had “brought down prices in Australia by around 40 cents per tonne”.
However, the AEMO’s chief economist Peter Kettler warned the coal industry was unlikely to survive this year.
“The current trend is a slowdown,” he said.
“The downturn in coal prices is not necessarily a permanent trend, as there is a growing number of smaller companies looking for ways to cope with higher costs and tighter margins,” Mr Kettling said. “
Even in this low price environment, we think the current price is unlikely to be sustainable.”
“The downturn in coal prices is not necessarily a permanent trend, as there is a growing number of smaller companies looking for ways to cope with higher costs and tighter margins,” Mr Kettling said.
The decline in Australian coal output from about 4,000 tonnes per day in December 2016 to just under 3,000 gigajourles (Gj/kW) in July 2017 has seen a drop in the number of jobs.
However, it’s not just jobs that are impacted by the strike.
Mr Kattler said a major issue was that the industry had to be able to produce coal at a reasonable price to meet growing demand.
“We have a very long-term project to build the world’s biggest coal export terminal, so we have a huge commitment to coal to meet that,” he added.
“However, this is now on hold.
He said the strike had “contributed to a very strong rebound in the Australian dollar”. “
At the moment, there’s no real prospect of this being addressed.”
He said the strike had “contributed to a very strong rebound in the Australian dollar”.
However, it is important to remember that this is not a one-off event. “
On a per-capita basis, the strike has caused an increase in Australia’s exports of coal and iron ore.”
However, it is important to remember that this is not a one-off event.
“In addition, it has had a negative impact on our exports of other minerals, including gold and diamonds, and on the Australian economy’s trade with China, whose currency has suffered.”
In short, this has had an adverse impact on Australian exports and jobs, both of which have been adversely affected by the closure of Australian mines.
“Australia has been experiencing an economic downturn for several years, which has contributed to the decline in its exports of commodities.”