An aluminium boom in China is causing some concern for our future. After a year of negotiations Meridian Energy and New Zealand Aluminium Smelters have agreed to terms.

The two have settled on an electricity price for the next 17 years although there are get out clauses and options for NZAS to scale back its operation.

Mr Trevor Hobbs organizer EPMU Invercargill said that the Chinese are building 60 new smelters. Every smelter in the world will have to compete with Chinese aluminium over the coming decades.

Mr Trevor Hobbs said that the Tiwai smelter has one major feather in its cap, the fact it produces some of the most pure aluminium in the world.