Australian Government invests €16 million in advanced biofuels

The Australian Government has awarded a $5 million (€4 million) grant to James Cook University, funding the development of Australia's first freshwater and marine macro-algae to biofuels project. Not only this, but a new $15 million (12 million) Advanced Biofuels Investment Readiness (ABIR) Program has been created. ABIR Program is designed to support the investment case of scalable, pre-commercial advanced biofuels demonstration projects in Australia.

'Advanced biofuels, particularly those that can integrate into existing liquid fuel supply chains and are compatible with existing engine technologies and infrastructure—could also become a significant source of regional employment,' says Minister for Resources and Energy, Martin Ferguson. 'Targeted investment of the kind we're announcing ... will help to deliver the technological breakthroughs industry needs on the pathway towards commercialisation,' he continues.

The project at James Cook University will not just receive funding from the Government, but also an additional $6 million (4.8 million) from MBD Energy and the Advanced Manufacturing Cooperative Research Centre, taking the total funding to approximately $11 million (8.81 million).

Funding for these projects is provided through the Australian Government's commitment to a $20 million (16 million) Australian Biofuels Research Institute. From 1 July 2012, the Australian Renewable Energy Agency (ARENA) will assume responsibility for administering the program.

ARENA forms part of the Government's $3.2 billion (2.56 billion) commitment to develop a range of renewable energy technologies as we transition towards a low carbon economy.