By NOEL MURPHY
THE impending closure of Alcoa’s Anglesea power plant and loss of 85 jobs is set to rock Surf Coast Shire’s economy.
The coal mine and power station make “a substantial contribution” to the shire economy, according to council, which will suffer without alternative operations taking its place.
Alcoa put its annual input to the economy at more $17 million, including employee wages and benefits, local procurement, rates, royalties and community investment grants. With a conservative multiplier factor of three, this suggests a loss of at least $50 million to the local economy a year.
This week’s announcement of an August closure surprised staff and locals but thrilled anti-coal activists who have run a lengthy and controversial campaign demanding the plant’s shutdown.
The power plant’s demise follows last year’s closure of Alcoa’s Point Henry smelter at Geelong – with the loss of 800 jobs – and an unsuccessful attempt to sell the facility.
Alcoa has stumped up $5 million for a Geelong Region Innovation and Investment Fund to help job creation projects in the wake of its withdrawal from the region. The company has also provided $4 million to ongoing skills and training programs for staff.
Alcoa has also for decades been one of the region’s strongest charitable sponsors.
Give Where You Live chief Bill Mithen said last year’s exit from Geelong meant an immediate $250,000 loss, rising to $500,000 in contributions at a time when community demand for help had doubled on the previous year.
Alcoa Australia boss Alan Cransberg said the company would explore “how best to assist our Anglesea community partners”.
Surf Coast Shire had lobbied for the Anglesea plant’s closure despite its economic importance, citing similar concerns to Surf Coast Air Action group about sulphur dioxide and particulates impacting public health.
A recent Harvard study put the annual health cost of the Anglesea plant at $170 million, which Alcoa said was based on many variables and assumptions and speculative at best.
Industry Minister Lily D’Ambrosia said State Government would “ ensure all assistance” was “provided during this difficult time” and instigate discussions with Alcoa about rehabilitating the site.
Surf Coast Air Action said the closure showed “coal-impacted communities can achieve big things when they work together”.
“While we are delighted that the redundant facility will finally close we are also very mindful about the remaining workers and call upon Alcoa to make sure that those who don’t wish to take a redundancy package are deployed onto the massive rehabilitation task,” spokesman Andrew Laird said.
