Australian Kick Start for Biofuels

Late last month the Australian Prime Minister, John Howard, released the findings of the Biofuels Taskforce. This Taskforce was commissioned in May of this year to examine the latest evidence on the impacts and benefits of ethanol and other biofuels.

Amongst the Taskforce’s findings were:

  • potentially significantly greater health benefits from ethanol use than previously thought; and
  • greenhouse and regional benefits which are similar to previous research undertaken.

Mr Howard reaffirmed the Government’s commitment to achieving the target of at least 350 ML biofuel production by 2010.

“In a world of high oil and petrol prices, it is important that unnecessary barriers preventing the development of an alternative fuels market in Australia are removed to allow consumers to make decisions based on sound economic, environmental and social signals. In a climate where petrol prices are likely to remain high it is important to encourage greater use of biofuels,” said Mr Howard.

The Australian Government will work with oil companies, petrol retailers, consumer groups, the biofuels industry and car manufacturers to ensure achievement of the target by 2010. In particular, the Government will work with the major oil companies to develop Industry Action Plans to underpin the achievement of the 350 ML biofuel target.

The Government will closely monitor progress against the Industry Action Plans to ensure all actions are delivered on time.

The Biofuels Taskforce found that there are potentially significant air quality and health benefits from ethanol use. To further assess and promote the benefits of biofuels the government will:

  • commission a study on the health impact of ethanol to validate overseas research under Australian conditions; and
  • promote biodiesel’s beneficial environmental properties such as its biodegradability through a B5 biodiesel trial in Kakadu National Park.

To learn more about Australia’s biofuels industry visit the energy microsite. For more information about Australia’s energy industries, you can contact Tony Jowett, Senior Manager, Energy and Infrastructure. Alternatively, you can contact Yvonne Noordhuis, Assistant Manager, Alternative Fuels and Fuel Supply, Department of Industry, Tourism and Resources.

http://www.investaustralia.gov.au

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