Rural and regional NSW electricity supply disruption risk from ETU-driven industrial action

UPDATE ON:

• Potential risks to the operation of Essential Energy’s electricity network from protected industrial action planned by the Electrical Trades Union (ETU)
• Steps we are taking to mitigate the impact for our more than 875,000 customers across rural and regional NSW and parts of southern QLD.

Potential industrial action

Following approval by the Fair Work Commission of the ETU’s application for a Protected Action Ballot Order, a ballot of ETU members on whether they approve the taking of industrial action closed on 4 November 2021, with members voting in favour of industrial action.

On 11 November 2021, Essential Energy received notices from the ETU of their intention to take industrial action effective from 17 November 2021. The ETU notification cited twenty different actions that may be taken, including a one-hour and 15-minute stoppage from 9:00-10:16am on 17 November 2021.

In addition to the defined work stoppage there are a range of other indefinite or periodic bans in place. These include limitations on:

• Travelling outside normal working hours.
• Use of a specified range of information technology programs and applications.
• Certifying and inspecting Accredited Service Providers (ASPs) designs and projects.
• Verification of life support customers for planned outages.
• Field staff switching – meaning that power will not be switched off, preventing certain planned works from going ahead.

The ETU industrial action notice also includes a number of indefinite actions requesting that employees undertake a range of communications activities including distributing ETU/CEPU industrial campaign-related material to members of the public and Essential Energy staff; and employees providing their views concerning industrial action with members of the community and media.

Some of the cited actions include a Safety Commitment, whereby relevant employees will be ready, willing and able to perform unplanned work that, if not performed imminently, would create a serious and imminent threat to human life.

It is regrettable that the ETU’s proposed industrial action coincides with the early phase of bushfire season and threatens to extend through the peak summer period. It also comes as our rural and regional communities seek to recover from the detrimental impacts of the COVID-19 pandemic.

Steps to mitigate network risks

Essential Energy has developed plans designed to ease the impact of industrial action for our residential and business customers, with the health, safety and wellbeing of our employees, customers and regional communities the priority. We have reprioritised planned work to ensure urgent and critical work can be performed and to mitigate the risk of fault and emergency work not being responded to in a timely and safe manner. We do expect unavoidable disruptions which could adversely impact the network and the time taken to restore power to customers during an unplanned outage.

Enterprise Agreement negotiations

The industrial action by the ETU comes after months of negotiations on Essential Energy’s 2021 Enterprise Agreement. The ETU and other unions continue to pursue more than 50 individual claims which, if fully implemented, would increase costs by more than 10 per cent.

Essential Energy’s offer to employees includes a 7.5% increase to wages and allowances over the next three years, plus a 0.75% increase through improvements to conditions. The offer includes no loss of employment conditions, with every element representing an overall improvement on the conditions in the 2018 Agreement. The combined unions have rejected this offer.

Last month employees participated in an enterprise agreement ballot. 75 per cent of employees who voted in the ballot rejected the offer. We have reiterated to the unions our intention to provide fair and reasonable outcomes for our employees, customers and shareholders under the Enterprise Agreement. Essential Energy remains committed to ensuring a modern Enterprise Agreement that reflects the needs of employees while meeting our communities’ expectations for a safe, reliable and affordable supply of electricity and will continue to bargain in good faith with the ETU and other unions to achieve an acceptable outcome.

As we enter this uncertain period, please be assured that the safety of our customers, employees, ASPs, contractors and the wider community remains the number one priority for Essential Energy and we will be working to mitigate the impact of the ETU’s planned industrial action where we can. We will continue to update you on relevant developments as they occur.

What do you need to do?

• Communicate this information to relevant members of your organisation.

Further Information

If you need further information, please email aspinfo@essentialenergy.com.au.