Greenhouse gas emissions to be used for biodiesel production

Greenhouse gases will soon be used in the production of biofuel at a power station in Australia. Algae. Tec will be using the greenhouse gases emitted at a Macquarie Generation coal-fired plant to feed algae, which will then be used as a base for biodiesel.

A plant is to be built next to the Bayswater power station for the biodiesel production, along with a carbon capture system that will collect and transport the power plants gas emissions. The carbon dioxide that is collected from the power plant will be pumped into enclosed tanks as a food source for the growing algae. The algae oil that is then produced will be used as a base for the production of a highly efficient jet fuel, which will help to reduce emissions from aircraft.

Chris Hartcher, New South Wales energy minister, said: "This deal is an innovative means of capturing and reusing carbon emissions and providing the Hunter [Valley] region with a locally produced green fuel source."

The Bayswater power plant that will be used for this project provides a large part of the energy for New South Wales, estimated as being around 2,640 megawatts. The plant provides Northern Queensland, eastern Australia and southern Australia with power. To do this the plant uses 7.5 million tonnes of coal each year, resulting in large amounts of carbon dioxide being created and released into the atmosphere.  

Australia is largely powered by coal-fired plants, making the country one of the world's largest emitters of carbon dioxide on a per-capita basis. The country currently tax companies for the carbon dioxide emissions they produce and the tax per tonne has recently increased from AUS$20.87 (£12.45) to AUS$22.27 (£13.29) following a scheduled increase.

Roger Stroud, executive chairman of Algae. Tec, said to Bloomberg: "Once this formula is established there is no reason why we can't expand it in Australia and get involved in an expansive development in North America and Europe, particularly the UK. We are also in talks with Brazil."