THE DEBATE over emissions trading has shifted to focus on aluminium, as a new report show Australia’s smelters are lagging behind Africa’s in energy efficiency, and the unions warn of massive job losses.
The Climate Institute published a report comparing all the countries in the Organisation for Economic Cooperation and Development (OECD). In the report, Australia is the second most inefficient country for manufacturing, and has the third most energy-hungry economy. The United States and Canada take first and second place.
The Institute claims Australia needs a strong national energy efficiency strategy in place by 2015. Such a strategy would involve a swathe of policies on building and performance standards.
Ironically, some of the more modern aluminium smelters in Africa beat Australian smelters in terms of energy efficiency. Moving operations overseas may in fact result in less emissions and carbon leakage.
According to the Institute, Australian plants need to update their equipment and procedures to compete in efficiency.
The Australian Workers Union has also shifted its focus to the aluminium sector, warning 15,000 aluminium-related jobs could be shredded if the emissions trading scheme does not properly protect the industry.
The Union and its supporters want the government to give the key metals sectors reprieve from carbon trading. It is also suggesting the use of nuclear power to cut greenhouse gases.

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