Solar Value Chain and Workers: Supporting a just transition in Australia by strengthening human rights due diligence

Abstract

A just transition requires climate measures to be implemented in a way that engages and protects affected and vulnerable people and communities. However, due to the prevalence of modern slavery in global renewable energy supply chains, including evidence of people in China’s Xinjiang Uyghur Autonomous Region being subjected to state-sanctioned forced labour at various stages of the solar supply chain, the transition to net zero is currently unjust. This paper examines whether Human Rights Due Diligence (HRDD) can be strengthened in Australia to better protect workers in solar value chains, and thus, more effectively support a just transition. By considering a case study of one of Australia’s most prominent energy companies, AGL Energy Limited, this paper highlights the gaps in stakeholder engagement and in the identification of a broad range of human rights and environmental risks and impacts along the value chain. This case study also highlights the limitations of HRDD to protect rightsholders located in places with state-sanctioned forced labour programmes. The paper contends that for Australia to credibly position itself as a global leader in addressing modern slavery while advancing its transition to net zero, this aspiration must be underpinned by substantive legislative reform and enhanced regulatory measures to effectively support a just transition.