Feedstock waste becomes renewable diesel in Australian first

An energy company plans to transform feedstock waste into renewable diesel and bio-jet fuel with technology never before used in Australia.

Fuel-efficient: AgBioEn program director Lubey Lozevski with tomatoes grown under lights in a glasshouse at Katunga Fresh which will be powered by electricity from a new biofuel plant. Picture: Dannika Bonser

A RENEWABLE energy company is about to become the first in Australia to use specialised technology to produce renewable biofuels on a commercial scale.

By 2023 the company’s plant is expected to produce 150 million litres of renewable diesel and bio-jet fuel for commercial sale annually, with the first fuel expected to be produced by next June.

AgBioEn plans to build a plant at Katunga that will transform feedstock waste into renewable diesel and bio-jet fuel.

The feedstock will be sourced from land AgBioEn plans to lease, buy and share-farm to crop for fuel production, as well as provide grain and animal feed to the agricultural market.

Program director Lubey Lozevski said the renewable fuels would cut carbon emissions by 50 per cent compared with fossil fuels and would leave “almost no waste products”.

“It’s all about reducing emissions and turning every available resource into a revenue stream,” he said.

Under the process, carbon dioxide is captured and liquefied.

Similarly, oxidised bio-char or ash is produced for fertiliser.

AgBioEn investor Charles Hunting said the project aimed to establish a carbon-negative supply chain.

“All of the biomass that we’re creating actually absorbs carbon as it grows, whereas fossil fuels absorbed the carbon billions of years ago and it has absolutely no value for us today,” Mr Hunting said.

AgBioEn said it aimed to create more than 1000 jobs in the Goulburn Valley.

“The intent is to have all local employees in the facility,” Mr Lozevski said.

The company also plans to establish 40ha of glasshouses in Katunga, run on renewable fuel and energy, with the help of local tomato grower and agricultural investor Peter Vandengoor, from Katunga Fresh produce.