Aughinish Alumina exports to Russia threaten to overshadow Ireland's EU presidency

Even if the export of alumina to Russia is barred, there may still be a market for the raw material

Investigative reports have detailed how alumina is being sent to Russia, before being turned into aluminium and used to make weapons. File picture: Eamonn Farrell/RollingNews.ie

Ireland's presidency of the EU is well under way, following years of preparation by officials and ministers. Yet one issue threatens to derail it early.

That issue is the growing controversy surrounding Aughinish Alumina and its exports to Russia, with one Government source describing the situation as "not ideal timing".

Investigative reports have detailed how the alumina is being sent to Russia, before being turned into aluminium and used to make weapons.

The matter took centre stage in the European Parliament this week, just a day after Taoiseach Micheál Martin visited Strasbourg to outline Ireland’s priorities for its six months running the show.

Two groups of MEPs, the conservative European People’s Party (EPP) and the Socialists and Democrats (S&D), put down amendments to a report on Ukraine’s accession progress.

These amendments called for a total ban on exports of alumina to Russia. While not explicitly referring to Ireland or Aughinish, it was clear who the amendments were aimed at.

The amendments were passed through the parliament by a simple show of hands, with MEPs from Fine Gael, Sinn Féin, and Labour all backing the call.

While the vote itself is non-binding, with only the European Commission empowered to propose sanctions, it shows the EU is moving on the matter.

It may only be a matter of time before sanctions are suggested, with enterprise minister Peter Burke telling reporters on Friday morning that he cannot give assurances to workers at the plant about the future of their jobs.

Some Irish MEPs, however, appear convinced that even if the export of alumina to Russia is barred, there will be a market for the raw material within the EU.

Fine Gael’s Seán Kelly has highlighted how the EU is taking steps to establish a defence union and hike up spending across the bloc.

“There’s going to be more and more demand for any raw materials that help to build the necessary resources and that means aluminium should be more in demand,” Mr Kelly said.

But if the sanctions do arrive, and Aughinish sees its export lane to Russia cut off, there will be questions about what plant owners Rusal does next.

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The company, which Swedish authorities found was still under the control of sanctioned oligarch Oleg Deripaska, had warned that any sanctions levied against it would have implications for Ireland’s electricity and gas grids.

While the Government has said the prospect of nationalisation is not currently on the table, it will likely have to take some action to protect jobs at the plant.

The Government will hope it can keep its EU presidency on track amid all the turmoil surrounding Aughinish.

• Tadgh McNally, political reporter