The introduction of a biofuels mandate following a vote in the Queensland Parliament last night will provide a major boost to the State’s biofuel industry.
Biofuels Association of Australia CEO Gavin Hughes said the industry strongly supported the Government’s decision to introduce the mandate.
Under legislation passed in the parliament a 3 per cent ethanol mandate will be introduced in January 2017 along with a 0.5 per cent biodiesel mandate.
Mr Hughes said the legislation would provide the certainty the industry badly needed to not only secure its future but also generate growth and jobs.
“The introduction of a mandate for ethanol and biodiesel has been in discussion for almost a decade,” he said.
“This decision will ensure the industry can now develop over the coming years and expand boosting jobs in regional areas
“It will also provide a boost for the broader biofuels and emerging bio products industry.”
Mr Hughes said it should be remembered that this mandate will deliver cheaper fuels for Queenslanders.
“Our research indicates that more than 90 per cent of petrol vehicles on Queensland roads are compatible ethanol blended fuels,” he said.
“This mandate will return ethanol fuel volumes to a level already reached in 2010.”
Mr Hughes said the State Government has consulted thoroughly with stakeholders.
“We applaud the Government’s commitment to an industry which has great potential to deliver greater choice for motorists in Queensland,” he said.
“Motorists deserve to have the choice of a cleaner, cheaper, more environmentally friendly petrol blend.
“The 12-month phase in period also provides the time to ensure that it can be implemented smoothly.”
Mr Hughes said there had been a lot of discussion about the merits of a mandate, but little action for many years.
“This is a major step forward for the industry and we are confident that there is scope for it to meet these targets and beyond.
“The legislation will give the industry confidence to further invest and develop plants in the future.
“We also believe that motorists will support a product that is environmentally friendly and delivers more jobs for Queenslanders.”