Gladstone alumina industry may go offshore with government’s 50% renewable energy target: opposition

According to Senator Matt Canavan, Labor & Green government's 50 percent renewable energy target by 2030 would close the alumina refinery and smelter and send the industry off shore. The Liberal National Party senator said the only way Labor could achieve those targets would be to get the major producers to buy the more expensive renewable energy.

Aluminium smelters such as BSL and alumina refineries like Queensland Alumina Limited and Rio Tinto Yarwun are exempt from the renewable energy targets. The Australian Government increased the exemption to 100 percent in 2015 to "ease pressure on business" and "improve the competitiveness of Australian industry" the Clean Energy Regulator website reads.

"(But) If (those industries) have to come back into renewable energy, buy renewable energy, they will be out of business here and be all off shore," Mr Canavan said.

Following the redundancies, believed to be about 200 at Rio Tinto Yarwun last week, MP Ken O’Dowd said he hoped the job cuts stopped there.

He said until the oversupply in the aluminium market created by Chinese produces, which make 50 percent of the world's aluminium, Australian suppliers would continue to feel the pinch of low prices.