DEVELOPING A SUSTAINABLE LOW CARBON FUELS INDUSTRY
Food, fuel, fibre and feed, together
SUSTAINABLE LOW CARBON FUELS
Australia is building a renewable fuels industry that works hand in hand with the food system.
Instead of creating competition, the development of a low carbon fuels industry can increase food and feed production, enhance energy security and provide a new industry for regional Australia.
WORKING WITH AGRICULTURE, NOT AGAINST IT
Renewable fuels can be produced from the same harvests that supply food and feed. Co-products such as oilseed meals, grain-based residues, and other by-products support livestock and other parts of the food system.
These crops are typically grown in rotation with grains like wheat and barley, so additional supply comes from improved yields and agronomic practices rather than expanding farmland or taking land away.
AUSTRALIA'S CAPACITY
As an agricultural powerhouse, Australia already produces enough food to feed 60 million people, three times our current population. With around 70% of our agricultural, fisheries and forestry production exported, low carbon fuel production provides an opportunity to value add onshore, meeting domestic energy needs without affecting food, feed, or fibre production.
FARMERS ALREADY DELIVER
The idea that Australia cannot produce both food and fuel feedstocks does not reflect reality. Farmers have been successfully managing both for years, increasing yields and producing more on the same land while adopting increasingly sustainable practices.
Food, feed, fibre and fuel is possible.
BALANCING FOOD AND FUEL
While some have raised concerns that low carbon fuels could compete with food production, a balanced, scale-realistic approach ensures that all sustainable feedstocks can be used in ways that complement, rather than compromise, food supply.
Emerging technologies and the use of underutilised feedstocks will expand these opportunities in the future.
BENEFITS TO REGIONAL COMMUNITIES
Diversifying agricultural resources to support low carbon fuel production unlocks significant economic opportunities for rural areas. It provides farmers and local businesses with new revenue streams, creates new jobs, helps retain existing ones, and supports regional development.
Low carbon fuels are not reliant on a single source. They can be produced from:
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Waste oils (used cooking oil, tallow)
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Energy crops (canola, sugarcane)
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Crop and forestry residues
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Captured carbon with green hydrogen
Much of Australia’s potential lies in agricultural residues and waste streams - fuels made from materials that would otherwise be discarded.