Australian Prime Minister Allocates $1.2 Billion for Green Aluminium Production

Key Takeaways

Investment of $1.2 billion to promote renewable aluminium production.
Compensation for aluminium smelters using renewable energy.
Goal to achieve 82% renewable electricity by 2030.
Tomago Aluminium aims for nearly 100% renewable energy by 2029.
Renewable energy is a key policy for the upcoming elections.

Canberra, Jan 20 (NationPress) Australia's Prime Minister Anthony Albanese revealed on Monday a plan worth 2 billion Australian dollars (approximately 1.24 billion US dollars) aimed at encouraging aluminium smelters to shift towards renewable energy. This funding will support a program that compensates aluminium producers for each ton of metal created using renewable electricity over a decade, running until 2036, as reported by Xinhua news agency.

Albanese emphasized that investing in the domestic aluminium sector represents a significant opportunity to generate employment and prepare Australia for the future.

“We possess the resources, the workforce, and the expertise — the only thing we lack is time to squander,” Albanese stated. “We are constructing Australia’s future, rather than regressing.”

The initiative was introduced at the Tomago Aluminium smelter, which is Australia’s leading aluminium producer and the largest electricity consumer in the country.

As per Tomago, the company represents 10% of all electricity usage in New South Wales, Australia’s most populous region, with electricity costs accounting for roughly 40% of its expenditure.

In 2021, Tomago declared its ambition to transition to nearly 100% renewable energy by 2029, but CEO Jerome Dozol mentioned last November that this target was not feasible.

The Australian Prime Minister has prioritized renewable energy as a central policy ahead of the 2025 general election, which is set to occur by May.

His Labor Party government aims for 82% of Australia’s electricity to come from renewable sources by 2030.