Prospects for a “just transition” away from coal-fired power generation in Australia: Learning from the closure of the Hazelwood Power Station

The document analyzes the 2017 closure of the Hazelwood Power Station in Victoria's Latrobe Valley, arguing that Australia's liberal market economy and majoritarian political institutions discourage long-term transition planning. It highlights how the closure was a commercial decision by Engie, which triggered reactive, large-scale assistance packages from both the Victorian and federal governments. The authors suggest that future 'just transitions' may require direct regulation of company obligations or the mobilization of institutional investors to pressure energy firms into adopting worker- and community-friendly closure policies.

• The closure of the Hazelwood Power Station was an autonomous commercial decision by its owner, Engie, rather than the result of government policy, providing only five months' notice to workers and the community.
• Australia's political and economic institutions, characterized as a 'liberal market economy', are antithetical to the long-term planning and stakeholder cooperation required for 'best practice' plant closures.
• Electoral pressures, specifically the marginality of the state seat of Morwell, discouraged the Victorian government from proposing stringent climate or coal closure policies that might have triggered Hazelwood's closure earlier.
• Following the closure announcement, the Victorian government implemented the largest regional development package in its history, totaling $266 million, while the federal government provided a $43 million package.
• The Australian union movement has shifted its position from advocating for 'clean coal' technologies like carbon capture and storage (CCS) toward supporting a 'just transition' narrative, aligning it more closely with environmental groups.
• Absent institutional reform, the authors suggest that the most viable path to 'best practice' closures in Australia is through market pressures, such as mobilizing institutional investors to pressure energy companies.
• The most plausible institutional reform path identified is the direct regulation of companies' transition obligations, such as strengthening laws regarding closure notice periods and workforce planning.

APA

Wiseman, J., Campbell, S., & Green, F. (2017). Prospects for a “just transition” away from coal-fired power generation in Australia: Learning from the closure of the Hazelwood Power Station. Climate Strategies. https://climatestrategies.org/wp-content/uploads/2019/09/Prospects-Just-Transition-Australia_2017_FINAL.pdf

Chicago

Wiseman, John, Stephanie Campbell, and Fergus Green. Prospects for a “just transition” away from coal-fired power generation in Australia: Learning from the closure of the Hazelwood Power Station. Climate Strategies, 2017. https://climatestrategies.org/wp-content/uploads/2019/09/Prospects-Just-Transition-Australia_2017_FINAL.pdf.

Wikipedia

{{cite report |last1=Wiseman |first1=John |last2=Campbell |first2=Stephanie |last3=Green |first3=Fergus |title=Prospects for a “just transition” away from coal-fired power generation in Australia: Learning from the closure of the Hazelwood Power Station |publisher=Climate Strategies |date=November 2017 |url=https://climatestrategies.org/wp-content/uploads/2019/09/Prospects-Just-Transition-Australia_2017_FINAL.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{wiseman2017prospects, author = {Wiseman, John and Campbell, Stephanie and Green, Fergus}, title = {{Prospects for a “just transition” away from coal-fired power generation in Australia: Learning from the closure of the Hazelwood Power Station}}, institution = {Climate Strategies}, year = {2017}, month = nov, url = {https://climatestrategies.org/wp-content/uploads/2019/09/Prospects-Just-Transition-Australia_2017_FINAL.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }