Smelter asks to be exempt from target to avoid job cuts

BOYNE Smelters Ltd has asked to be made exempt from paying $25 million a year under the Federal Government's Renewable Energy Target, or it has said more jobs will be slashed.

The RET is under review to consider its contribution in reducing emissions, its impact on electricity prices and energy markets, and its costs and benefits for the manufacturing sector and Australian households.

But in a submission to the RET review, Boyne Smelter Ltd general manager Joe Rea said BSL could not afford to continue to pay the subsidy.

"Manufacturing aluminium is highly electricity intensive and, as such, is highly exposed to the cost of the Renewable Energy Target," he said.

"Indeed, after the current partial exemption the RET still costs BSL around $25 million per annum."

He urged the panel to support a 100% exemption from the RET on the most exposed manufacturing industries such as aluminium smelting, as the owners of the globally traded commodity had no ability to pass costs through to customers.

"The continuation of these RET costs can only be offset by further reducing workforce and reducing capital expenditure."

Submissions are due on Friday.



MEGA GALLERY: Hundreds flock to 2021 Stanthorpe Rodeo

Premium Content MEGA GALLERY: Hundreds flock to 2021 Stanthorpe Rodeo

PHOTOS: A little rain didn’t deter eager rodeo enthusiasts from heading to check...

SHOCK TREND: ‘Wrong sex’ bubs aborted

Premium Content SHOCK TREND: ‘Wrong sex’ bubs aborted

Qld parents are aborting babies that are not their preferred gender

Huge crowds put Warwick’s Scottish heritage on the map

Premium Content Huge crowds put Warwick’s Scottish heritage on the map

Bagpipes, westies and more: Catch all the fun from Warwick Caledonian Society’s...