Centennial Coal (ASX: CEY) Cuts 200 Jobs Amid Rising Costs and Net Zero Push: What It Means for the Future of Australia’s Coal Industry

Labor MP Dan Repacholi can’t claim to support workers while continuing to back Labor’s push toward net zero emissions. The recent news of 200 job cuts at Centennial Coal’s (ASX: CEY) Mandalong mine is just the start of what’s to come for the coal industry under these policies. As Labor moves full steam ahead on its net zero agenda, coal jobs are at risk, and workers will be left behind.

Centennial Coal (ASX: CEY) announced the job cuts after failing to secure a new supply agreement with Origin Energy (ASX: ORG) for the Eraring power station, set to close by 2027. The state-imposed coal price cap of A$125 per tonne, combined with rising operational costs, higher royalties, and the federal government’s safeguard mechanism that imposes emission caps, made it nearly impossible for Centennial to maintain domestic supply contracts. Instead, the company is now shifting its focus to exporting thermal coal, a decision that has resulted in significant job losses.

While Repacholi remains loyal to the Labor Party, workers in industries like coal are bearing the brunt of policies aimed at reducing emissions. These job losses show the real impact of government regulations and emission caps on Australia’s energy sector. If Labor MPs like Repacholi truly cared about workers, they would push back against policies that are causing economic uncertainty and threatening livelihoods in coal-producing regions. Instead, as Labor advances toward net zero, more coal industry jobs are likely to vanish.