Norway Aluminum Plant Secures Clean Energy Through 2031

One of Norway's largest aluminum plants just secured enough clean electricity to power operations for the next three years, marking a major win for both industrial jobs and climate progress.

Alcoa's Lista smelter signed two power agreements with Statkraft, Norway's renewable energy giant, guaranteeing 4.8 TWh of hydropower from 2028 through 2031. That's enough electricity to run the entire plant, which recently restarted its second production line and now produces 95,000 metric tonnes of aluminum annually.

The timing couldn't be better. Lista just completed a major expansion, bringing 31,000 metric tonnes of capacity back online after years offline. Without stable, affordable power, that milestone would mean nothing. Aluminum production is incredibly energy intensive, making power costs the difference between thriving and shutting down.

"Access to stable power is absolutely essential for taking the next step," says Tor Arne Berg, Operations Manager at Alcoa Lista. The plant employs over 1,000 people in Southern Norway, where industrial jobs anchor entire communities.

What makes this story remarkable is the source. Every kilowatt comes from renewable hydropower, proving heavy manufacturing doesn't need fossil fuels to compete globally. Statkraft generates more renewable energy than any other company in Europe, mostly from Norway's extensive hydropower network.

The Ripple Effect spreads beyond one factory. Alcoa is the latest of several major industrial companies signing long-term clean power deals with Statkraft this year. Each agreement sends a signal: manufacturers want predictable renewable energy at competitive prices, and Norway's grid delivers both.

"The demand confirms that the power market is functioning well and that we deliver competitive terms and power supply in line with industry needs," says Hallvard Granheim, Executive Vice President Markets at Statkraft. The company now provides stable electricity to multiple energy-hungry industries across Southwest Norway.

This matters globally because aluminum production typically carries a massive carbon footprint. Smelting aluminum using coal-fired electricity creates roughly four times more emissions than using hydropower. When European rolling mills, extrusion plants, and casthouses buy aluminum from Lista, they're getting a significantly greener product.

The agreements also prove that climate action and industrial jobs aren't enemies. Lista's workers get employment security while producing one of the world's cleanest aluminum supplies, showing the path forward for manufacturing worldwide.

Norway has transformed renewable energy from a nice-to-have into serious industrial infrastructure, and companies are lining up to plug in.