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Government Unveils Rescue to Keep Tomago Smelter Running Beyond 2028

Final terms are due in the new year under a concessional renewable power plan that includes at least A$1 billion from Tomago.

Overview

  • The federal government announced a rescue effort and said a long‑term, fixed‑price energy supply is being finalised to keep the smelter operating past the end of its 2028 contract.
  • Canberra and New South Wales will underwrite new renewable generation, storage and transmission and provide concessional finance to accelerate these projects.
  • Tomago has committed at least A$1 billion over the next decade for capital and major maintenance, including work to identify decarbonisation opportunities.
  • Officials framed the move as securing more than 1,000 jobs at a facility that produces roughly 40% of Australia’s aluminium and is the state’s largest electricity user.
  • Ministers have not disclosed the commercial terms or total taxpayer exposure, with a final agreement targeted for the new year.