There are some promising signs in Queensland following the introduction of mandate on January 1, however that is yet to flow through to the industry with supply contracts.

The Ecotech biodiesel plant, which is based just north of Brisbane, is only producing a fraction of its capacity.

The biodiesel sector has been hit by low oil prices and a major spike in feedstock prices which are key ingredients in the production process

This has made it very difficult to operate on a commercial basis.

Another plant at Barnawartha went into receivership 18 months ago and other plants have reduced production.

The cost of raw materials like used cooking oil and tallow jumped sharply 12 months ago with strong demand from Europe and the U.S where biofuels are strongly supported by government policy.

The biofuels mandate, which for diesel started at .05% this year, gave renewed hope to the industry in Queensland.

Biodiesel is blended with mineral diesel at 5% and known in the market as B5.

There have been some teething issues getting the supply moving again via oil companies which blend the fuel.

Hopefully, this will be resolved soon, so the plant can return to a commercial footing.

Biodiesel is an environmentally-friendly product which uses waste products, delivers lower carbon emissions and cuts pollution.

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The Queensland Government is reporting a 30% increase in demand for E10 in the sunshine state.

A lack of understanding on the benefits of E10 has held the industry back, but the Government’s education campaign has been a roaring a success.

More than 500,000 motorists have checked the Queensland Government website to see if their car is compatible – and that’s a game changer for the industry.

The E10 Ok campaign proves that there is a real interest in the biofuel.

If the industry can continue to grow then it will mean more jobs for regional Queensland.

The United Petroleum plant at Dalby is already moving to expand its plant.

The plant will undergo a $26 million expansion, with the help of the Queensland Government bio-futures incentive program.

The plant currently produces 76 million litres per year of ethanol from locally grown sorghum – the expansion will boost production to 100 million litres per year.

The project is expected to generate an extra 50 jobs and that proves that a growing industry can provide valuable employment opportunities in regional and rural areas.

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The NSW Government’s E10 Fuel for Thought education program launched early this year, along with the NRMA’S smartphone fuel app, My NRMA, had raised awareness of the benefits of filling up with E10 fuel and where to find the cheapest prices.

The Fuel for Thought campaign was launched recently by the NRMA and NSW Fair Trading to provide all the facts about using biofuels so that motorists could make informed decisions when filling up at the pump.

Mr Sutton said an article in the latest edition of the NRMA’s Open Road magazine points out that based on average petrol prices in the past six months, motorists could save around $500 in a year by filling up with E10.

The article also points out that if your car is compatible with E10 then there is no downside to using it.

This means that over 90 per cent of cars on the road today can run on E10 with no negative effect on their engines while reaping real benefits.

Mr Sutton said E10 is a higher grade fuel than regular and delivers value for money, reduces carbon emissions and helps lower pollution.

E10 has an octane rating of 94 while regular unleaded is rated at 91, which means the engine will run more cleanly and efficiently on E10.

The majority of vehicles manufactured after 1986 are compatible with E10 fuel, so by switching, motorists can help the environment and household budgets.

Using ethanol-based fuels also reduces reliance on foreign fuel and supports jobs in regional areas in NSW and Queensland where there are a number of processing plants.

The Queensland Government launched a similar campaign this year and already at least one plant has announced an expansion of its operations.

The simplest and quickest way to check for compatibility is to log onto the website, e10fuelforthought.nsw.gov.au and key in details of your car

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The NSW and Queensland Governments have not forced motorists to buy E10 or biodiesel, said BAA Chief Executive Officer, Mark Sutton.

“To claim that biofuel mandates are causing increased petrol prices is not supported by any hard evidence,” he said.

“Petrol prices are largely determined by international factors including the oil price – to suggest that a biofuel mandate which encourages motorists to buy E10 – a blended product – drives up fuel prices, is not accurate.”

The Federal Government via a review of the Fuel Quality Standards Act 2000 is looking to overhaul fuel to bring it in line with other countries around the world.

“Australia is lagging badly behind on standards for air quality and pollution threatening the health of all Australians.”

“If new standards are adopted ethanol can deliver a premium quality fuel at a 10 to 15 cent discount.”

The biofuel industry does create jobs particularly in Queensland where two ethanol plants are operating.

“The United Plant at Dalby is currently at capacity and is considering further expansion which will create jobs.”

“The Wilmar Plant at Sarina, near Mackay also supports the sugarcane industry which is currently facing challenging times following Cyclone Debbie.”

Mr Sutton said the Queensland Government’s mandate and current education campaign would drive a better understanding of the industry and boost demand.

“More than 400,000 people in Queensland have checked to see if their car is compatible with E10,” he said.

“This shows that there is real interest in the product, and through consumer choice motorists, can support the agriculture industry.”

Mr Sutton said the Federal Government had already made major changes to the grant programs for the biofuel sector and implemented a new excise regime.

“This legislation was supported by both sides of Parliament and reflects the communities support for the sector – any changes would threaten existing jobs and major investments.”

Mr Sutton said many overseas countries, including Brazil, the United States and Thailand along with Europe had sophisticated and well developed industries.

“These countries are getting the benefits, particularly in Agriculture, while Australia has a long way to go,” he said.

Mr Sutton said scientific evidence shows that biofuels delivers environmental benefits, is cost effective for motorists and has the potential to further boost employment.

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There are early signs that the Biofuels mandate in Queensland is driving interest in biofuels.

The industry had been held back by a lack of consumer understanding around the benefits of E10.

With more than 400,000 motorists already checking if their car is compatible with E10 it shows that there is real interest in the product.

