The Australian Workers’ Union (AWU) has described a new agreement to support the future of the Tomago aluminium smelter as a significant outcome for Australian manufacturing, workers and sovereign industrial capability.
The joint federal and NSW government agreement, supported by long-term power purchase arrangements with Snowy Hydro, is intended to provide greater certainty for Tomago, which directly employs more than 1,000 workers and supports up to 5,000 additional jobs across the regional supply chain, according to the AWU.
In a news release, AWU National Secretary Paul Farrow said the agreement represented an important test for Australia’s manufacturing capacity.
“This is a watershed moment for Australian manufacturing,” Farrow said.
“Tomago was the ultimate test case for whether Australia is serious about remaining a nation that actually makes things.”
Farrow said maintaining domestic aluminium production was important to industries including construction, transport, defence and renewable energy, while arguing that Tomago’s electricity demand could also support investment in new renewable energy infrastructure.
“This agreement sets Tomago on a long-term path to becoming a global hub for green aluminium,” he said. “Australia can cut emissions while expanding its industrial strength – these things don’t have to be in tension.”
The AWU said Tomago’s continued operation would also provide greater certainty for workers and businesses across the Hunter region.
AWU NSW Branch Secretary Tony Callinan said the announcement would provide relief to workers and families affected by uncertainty surrounding the smelter’s future.
“For our members at Tomago and across the Hunter, today’s news is the best possible outcome,” Callinan said.
He said the outcome demonstrated what could be achieved through cooperation between governments, industry and workers.
“Tomago is the industrial heartbeat of the Hunter. It supports apprenticeships, skilled trades, and generations of families,” Callinan said.
The AWU welcomed the federal and NSW governments’ involvement in securing the agreement, describing it as support for manufacturing jobs and the Hunter region.
The union’s comments come as the agreement provides a longer-term framework for the Tomago smelter, with the arrangements aimed at addressing its electricity requirements while maintaining aluminium production in Australia.
