Representatives from across Australia's agriculture and fuel supply chain have urged the Federal Government to immediately initiate a national low-carbon liquid fuel feedstock strategy to give effect to the ambitious agenda outlined in the Federal Government Aviation White Paper released this week.
The industry groups include GrainGrowers, the Australian Sugar Milling Council (ASMC) and Queensland CANEGROWERS Ltd.
Low carbon liquid fuels have been identified as a priority industry under the Federal Government’s flagship Future Made in Australia program, and a core component for the future net-zero ambitions of the aviation industry.
As an agricultural powerhouse, Australia is uniquely positioned to be a global leader in the production of feedstock for low-carbon liquid fuels.
With its extensive agricultural resources, Australia has the capacity to produce significant quantities of feedstock. Producing low-carbon liquid fuels from this feedstock can play a key role in meeting national emissions reduction targets while simultaneously boosting rural economies.
“The Future Made in Australia program presents a once in a generation opportunity to develop a new low-carbon fuel industry underpinned by feedstock grown with our world leading sustainable farming practices” said Dan Galligan, CEO of Queensland CANEGROWERS.
The groups believe the development of a national strategy is crucial for turning Australia’s low carbon liquid fuel ambition into a tangible economic reality.
Industry leaders have called for a strategic and coordinated approach to help realise this potential. The proposed strategy would align government policies with industry capabilities, ensuring Australia not only meets its domestic energy needs but also emerges as a significant player in the global low-carbon fuel market.
“Sustainable aviation fuels provide an exciting diversification opportunity for the sugar industry, who can supply close to 10% of the domestic aviation fuel market through its byproducts alone.” said Ash Salardini, CEO of the ASMC.
Shona Gawel, CEO of GrainGrowers said a clear and unified strategy from the Australian Government would build on existing foundations for the development of the industry.
“Australia’s skills and experience in world leading grain and oilseed production practices offers a reliable and scalable lower carbon feedstock with established supply chains. Australia is one of the largest grain exporters in the world and grows an abundance of crops that can be used for low carbon liquid fuels such as canola and sorghum.”
The call by the industry groups for a national strategy recognises the need for government leadership to ensure Australia can provide a sustainable, consistent supply of raw materials necessary for producing low-carbon fuels.
“A coordinated effort between government and industry is essential to ensure we have the feedstock available to unlock the full potential of Australia’s agricultural supply chains to supply food, fibre and fuel domestically and to the world,” said Ash Salardini.
As the global demand for sustainable fuels continues to rise, Australia’s ability to lead in feedstock production could deliver significant economic and environmental benefits.
“A national feedstock strategy would not only support the country's emissions reduction goals but also position Australia as a key supplier in the global biofuels market, ensuring thousands more jobs within agriculture and regional communities” concluded Dan Galligan CEO of Queensland CANEGROWERS Ltd.