Dale Last announces launch of inquiry to turbocharge sugar cane industry

Officials in one of North Queensland’s sweetest industries have welcomed a push by the state government to turn their business into a powerhouse by generating alternative fuel sources.

BRISBANE, AUSTRALIA – NewsWire Photos MAY 1, 2025: Dale Last Queensland parliament sitting and Question time. Picture: NewsWire / John Gass

Officials in one of North Queensland’s sweetest industries have welcomed a push by the state government to turn their business into a powerhouse by generating alternative fuel sources.

Representatives of the sugar industry have welcomed the announcement that an inquiry will look at opportunities to expand the sugar cane industry into a bioenergy producer, and cut through red tape in order to make it happen, if feasible.

Canegrowers chief executive Dan Galligan said there was ample opportunity for cane growers and producers to diversify if the inquiry is successful.

“The potential to develop Queensland’s bioenergy sector presents an enormous opportunity for sugar cane growers,” Mr Galligan said.

“The bioenergy industry has the potential to diversify our already successful sugar sector and fortify rural and regional communities from Far North Queensland to the NSW border.”

Queensland Canegrowers CEO Dan Galligan. Picture: Brian Cassey

Acting Minister for Primary Industries Dale Last said the inquiry would be key to maximising the industry’s potential, as the state government looks ahead to 2030, where they aim to have grown Queensland’s wider primary production output to $30 billion.

“Sugar is our State’s number one agricultural export, contributing $4.4 billion annually to Queensland’s economy and supporting over 20,000 jobs across regional communities,” Mr Last said.

“Queensland is uniquely positioned with the scale, skills and natural advantage to lead the world in alternative fuels and value-added agriculture.

“This inquiry will shine a spotlight on the regulatory and legislative barriers to developing a bioenergy industry and identify the levers we can pull to support the sector’s growth.

“The recommendations from this Inquiry will help guide future policy decisions that support industry diversification and regional growth.”

According to Australian Sugar Manufacturers Chief Executive Ash Salardini, the potential benefits could go beyond the borders of sugar cane farms and plantations, with biofuels having the potential to help ease power prices.

“The sugar industry can be a powerhouse energy producer for Queensland, including through the production of biofuels and renewable baseload electricity,” Mr Salardini.

“The only way we are going to get there is with industry and government working hand in glove to capture these opportunities.

“A successful bioenergy agenda will help underpin investments in our manufacturing plants, making our factories some of the most efficient and reliable in making sugar and securing our international competitiveness for the next fifty years.”

The proposal to use sugar cane as a basis for biofuel production has previously been described by industry leaders and cane farmers as “very exciting” but has yet to hit full steam, despite previous government investment and construction near Charters Towers on purpose-built facilities, expected to be operational and producing Sustainable Aviation Fuel (SAF) by 2029.

The committee is expected to hand down its final report within the next year.

Originally published as Dale Last announces launch of inquiry to turbocharge sugar cane industry