Covering Kentucky

Feb 2, 2013 10:02 PM

Second Smelter Files Notice To Shut Down

SEBREE, Ky. (AP) - Another western Kentucky aluminum smelter has given notice that it intends to shut down in a year in a dispute over increasing electric rates.

Media reported the Rio Tinto Alcan aluminum smelter in Sebree gave notice Friday of its intention to follow the lead of Century Aluminum in Hawesville. Century filed its notice in August.

The notice from Rio Tinto Alcan comes as Big Rivers Electric Corp. seeks a substantial rate increase citing the impending loss of Century - its biggest customer.

Rio Tinto Alcan spokesman Kenny Barkley said Big Rivers is seeking a rate increase from $50 per megawatt now to $60 per megawatt, and that rate isn't sustainable. The smelter has 488 employees.

(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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