What are biofuels? How we make and use biofuels in Queensland

As the demand for cleaner fuels grows across the world, we're seizing the opportunity to make and use biofuels right here in Queensland. Transitioning some of our fuel sources to biofuels is beneficial for the environment, will help us meet industry decarbonisation goals, increases fuel security and creates jobs and opportunities for Queenslanders in the process.

What are biofuels, how do we make them in Queensland and how can they be used? Read on to learn more about this growing Queensland industry.

What are biofuels?

Biofuels are renewable liquid fuels, usually bioethanol, biodiesel, renewable diesel and sustainable aviation fuels, made out of sustainable organic resources. Everything from wood offcuts, to sugarcane, used cooking oil or beef tallow and algae can be turned into biofuel.

In many instances, the organic matter used to make biofuels is waste material, like the leftover pulp from sugarcane processing. This process is used in the Mecurius biorefinery pilot plant in Mackay, where a team of engineers and researchers have been trialling a new method of refining biofuels out of sugarcane waste to make carbon-negative sustainable aviation fuel and renewable diesel.

Other dedicated biomass and oilseed crops can be grown on degraded or marginal land to be turned into fuel. In Queensland, all commercially produced biofuel is currently produced from easily fermentable sugars from grain sorghum, used cooking oil and molasses from sugarcane processing. In the future the biofuel could come from food and garden organics currently going to landfill, the natural rubber content in off the road mining tyres, grease trap waste and/or construction and demolition waste.

What are biofuels used for?

Biofuel blends can be used in existing combustion engines today – everything from your runabout town car, to trucks, planes, construction equipment and ships can be run on biofuels. In fact, you might already be using biofuels. E10 petrol is made by blending bioethanol, made out of waste wheat starch, grain sorghum stover and sugarcane bagasse or molasses, with traditional fuel.

Biofuels can be used to decarbonise industries and supply chains. For example, everyday products transport on ships powered by biofuel, will have a reduced carbon footprint.

What makes biofuels a more sustainable fuel option?

Traditional combustible fuel ingredients, like the crude oil used to make petroleum or diesel, aren't renewable resources, and generate emissions. The feedstocks used to create biofuels can either be grown relatively quickly or are collected from the waste of other industries, like food processing, agriculture or construction. This means that biofuels are a renewable fuel source.

Biofuels emit fewer greenhouse gases when used in combustion engines than regular petrol or diesel. They can also be blended with regular fuels to make them burn more efficiently and release fewer emissions.

Biofuels can also be carbon-neutral or even carbon-negative fuel sources. The sugarcane-based biofuel made at the Mercurius biorefinery pilot plant in Mackay, for example, releases less carbon when burned than the sugarcane took from the atmosphere when it was growing, making it a carbon-negative fuel source.

Queensland has sustainability criteria that help mitigate any unintended environmental impacts of biofuel production. Biofuel producers must demonstrate their fuel saves at least 20% greenhouse gas emissions compared to regular petrol or diesel. Biofuels must be certified under the relevant environmental sustainability standard for the biomass feedstock used.

How do biofuels fit into the bigger renewable energy picture?

Across the world, demand for renewable energy is growing and Queensland is in a prime position to capitalise on that demand to create economic and jobs opportunities right across the supply chain.

Biofuels are one piece of the renewable energy puzzle in Queensland. In conjunction with other forms of renewable energy, like hydrogen, solar and wind, making biofuels creates high-value jobs for Queenslanders at all phases of production.

Using biofuels in our industries also takes us closer to meeting our goal of a zero emissions future.

Queensland has been recognised as the nation's leader in bioenergy policies that include supporting the production and use of sustainable biofuels. Queensland is continuing to lead the way through our Biofutures 10-Year Action Plan and Roadmap ( 2.8 MB) and partnering with sectors like aviation, maritime, construction and heavy transport to deliver biofuel trials that help those industries reduce their carbon footprint.

Last updated: 16 Jun 2022