Australia will need to significantly increase its oilseed production if it is to build a viable low-carbon liquid fuels (LCLF) industry, according to industry-funded agency Grains Research and Development Corporation (GRDC).
The Feedstock First roadmap released on 16 October outlines a three-stage strategy to secure the oil feedstocks needed for an Australian LCLF industry, while meeting the increasing needs of international refiners. The roadmap focuses on boosting yields, expanding cropping areas, and increasing crop diversity.
In the short term, Australia must raise oilseed output by increasing hectares sown to crops and improving yields, GRDC said. About 75pc of Australian canola or 4mn-5mn t/yr is exported, much of it processed into LCLF in Europe.
Expanding these export markets will remain the priority, GRDC said. And surplus from more local crushing and refining plants, as well as competitive pricing, could support a future domestic LCLF industry. The federal government in September announced plans to spend A$1.1bn ($715mn) to develop a domestic biofuels industry.
In the medium term, the roadmap calls for increasing oil production by maximising oil content in existing crops and diversifying into new higher-oil crops. Established seed oils such as canola are more available and scalable but have higher carbon intensity (CI) ratings. New intensified seed oils like high-oil canola and oilseed lupin that have reduced CI will be beneficial to the industry.
Canola seeds are 43–45pc oil and soybeans are 17–20pc oil but both crops have been heavily bred to maximise their oil content and are approaching natural limits. But even small increases in oil percentage can lead to substantial oil production gains when applied across the millions of hectares of canola planted each year, GRDC said.
Other crops such as peanut and sesame can reach up to 55pc oil and macadamia can reach up to 78pc oil, according to GRDC. Legumes like lupin can also be bred for higher oil content and could help meet future LCLF feedstock needs.
Biomass oil opportunity
Longer term biomass oil that can be accumulated from plant leaves, including up to 35pc oil in trials with tobacco, could be developed as a new source of supply. Oil could be extracted from crop residues of grain crops, creating a large-scale, low-carbon feedstock source. These oils would have a much lower CI score, making them highly attractive for LCLF production.