While the mandate has only been in operation for three months, there are early signs of an uptick in demand.

Mr Sutton said the Queensland Government’s E10OK advertising campaign had been effective in educating motorists about the benefits.

An analysis by the RACQ indicated that 35.6 million litres of E10 was sold in October ahead of the January mandate.”

Queensland is the centre of the biofuels industry with two ethanol plants and a biodiesel plant located in the State.

The full benefits of biofuels include:

• Improves the air we breathe – e10 reduces hydrocarbon emissions by up to 30% and particulate emissions by up to a massive 50%. It is these emissions that can very detrimentally affect the health of people.

• E10 is better – The addition of 10% ethanol in regular unleaded petrol improves performance in engines as the fuel burns more completely. Ethanol is also a cleaning agent, keeping fuel systems clean and eliminating the need for expensive fuel additive packages.

• Contributes to energy security – A strong ethanol industry in Australia will help to address our almost total reliance on foreign oil.

• Consumer Choice – Ethanol Mandates ensure that all consumers will be able to buy an environmentally responsible fuel which provides superior engine performance.

• Will drive regional investments and jobs – creating new jobs in the renewable fuels industry and will support further capital investment in the biofuels industry in Australia.

• Great for the environment – E10 reduces greenhouse gas emissions by 3-7 per cent compared to regular unleaded petrol.

• Provides much-needed support for the agricultural industry – The Dalby Bio-Refinery buys 16,000 tonnes of sorghum per month at full capacity, underpinning grain prices on the Darling Downs. The Wilmar Plant at Sarina supports sugar-cane farmers.

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Chief Executive Officer, Mark Sutton, said E10 delivers many of the benefits of premium fuels without the premium price.

“We accept that there has been a spike in premium fuels, however we believe what is driving that trend is complex,” Mr Sutton said.

“The spike in premium fuel consumption has broadly tracked lower oil and fuel prices.

“E10 delivers a good bang for the buck, but many motorists are not aware that this is a modern fuel which they can use in their car.”

Mr Sutton said there was an urgent need for a major education campaign on the benefits of biofuels.

The Queensland Government has already launched a major education campaign prior to the introduction of a biofuels mandate on January 1, 2017.

“The research that underpinned that campaign shows many people were unaware about the benefits of biofuels,” Mr Sutton said.

“E10 is a higher grade fuel which delivers value for money, reduces carbon emissions and helps lower pollution.

“More than 200,000 motorists in Queensland have already checked online whether their car is compatible with E10.

“The vast majority of the current fleet is compatible and it is important that motorists get the facts.

“Australia ULP 91 contains high levels of sulphur – a cancer-causing chemical – which is well above international standards.

“If Australia followed suit and phased out high sulphur ULP 91, E10 would actually be classed as a premium fuel – without the price tag.

“NSW will soon roll-out its own education campaign and we believe that will drive more people to E10,” Mr Sutton said.

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That’s why the Queensland Government education campaign, recently launched in Brisbane is a key piece in driving demand for a sustainable fuel.

Many motorists are unclear whether they can use E10 even though it is compatible with the vast majority of vehicles.

It is great to see one of Australian motorsport’s leading touring car drivers, Mark Winterbottom as the face of the new campaign.

As a Supercars champion and Bathurst 1000 winner, Mark is very familiar with the cleaner burning fuel and its widespread use across the motor racing industry.

The introduction of a biofuels mandate by Queensland was a major step forward for the industry and a boost to the agricultural sector and regional jobs.

As Biofuels Minister, Mark Bailey pointed out at the launch, the biofuels industry is high tech and will encourage innovation and investment, protect agriculture and support knowledge-based jobs for the future.

The Government’s 12 months’ campaign will focus on the benefits of switching to the sustainable E10 fuel and make it easy for motorists to check the compatibility of the fuel with their vehicles.

Motorists may be surprised to learn that not only are many of today’s cars are compatible with the fuel, the engines are designed and built to run more cleanly on the blended fuel.

This can be done either by smart phone or by going online to the E10 OK website, where they can check either by registration number or make and model of their car.”

The vehicle compatibility checker can be found at www.qld.gov.au/e10ok

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In our modern world it world it is a surprise that more than a billion people don’t have that luxury.

An international program aimed at helping get those billion people living in the dark some light is gathering momentum.

The world director for this United Nations-backed sustainability for all program Dr Gerard Ostheimer will be the key note speaker at the Biofuels Association of Australia National Symposium on August 22 and 23 in Brisbane. Details including booking: http://biofuelsassociation.com.au/2016-symposium/information/

The SE4ALL program at it is known strives to achieve universal access for all, double the use of renewable energy and increase the rate of energy efficiency by 2030.

Dr Ostheimer has been at the forefront of sustainable energy programs – we are lucky to have him as our key-note speaker.

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While there is a long way to go, as James Wong from Car News reports it could have the same range as conventional petrol-powered cars around 600 kilometres.

It shows how versatile biofuels can be, particularly when the plan is for the bio-ethanol fuel-cell powered car to only produce water vapour and offer the silent driving experience of a “pure electric vehicle”.

Nissan’s e-Bio Fuel-Cell differs from more conventional hydrogen fuel-cell systems as it is able to utlise the existing bio-ethanol fuel infrastructure, negating the need to install hydrogen fuel stations.

The big plus is that the system will use a clean renewable energy source, rather than a coal-sourced power.

Nissan is reportedly looking to target countries which grow either large amounts of sugar-can like Australia – or sugarcane and corn such as North America, South America and Asia.

It is early days in the development process but worth watching the project develop.

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