June 26, 2024
Origin Energy and Centennial Coal have struck a deal for a six-month extension for Myuna and Mandalong coal mines to supply coal to Eraring Power Station, providing short-term relief from the prospect of imminent job losses.
Workers at Myuna and Mandalong underground coal mines at NSW’s Lake Macquarie are hopeful their jobs will continue for the life of the power station with a longer contract.
Northern Mining and NSW Energy District President Robin Williams congratulated workers and said that this progress would not have happened without the effort and support of the community, and that the announcement is a step in the right direction.
“While the future remains uncertain, workers are hopeful that a longer-term arrangement can be reached particularly when you consider that Origin Energy have the security to operate for the next three years,” he said.
In May the NSW Government and Origin Energy struck a deal to extend the operating life of Eraring Power Station until 2027 which was initially slated by Origin to close next year.
The intervention by the NSW Government is not an upfront payment, but rather a commitment to cover up to 80% of any losses incurred for the next two years and if the plant operates at a profit the state will share in a portion.
“There are around 1,000 workers at Myuna and Mandalong coal mine who have welcomed the additional six months of certainty which will allow more time to plan what comes next and see where the jobs of the future could be.
“Now that that Origin has government backing for Eraring to continue operating, we believe they have the opportunity to do more.
“Origin should support the community that has hosted Eraring Power Station for over four decades by committing to purchase coal from the local mines that exist to supply the power station for as long as the station operates.”