The Australian federal and New South Wales governments committed A$2.5 billion (US$1.76 billion) to the Rio Tinto-owned Tomago aluminium smelter. This funding prevents the facility's closure when its current power contract expires in 2028.
The agreement supports 3 gigawatts of new power generation for Australia's largest electricity consumer. The Tomago joint venture will invest at least A$1.1 billion back into the facility.
This investment includes A$100 million specifically for decarbonization efforts. The smelter aims to transition to 100% renewable energy by 2033.