Commonwealth and NSW set to announce joint Tomago smelter bailout

The PM and NSW Premier are expected to announce a joint rescue package for the Tomago aluminium smelter, ending months of deadlock between Canberra and NSW over the deal's size and structure. NSW has already banked $1.1 billion in its 2026 budget. Tomago's AGL power contract expires December 2028, and Rio Tinto began staff consultations on the smelter's future in October 2025.