Premier Coal workers back strike action in Western Australia as talks break down

Workers at Premier Coal in Collie have voted to take protected industrial action after talks over a final enterprise agreement broke down. The mine sits at the centre of Western Australia's coal supply chain and is the main supplier to Synergy's Muja and Collie power plants, about 200 kilometres south of Perth. The dispute comes as the state prepares to phase out coal-fired power by 2030.

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The vote followed failed negotiations on Wednesday morning, according to the Australian Manufacturing Workers' Union state secretary, Steve McCartney. Workers are seeking better pay and clearer terms on redundancies as part of the final agreement. Premier Coal is owned by Yancoal Australia, which is controlled by Chinese state-backed miner Yankuang Energy Group.

The mine operates in Collie in the state's South West. The Western Australia government said the industrial action should not affect electricity supplies because Synergy has already stockpiled coal. Union officials, however, warned that consumers should brace for possible grid disruption if the dispute becomes prolonged.

Workers are due to meet over the next two days to discuss possible dates and lengths for any stop-work action, with support reported for stoppages longer than 12 hours. The dispute has wider significance because Premier Coal is tied directly to the state's energy system at a time when coal generation is being wound down. The mine's output helps feed state-owned power plants that remain part of the grid while the transition continues.

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Any prolonged interruption would therefore be watched closely by households, industry and policymakers, even if immediate supply risks are said to be limited. The industrial unrest also comes after confirmation that taxpayers will help cover rehabilitation costs at the mine. The state government has also been pushing Premier Coal to merge with Indian-owned competitor Griffin Coal, adding another layer to the pressure around the sector.

Workers have recently picketed at the state parliament, calling for more clarity about the transition away from coal and the future of their jobs. What remains unclear is how long any stoppage could last and whether the parties can still reach a settlement before action begins. Yancoal Australia has been contacted for comment, but no response was included in the supplied material.

The key issue now is whether the stockpiled coal is enough to prevent disruption if the dispute escalates beyond short stoppages.

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