Local biofuels projects ramp up

The state’s two proposed biofuels projects, both slated for the Kwinana-Rockingham industrial area, are well into their advanced stages, with one due to commence construction later this year.

New South Wales-based Primary Energy is ready to start work on its $180 million 160 million litre ethanol plant in Kwinana, after receiving EPA board approval and state government consent in late July.

The plant will also produce aqueous ammonia, organic fertiliser, and up to 23 megawatts of electricity.

BP Australia has signed a memorandum of understanding with Primary Energy to purchase the entire output of the ethanol plant.

Osborne Park-based company Grainol is also well advanced with its $300 million, 190ML ethanol plant in the East Rockingham Industrial Area, which will use 500,000 tonnes of local wheat transported from the nearby Cooperative Bulk Handling facility.

In June, Grainol was granted major project facilitation status by the federal government, allowing it to receive assistance through the approvals process, as well as financial support from government programs.

Grainol is pursuing a second ethanol plant at Picton, also with the capacity to produce 190ML of ethanol annually.

Other producers with Perth head offices, including Sterling Biofuels Ltd, Mission Biofuels Ltd and Natural Fuel Ltd, have built their facilities overseas because of local government incentives and close proximity to feedstock.

Australian Renewable Fuels Ltd currently operates the state’s only industrial scale biofuels plant, in Picton, with a capacity of 45ML.