Business leaders across the Hunter region are raising urgent concerns about the future of Tomago Aluminium, warning that the potential closure of Australia's largest aluminium smelter could trigger an economic catastrophe for New South Wales.
The Heartbeat of Hunter Industry
Located just north of Newcastle, Tomago Aluminium isn't just another industrial facility - it's the economic powerhouse that supports thousands of jobs and generates billions in economic activity throughout the region. As one of the Hunter's largest employers and energy consumers, its fate has become a bellwether for the entire manufacturing sector.
Domino Effect Feared
Hunter Business Chamber CEO Bob Hawes didn't mince words when describing the potential fallout. "We're talking about a domino effect that would ripple through our entire economy," he stated. "This isn't just about the 1,000 direct jobs at the smelter - it's about the thousands more in supply chains, service industries, and local businesses that depend on Tomago's operations."
The chamber's recent survey reveals growing anxiety among local enterprises, with many describing the smelter as "critical infrastructure" for the Hunter's economic ecosystem.
Energy Policy Paralysis
At the core of the crisis lies Australia's ongoing energy policy challenges. Tomago Aluminium requires massive amounts of reliable, affordable electricity to operate its potlines 24/7. With energy costs soaring and reliability concerns mounting, the smelter's future has become increasingly uncertain.
What's at Stake?
- Approximately 1,000 direct jobs at the smelter
- Thousands more indirect jobs across supply chains
- Billions in economic activity throughout NSW
- Australia's position in global aluminium markets
- Critical industrial infrastructure
A Call for Certainty
Business leaders are urging state and federal governments to provide clear energy policy direction and ensure the smelter remains viable. "We need certainty," emphasised Hawes. "Without a clear path forward for reliable, affordable energy, we risk losing not just Tomago but our entire manufacturing base."
The situation has become so critical that some are describing it as a defining moment for Australian industry - one that will determine whether the country maintains its manufacturing capabilities or continues to offshore its industrial base.
The message from Hunter businesses is clear: Tomago Aluminium isn't just another factory - it's the cornerstone of regional prosperity, and its survival matters to every Australian who cares about local jobs and economic sovereignty.