Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex

News : Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

New Zealand PM Seeks 3-5 Year Delay in Smelter Closure

09/27/2020 | 05:01pm EST

By Stephen Wright

WELLINGTON, New Zealand--New Zealand Prime Minister Jacinda Ardern has promised her government will negotiate a three- to five-year delay in the closure of Rio Tinto's Tiwai Point aluminum smelter, as she campaigns for reelection.

Rio Tinto Ltd. has said New Zealand's sole aluminum smelter is not economically viable and plans to close it in August 2021, jeopardizing several thousand jobs in the Southland region where it is located. The smelter consumes about 13% of New Zealand's electricity.

Delaying the smelter's closure would allow more time for the region to develop new industries, Ms. Ardern said Monday.

Ms. Ardern's governing center-left Labour Party has a substantial lead in opinion polls ahead of the national vote on Oct. 17.

Negotiations with Rio Tinto would focus on maintaining the smelter's workforce, eventual remediation of the smelter site and lowering the price it pays for transmission of electricity from the nearby Manapouri hydro dam, Ms. Ardern said.

Rio Tinto has argued it is paying too much for electricity transmission and subsidizing other industrial users given its proximity to Manapouri, which is operated by Meridian Energy Ltd.

Ms. Ardern said the government could provide support to state-owned electricity grid operator Transpower Ltd., which would allow it reduce the smelter's bill without passing the cost to other power consumers.

 

Write to Stephen Wright at stephen.wright@wsj.com

 

Stocks mentioned in the article
ChangeLast1st jan.
CONTACT ENERGY LIMITED -1.44% 9.55 End-of-day quote.7.18%
GENESIS ENERGY LIMITED -1.07% 3.7 End-of-day quote.2.07%
INFRATIL LIMITED -1.65% 7.16 End-of-day quote.-1.92%
MERCURY NZ LIMITED -2.54% 6.92 End-of-day quote.5.97%
MERIDIAN ENERGY LIMITED -0.88% 7.87 End-of-day quote.6.06%
RIO TINTO GROUP 0.72% 120.52 End-of-day quote.5.88%
RIO TINTO PLC -3.03% 5946 Delayed Quote.8.70%
SILVER 0.11% 24.812 Delayed Quote.-2.98%
TRUSTPOWER LIMITED 3.05% 8.78 End-of-day quote.11.14%
Latest news "Economy & Forex"
05:58pCENTRAL PEOPLE GOVERNMENT OF PEOPLE RE : China's postal industry sees business volume surge in 2020
PU
05:52pJanet Yellen to say U.S. does not seek weaker dollar, Wall Street Journal reports
RE
05:44pTreasury nominee Janet Yellen to say U.S. does not seek weaker dollar - WSJ
RE
04:39pINTEL : Exclusive-Trump admin slams China's Huawei, halting shipments from Intel, others -sources
RE
03:35pGitHub apologizes for firing Jewish employee who warned of Nazis in U.S. Capitol -TechCrunch
RE
03:35pSome users report broadcasting problems with CBS, other television service providers
RE
03:26pMSC MEDITERRANEAN SHIPPING : New Zealand's Apple Exporting Season Returns – Get On Board with MSC
PU
02:34pVeolia says that the 29.9% it owns in suez's capital is not and will not be for sale - statement
RE
01:58pFrance reports 16,642 new confirmed covid-19 cases in past 24 hours, from 21,406 on saturday - public health authority
RE
01:56pFrance reports 141 new coronavirus deaths on sunday - health authority
RE
Latest news "Economy & Forex"