The Australian government and Alcoa have made progress in negotiating funding for a 30-year-old aluminum refinery. The Australian government will provide financial support to Alcoa's refinery in Portland, southern Australia, to ensure full power supply. However, the details are still under discussion. The power cut at the end of last year led to the plant operating at only one-third of the annual capacity of 300,000 tons. Industry Minister Greg Hunt and Victorian Finance Minister Tim Pallas issued a joint statement saying that "the negotiations have made significant progress during the weekend and both parties have shown great willingness to find a way out for the future of this refinery." Alcoa and AGLEnergy, which is responsible for supplying the plant, also confirmed the progress of the negotiations but did not elaborate. About 700 employees are directly employed by the factory. Ben Davis, secretary of the Australian Trade Union in Victoria, said that negotiations are one of the signs that the plant is expected to continue operating. "I think Alcoa wants the refinery to continue operating," he said. "If you want to close the door, you can close it when you lose two-thirds of your capacity." Alcoa said it will continue to implement cost-saving measures at the plant, but its future will depend on its ability to maintain competitiveness in the international market. The rise in energy prices has put pressure on the plant, and the oversupply of the aluminum market has also brought shocks.
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