Australian government pledges $1.24 billion in green aluminium push

20/1/2025 11:29

Australia's Labor government on Monday pledged A$2 billion ($1.24 billion) in production credits to help support the country's four aluminium smelters switch to renewable power before 2036.



Aluminium is one of the most polluting nonferrous metals to make, as its current production is mostly powered by coal. Green aluminium usually refers to metal produced using solar, wind or hydropower.



The country's four aluminium smelters are run by Rio Tinto and Alcoa.



Prime Minister Anthony Albanese, in his latest election pitch, said the smelters would receive government support for each metric ton of low-carbon aluminium they produce. His centre-left government has made renewable energy a major theme ahead of a national election, which must be called by May.



The Australian government is targeting 82% of power supply to come from renewables by 2030, but remains well short of the target, at 40% now, even after pledging to underwrite new wind, solar and battery projects with more than A$40 billion.