Government, industry back low-carbon fuel production

The Australian Renewable Energy Agency (ARENA) with the support from industry partners including Qantas and Boeing is backing a project to fast-track commercial scale production of low carbon liquid fuel (LCLF).

Cyan Ventures, a specialist sustainability firm, has launched the Green Fuels Accelerator (GFA), which will provide tailored regulatory, technical, commercial and finance advisory support to de-risk projects and unlock domestic low carbon fuel supply.

Under the GFA, Cyan Ventures has selected its first seven Australian LCLF projects to fast-track toward financial close and commercial production.

The seven selected projects span conversion technologies and integrated feedstock-to-fuel facilities across Queensland, New South Wales and Western Australia.

"The benefit of a thriving domestic sustainable aviation fuel (SAF) industry is clear. What's missing is the targeted support to get early-stage projects across the line - the financing structures, the offtake agreements and the regulatory guidance that turns potential into production," Cyan Ventures managing partner Fraser Thompson said.

This week, Brisbane Airport has made SAF accessible via Viva Energy Australia's refurbished storage tank. The completion of the refurbishment was also achieved through the ARENA funding.

ARENA chief executive Darren Miller said: "Australia has the potential to manufacture our own low carbon liquid fuels. We have abundant feedstocks, strong research capability and growing demand from sectors like aviation. What's needed now is the support to help promising projects navigate the final steps to commercial scale."

"The Green Fuels Accelerator is about closing that gap and providing the targeted support needed to move projects from concept to construction and build Australia's resilience to fuel shocks," Miller added.

While some of the projects selected are converting non-food biomass and waste streams into bio-oil others are building blending terminal and large-scale refinery to carry out the production.