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Home / Business / Companies / Agribusiness

Biofuel way we can all aid climate goals, says Z

Jamie Gray
By Jamie Gray, Sophie Ryan
Business Reporter·NZ Herald·
14 Dec, 2015 12:50 AM3 mins to read

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Z Energy. Photo / Dean Purcell

Z Energy. Photo / Dean Purcell

Z Energy says committing to using biofuel is one way people can contribute to the global effort to reduce climate change outlined in the Paris Agreement.

New Zealand has committed, along with 195 other countries, to reduce fossil fuel emissions to ensure global warming remains below 2C.

While the agreement made by United Nations and international diplomats remains vague in terms of legally binding phrases, Z Energy says it's offering people the chance to make choices that help the environment.

Jonathan Hill, spokesman for Z Energy, said the biggest difference Z Energy can make is in the area of biofuel.

"The fuels that we sell and that our customers use account for about 17 per cent of New Zealand's total emissions so there is real ground to be taken in that shift away from fossil fuels to more renewable transport fuels," Hill said.

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Z Energy has invested in a $21 million processing plant in Wiri that will process tallow from the meat industry into biodiesel, which will cost motorists about 2c more than regular diesel at the pump.

"From March next year that plant will be producing 20 million litres of the very highest quality renewable biofuel you can possibly make.

"There is a real opportunity for business and retail customers to [support] this fuel and make a choice to use it."

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Currently there is no form of government subsidy or support for biofuel in New Zealand and Hill said leadership on climate change needed to come from government and business leaders.

"At the moment the economics of producing biofuels in New Zealand are very, very marginal. It's a very tough commercial proposition but we're putting our money where our mouth is and having a really decent crack at this."

Z will be rolling out electric vehicle charging stations where motorists with electric vehicles can "fill up" at a cost between $5 and $10.

Six rapid-charge stations for electric vehicles will be installed in Auckland, Wellington and Christchurch by the end of February.

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Federated Farmers said it welcomed the Paris Agreement, which it said recognised the dual challenges of growing enough food for the world while controlling global temperatures.

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Federated Farmers president William Rolleston worked with the World Farmers Organisation and the New Zealand delegation to ensure agricultural countries were considered.

Nearly half of New Zealand's greenhouse gas emissions come from agriculture.

"Including food security as a priority, as well as flexibility in implementation and the provision of assistance to developing countries, was ... the key to a comprehensive deal which sets all countries on the same journey," Rolleston said.

The agreement gave scope to consider various technical issues, among them being the role of biological methane in mitigating climate change.

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Federated Farmers climate change spokesman Anders Crofoot said methane breaks down in a much shorter timeframe than carbon dioxide.

"The Paris talks will [accelerate] discussions around this, but they also recognise the vital importance of food security and the role agriculture plays in feeding a growing global population."

Climate deal:

• Paris agreement's ambitious target is to limit the increase in the global average temperature to well below 2C above pre-industrial levels.
• And to pursue efforts to limit the temperature rise to 1.5C.
• 195 countries have signed up.

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