“Borderline” Shell refinery highlights competitiveness issues

The potential closure of Royal Dutch Shell’s Geelong refinery – which its management admits is “borderline” – highlights competitiveness difficulties including the carbon tax, reports the Australian Financial Review.

The Shell refinery is struggling to survive, for reasons including its age, size, and other issues.Victorian Premier Ted Baillieu told the AFR that  “There is… an issue about being competitive.

“It’s issues around the cost of energy, it’s around the cost of, obviously, carbon tax, and it’s around the cost of construction – and those issues are important issues, it’s why we have continued to raise them.”

The Victorian government is assisting the Geelong region, whose big employers include manufacturers such as Shell, the Point Henry Alcoa aluminium smelter, and Ford.

 

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