98% of the transport industry’s energy comes from fossil fuels. This cannot be sustained. Australia needs to move to renewable and sustainable fuels such as biofuels.
Biofuels represent an environmentally friendly industry that can substantially reduce Australia’s carbon emissions from transport – our third largest emitter – .. improve our fuel security and help reduce our $17 billion trade deficit.
Australia already imports about half of its needs. ..oil prices continue to rise.
The Federal Government has an excise proposal that Mr Beattie argues will severely damage Australia’s renewable fuels industry if it goes ahead.
The Biofuels Association of Australia argues for a policy that is consistent with the treatment of biofuels across the world. The association says: “It appears that Australia continues to take part in very publicly available one-way free trade agreements. Under the guise of World Trade Organisation obligations and import duties Australia permits the importation of products while Australian product cannot be exported to other countries at an economically viable level. Potential markets for Australia’s future exports of biofuels are using Customs tariffs and duties and local taxes on imported ethanol to protect their local industries to the detriment of Australia.
If Australia implements the proposed policy we will end up being importers of biofuels and become the new fuel poor of Asia. The US Canada Brazil China and many European countries are already investing in biofuels as a means of securing their future energy needs. Australia has an opportunity to use sugar cane eucalyptus algae and trees such as the pongamia as energy sources to achieve the same outcome.
Of the petrol-driven cars produced this year 99.44% are compatible with E10 the blend of 90% unleaded petrol and 10% ethanol. The Queensland government has had to delay the implementation of its 5% mandate for ethanol (E10). The Queensland industry has been working towards a 5% mandate for the past 5 years and millions of infrastructure dollars have been spent by the producers retailers and wholesalers in it anticipation. Some service stations have already replaced regular unleaded pumps with E10.
With the best algae strains in the world Australia could export algal oil to refineries in Southeast Asia and put Australia at the forefront of the aviation fuel revolution where a percentage of algae fuel will be used in airline fleets.