JOHN VAN KLAVEREN
WASTE timber could make Geelong the Australian leader in bio-fuel production, according to a group of businessmen.
Australian New Energy managing director Matthew Deretic said the group had invested an initial “$2 million to $3 million” producing fuel pellets from waste timber.
The investment could grow to $20 million as the company investigated other alternative energy technologies, Mr Deretic said.
The pellet plant, expected to produce 10,000 tonnes, will be based at a Moolap waste transfer station under the management of Bellarine Tree Services director Adrian Probert.
“This is a great opportunity for Geelong to be the leader in Australia in this field of renewable energy,” Mr Deretic said.
“With assistance from State Government and industry, Geelong will become the home of a global, environmentally sustainable renewable energy resource.”
Mr Deretic said the company had already signed agreements with Bunnings, Mitre 10 and Calco Timber to source waste wood.
“These businesses were paying $88 a tonne to send their waste wood to landfill.
“We save it from landfill and process the wood into pellets with the same burning energy as coal.”
Mr Deretic said the market for the bio-fuel pellets was “huge” in Europe and America, with a developing market in Asia.
“More than 800,000 homes in Europe use bio-fuel pellets for domestic heating,” he said.
“There’s an emerging local market as well. The Royal Children’s Hospital has installed a pellet burning heating system.
“I can see us supplying bags of pellets back to Bunnings and Mitre 10 for sale to the public for use in domestic heating such as wood heaters and open fireplaces or wood stoves.”
Mr Deretic said the company was also investigating technology to process tyres, medical and household waste.
“ANE has signed a heads of agreement with Powerhouse Energy Australia to jointly develop projects to convert biomass into synthetic gas and then into electricity using a patented ultra-high temperature gasification technology.”
Mr Probert said the pellets’ high absorbency qualities allowed additional uses.
“They can be used in fuel spill cleanups and as pet litter. We recently signed an agreement with Point NRGY to supply the pellets for these types of uses,” he said.