Making a case for algae as the next big biofuel source for Australia

By Charan Param

Renewable energy is a hot topic in Australia right now: just last month, opposition leader Bill Shorten told the Labor Party conference that the party should be reaching to source 50 percent of Australia’s energy from renewables by 2030, bringing the country up to speed with other renewable-forward regions like Germany or California in the United States.  

In the field of renewable biofuels, algae as a fuel source is starting to gain traction—and with just the right climate and vast coastal access, Australia has significant potential to develop algae biofuel production on a massive scale. But the environmental benefits of alternative renewable fuel production are not always enough. Australia’s government and private sectors will also need the right financial motivation before investing in this emerging field.

RELATED CONTENT: 50 percent renewable energy would put Australia in line with leading nations

Understanding this, academic publication The Conversation recently offered up several reasons why algae biofuel is one new technology that Australia should be seriously invested in.

One major selling point of biofuel’s value to the Australian community is jobs. According to The Conversation’s research, large-scale algae biofuel production could create as many as 13,000 jobs in Australia and trigger an economic stimulus of around A$4 billion:

Our analysis shows that algae biofuel facilities would create local rural jobs, while also activating sectors of the broader economy associated with equipment, trade and business services. […] Investing in algae biofuel production is environmentally, economically and socially sustainable, and will provide a much-needed stimulus to the economy while creating much-needed quality jobs in rural areas.

RELATED CONTENT: Why Australia should look to renewable energy to stay amongst leading nations

The report also notes that the economic stimulus potentially generated by algae biofuel production could also be significantly more promising than the crude oil production that is standard today:

It would generate a total economic stimulus of 77 cents for every dollar invested, compared with just 13 cents in the dollar for traditional crude oil exploration and extraction (see table 1 in our paper).

RELATED CONTENT: Will Australia regret banning its renewable energy fund?

Australia has already proven that large-scale algae production is possible—as The Conversation also notes, Hutt Lagoon in Western Australia is home to 740 hectares-worth of algae pond space, currently used for beta-carotene supplement production. The idea of putting similar facilities to work in biofuel production is extremely promising, and should be an intriguing proposition for both public and private sectors.  

Let's connect!  

Check out the latest edition of Business Review Australia!

[SOURCE: The Conversation]

Share

Featured Articles

Top 10 fastest growing companies in Asia-Pacific

From Singapore to South Korea, Hong Kong to India, and spanning fintech, food and energy – these 10 businesses are seeing their revenues rise, and fast

Top 10 best-performing Australian companies: mines to banks

Among Australia’s largest companies by market cap are the country’s Big Four banks, a tech startup that successfully scaled, and two firms with female CEOs

Top 10 richest Southeast Asia: how they made their fortunes

From Singapore’s paint tycoon to Malaysia’s sugar king, we round up the 10 richest people in Southeast Asia – and investigate how they made their billions

Will moonlighting ever become accepted practice in India?

Human Capital

New YouTube CEO Neal Mohan joins surge of Indian-origin CEOs

Leadership & Strategy

Ex Infosys President Ravi Kumar is the CEO Cognizant needs

Leadership & Strategy