Demand for alternative
feedstocks for fuels, electricity, chemicals and a range of commercial
products has grown dramatically throughout the world in the early years
of the 21st century. This demand is driven by the high price
of petroleum, domestic government policy to promote alternatives and reduced
dependence on foreign oil, as well as growing efforts to reduce net emissions
of carbon dioxide, other greenhouse gases. The health benefits of biofuels
as well the benefits to regional development are also often drivers. An
unprecedented interest in bioenergy in both the international and national
arenas, and investors and engineers keen to promote new bioenergy technologies,
means that bioenergy is becoming a tangible option for the future.
Methane is the dominant agricultural
greenhouse gas in Australia, with methane from livestock representing 12
per cent of national greenhouse gas emissions. Reducing methane emissions
is one of the most cost-effective ways to realise immediate environmental
benefits due to methane's potency as a greenhouse gas and short atmospheric
lifetime. Stationary energy accounts for nearly half of total greenhouse
gas emissions in Australia, while transport fuels account for about 15%
of total greenhouse gas emissions in Australia and this has increased by
30% since 1990.
In a ‘bio-based economy’,
utilisation of current biomass material, as well as that which could become
available as a result of new plantings or production systems, has the potential
to reduce Australia’s fossil fuel requirements and provide raw materials
for a wide range of high value products. The concept of the Bio-refinery,
in which all parts of the biomass are utilised, adds value to feedstock
produced for bioenergy. Products become commercially viable when integrated
with other value-added products. There is currently some global effort
to combine biological and thermo-chemical processes to convert biomass
to a range of products including replacements for chemicals currently produced
from petrochemicals, as well as biofuels. Research effort in this arena
has the potential to redefine the way we grow and process our biomass resources,
as well as opening the door to different ‘greener’ products and markets.
While a new bioenergy and
bioproducts industry which replaces fossil fuel products could be a boon
to farmers looking for profitable diversification options, it is vital
to ensure that any new large scale industry has an environmentally sustainable
future. The future availability of water, for example, needs to be considered.
High fuel prices are already
having an impact on agriculture, as the input costs increase for many businesses
reliant on long distance transport. The outlook for petrol and diesel is
one of a declining resource base coupled with increasing demand. The increased
reliance on imported sources of energy also` threatens Australia’s economy,
future competitiveness and national security. Farming systems have been
partly buffered from increasing oil prices due to changes in the way the
systems run (e.g. legumes reducing dependence on N fertilisers, minimum
tillage etc) but are reaching limits and increasingly ‘energy exposed’.
The challenge is to become more energy efficient and self-sufficient at
a farm and regional scales.
Energy R&D was also identified
at a joint R&D Corporation workshop in December 2006 as an area for
potential co-investment across R&D Corporations. It is proposed that
a new energy cross-sectoral R&D plan be developed by RIRDC in 2007–8
for potential co-investment in 2008–09.
Research
Budget: $1,632,000
