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Aluminium Smelter's Future Secured in $200m Lifeline

The package includes a new five-year power deal and aims to protect 550 direct jobs, officials said.

  • On Thursday, the Tasmanian and federal governments announced a $200 million joint support package for Bell Bay Aluminium, securing the smelter's operations through 2031 alongside a new five-year power deal.
  • Negotiations stalled for months over a $60 million annual price gap between owner Rio Tinto and state-owned Hydro Tasmania, threatening closure of the smelter that consumes over 25 per cent of Tasmania's electricity.
  • State Energy Minister Nick Duigan confirmed the package secures 550 direct jobs in Northern Tasmania and generates $5 billion in economic activity over five years. He called the electricity price "globally competitive."
  • Prime Minister Anthony Albanese said the funding supports local manufacturing and national sovereignty, while Tasmanian Premier Jeremy Rockliff stated the investment provides "certainty for the supply chain" for regional businesses.
  • The Australian Aluminium Council welcomed the deal as "a new era dawning for Tasmania," while a future regional industry strategy remains in development to strengthen the nation's manufacturing base.
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19 Articles

Sydney Morning HeraldSydney Morning Herald
+3 Reposted by 3 other sources
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Government lifeline saves hundreds of smelter jobs

Federal and state governments have forked out $200m to keep the Bell Bay aluminium smelter open until 2031.

·North Sydney, Australia
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PerthNowPerthNow
+2 Reposted by 2 other sources
Center

Aluminium smelter's future secured in $200m lifeline

The immediate future of one of Australia's big four aluminium smelters has been secured by a government support package following months of uncertainty.

·Osborne Park, Australia
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The Examiner broke the news in Launceston, Australia on Wednesday, September 30, 2026.
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