GrainCorp (ASX:GNC), Ampol (ASX:ALD), and IFM Investors said they have welcomed the Australian Government's release of its Securing Australia's Cleaner Fuels Industry Consultation Paper, describing it as a critical step toward building a domestic renewable fuels supply chain, according to a Friday statement.
The companies said the consultation paper recognizes that clear demand-side policy settings are needed alongside supply-side measures to give industry the confidence to invest in domestic production at scale
GrainCorp is exploring the feasibility of building a new canola processing facility to supply Australian canola oil to the future plant, with the project having the potential to produce 750 million liters of sustainable aviation fuel and renewable diesel each year using Australian-grown feedstocks including canola, used cooking oil and tallow, the statement added.
GrainCorp's shares fell nearly 1% in recent Friday trade.