Simmonds, Tiwai Smelter’s New Contract Ensures Stability for South

• Tiwai Aluminium Smelter’s new contract ensures economic stability for Invercargill and the South.
• The deal guarantees local employment and business confidence for the next 20 years.
• Environmental benefits are achieved with Tiwai’s efficient aluminium production.

The signing of Tiwai Aluminium Smelter’s 20-year contract with energy generators is a shot in the arm for the people of the South, Invercargill MP Penny Simmonds says. Related: Tiwai Point Secures Future with 20-Year Electricity Deal

“Tiwai is a major part of the economy in Invercargill and beyond – this is a great day for the people of the South.

“The successful negotiation of this contract gives us certainty in terms of local employment, house prices and business confidence – it really is a shot in the arm for the region.

“I’m delighted for Tiwai’s staff, for their contractors and for the hundreds of Southlanders who rely on the smelter for employment, that a secure future is now ahead of them.

“Of course, the decision reaches even further across the community because Tiwai is such a strong supporter of the South – providing sponsorship and funding for many local groups, schools and organisations.

“I am delighted to know that they will be around to continue positively partnering with our community over the next two decades.

“Ensuring Tiwai’s continued operation in the South, alongside a positive outcome for the environment and on-going energy supply are what everyone was hoping for – we now have all of those things lined up.

“Tiwai management has also confirmed to me that they are committed to continuing remediation of the contaminants on-site going forward.

“Further, the guarantee of energy supply, one of the conditions of this contract with Meridian Energy, Contact Energy, and Mercury NZ, which will see the smelter dial down a potline when electricity generation is tight – providing up to 185MW of demand response, is a hugely positive outcome.

“This will provide 20 percent of what the Onslow pumped hydro scheme would have done – without the $17billion price tag.

“From an environmental perspective, this decision is also hugely positive.

“Tiwai produces some of the purest, most carbon-efficient aluminium manufacturer in the world. To see that production remain in the South and not be undertaken by less efficient aluminium producers elsewhere in the world, is a great outcome for the environment and for the planet.”