Biofuels mandate powers sustainable future

The Queensland Parliament has passed legislation requiring fuel sellers to meet targets for the sale of ethanol-blended petrol and bio-based diesel.

Minister for Energy and Water Supply Mark Bailey said the mandates established under the Liquid Fuel Supply (Ethanol and Other Biofuels Mandate) Amendment Act 2015 would help Queensland transition to a clean energy economy, grow the biofuels and bio-manufacturing sectors and boost jobs across the industry, especially in regional Queensland.

“The Bill passed by Parliament includes an initial three per cent ethanol mandate for petrol and a half a per cent bio-based diesel mandate with both due to start on 1 January 2017,” Mr Bailey said.

“These mandates will stimulate economic growth and jobs and encourage investment in the biofuels and bio-manufacturing industries, while maintaining consumer choice.

“In practical terms, the mandate will require E10 to make up 30 per cent of regular petrol sales in Queensland in 2017.”

A joint Deloitte Access Economics/QUT study predicts bio-refining in all its forms could contribute more than $1.8 billion in gross state product to Queensland and create up to 6,640 jobs over the next 20 years.

“New types of bio-based fuels that may be developed in the future will also count toward the mandate, further helping to stimulate investment and innovations in Queensland’s biotechnology sector,” he said.

“That will diversify our economy, help create of regional jobs and new, high value knowledge-intensive industries.

“Regular unleaded petrol will still be available for those who can’t or don’t want to use ethanol fuels.”

Mr Bailey said the Queensland Government would undertake a comprehensive public education campaign ahead of the mandate’s planned commencement.

“We want to ensure that motorists understand their fuel choices and the benefits provided by biofuels such as ethanol, and that industry also understands its role,” Mr Bailey said.

“A fuel sellers register will be established to allow the Government to track the sales of biofuels and monitor the performance of fuel sellers in meeting the minimum sales requirements.

“The government recognises that some fuel retailers will need time to fully adjust to the mandate requirements and to make infrastructure changes in order to sell E10 and there is flexibility to accommodate those adjustments.

“We will continue to engage with industry, as we have done throughout this process, to ensure they are fully informed about the biofuels mandate and ready to sell biofuels.”

Further information about the biofuels mandate is available on the Department of Energy and Water Supply website – www.dews.qld.gov.au 

ENDS

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                                 Alex Chamberlain – 3719 7316, 0406 544 142