A. Project Context
Sponsor
HR Director, SPG
Manager
Workforce Transition Lead
Participating Organisations
Southern Power Generation Sdn Bhd, Group HR
Asset / Location
Selatan Coal Power Station
Reason for Action
Prepare workforce for long-term decarbonisation pathway and potential future transition
B. Baseline
Current Situation
No formal reskilling programme exists; workforce skills concentrated in coal operations
Baseline Date
2025-06-01
Baseline Metrics
Workforce skills inventory, attrition rate
Data Quality
estimated
Counterfactual
Without intervention, workforce faces abrupt disruption if closure timeline accelerates
C. Objectives
Intended Change
Establish reskilling pathway and redeployment options for at-risk roles
Target
80% of at-risk workforce enrolled in reskilling by target date
Target Date
2028-06-01
Affected Stakeholders
Plant workforce, contractor workforce, local labour market
Expected Benefits
Reduced social risk, improved workforce resilience, stronger labour relations
D. Options
Alternatives Considered
Do nothing (rejected - reputational and labour relations risk), immediate redundancy programme (rejected - premature and socially damaging), phased reskilling (selected)
Do-Nothing Case
Workforce transition managed reactively at time of closure with higher social cost
Reason Selected
Phased approach allows proactive planning aligned with Just Transition principles
E. Cross-Pillar Effects Review Reviewed
Could solving this problem create a different environmental, social or governance problem?
Potential Trade-offs / Unintended Consequences
Reskilling investment increases near-term operating cost, to be weighed against long-term social risk reduction
F. Safeguards
Rights & Stakeholder Impacts
Aligned with ILO Just Transition Guidelines
Environmental Impacts
No material environmental impact
Community Impacts
Positive community impact through sustained local employment
Mitigation Measures
Union and worker consultation planned
Grievance Requirements
Existing grievance channel to be used for transition concerns
G. Business Case
Capital Cost
RM 1,200,000
Operating Cost
RM 400,000
Savings
—
Revenue
—
Avoided Cost
—
Funding Source
SPG operating budget
Risk Reduction
Reduces labour relations and reputational risk from future transition
Strategic Value
Demonstrates group commitment to Just Transition
H, I, J. Measurement, Evidence & Governance
See linked Metrics, Evidence, Stage Gates and Governance in the Project Workspace tab.
Go to Project Workspace