The proposed Liquid Fuel Supply bill would require a minimum blending of 2% ethanol in gasoline and 0.5% in diesel fuel sold in Queensland, however, grain growers are calling for the bill to at least double the required blending minimums.
Representatives from AgForce Grains and the Australian Sugar Milling Council, and Canegrowers, spoke in a parliamentary committee stating that the targets are too low and will not help attract further investment into the sector.
Wayne Newton, AgForce Grain president, expressed that the state’s grain growers and ethanol plants are currently able to meet the proposed minimums and that the bill will not drive the creation of any new projects.
"It will not increase new jobs. It will not stimulate regional economies," he said. "A clear pathway to increase production should be spelled out."
Australian Sugar Milling Council chief, Dominic Nolan, added that he believed that minimum blending rates of between 8% and 10% over successive years would bring the industry the investment it needs.
Lynda Kiernan is Editor with HighQuest Group Media and of the Oilseed & Grain News. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at email@example.com.