Alcoa Plays Offense in Fee Dispute

Local aluminum manufacturer Alcoa reiterated its threat Wednesday to pull out of the Lowcountry if the major employer doesn't get a break on its power bill with Santee Cooper.

The company invited media outlets out to the Mt. Holly site to discuss the economic impact of the facility. ABC News 4 reports that 600 jobs are on the line.

The Post and Courier broke down some more numbers offered by Alcoa: the plant supports 4,000 jobs in the state at an average pay of $91,000 a year, providing $110 million in state and local revenue.

Last month, with its concern about a rate hike.

Santee Cooper spokeswoman Laura Varn told Patch on Wednesday that the power supplier is continuing negotiations with the company and that there is plenty of time to reach a solution.

The current contract runs through December 2015. Alcoa has until next June to give notice that it won't renew the contract.

Local plant manager Mike Rosseau told the Post and Courier last month that its hard to transfer an increased cost for production into the sale price for the aluminum.

"The price is pretty well set, and it becomes difficult to pass costs, such as price increases with electricity, on to our customers," he said. "We just have no way to do that."

According to its website, the 6,500-acre local Alcoa site produces 235,000 tons of aluminum product every year. It would seem odd to see the company leave what it calls "the most advanced plant of its kind in the United States, a pacesetter in production efficiency, energy utilization and environmental protection."