SA government funds outback jobs

The South Australian government will invest about $1 million to help create hundreds of jobs in regional and outback communities ahead of power station closures.

Alinta Energy says about 400 jobs will be lost when it shuts down its Port Augusta power stations and the Leigh Creek mine between March next year and March 2017.

In response Port Augusta, Leigh Creek and Whyalla will be given more than $250,000 each in state government job grants.

Manufacturing Minister Kyam Maher says the funding is the first step in the government's response to the Alinta closures, and other job losses in the upper Spencer Gulf and outback regions.

"I'll be asking the federal government and local councils to match our funding so this program can be expanded," Mr Maher said on Wednesday.

He said the funding for Leigh Creek was particularly important to ensure the town had a viable future.