Australian manufacturers get federal backing to slash dependence on fossil gas for industrial heat

Three of Australia’s largest manufacturers will receive a total of $12 million from the federal government to demonstrate technologies aimed at reducing Australia’s industrial emissions.

McCain Foods, Sugar Australia, and Blackmores will each receive a share of the funding from the Australian Renewable Energy Agency (ARENA) to trial more efficient industrial processes, specifically targeting new ways to generate process heat.

The federal government also committed a further $180 million in ARENA funding under the Industrial Transformation Stream for regional industries to follow suit.

McCainwill receive $7.38 million to install two interconnected heat recovery systems at its Ballarat potato plant, cutting steam and heat needs by more than 20 per cent.

The first system will recover high-temperature heat from condensate to decrease boiler demand, while the second will capture lower temperature fryer exhaust heat to produce hot water which will then be turned to steam using an electrically driven mechanical vapour recompression (MVR) system.

Together, these two systems are expected to lower site’s natural gas boiler load by 22 per cent and subsequently reduce annual emissions.

Sugar Australia, which retails its products under the CSR brand, will receive $4.1 million to help replace traditional natural gas evaporators with an electrically driven MVR, significantly reducing emissions at its Yarraville sugar refinery in Victoria.

ARENA hopes that the projects at both McCain Foods and Sugar Australia will demonstrate the commercial readiness of MVR technology for industrial heat applications. If they are successful, it is expected the two projects will serve as a blueprint for the wider manufacturing industry around the country.

Australian natural health company Blackmores will receive a smaller sum of $723,900 to replace a natural gas boiler with a high-efficiency heat pump and a hot water buffer tank at its manufacturing facility in Braeside, Victoria.

The new system will utilise renewable electricity as well as the site’s refrigeration condensate water as a heat source.

The new system is expected to cut Blackmores’ natural gas consumption at the site by 25 per cent.

As with the two MVR technologies, the Blackmores project will serve as a demonstration for how heat pumps can be integrated with process heating, HVAC (heating, ventilation, and air conditioning), and dehumidification in operational facilities.

“Achieving Australia’s emissions reduction goals requires that our energy-intensive industries and manufacturers develop and execute clear strategies to integrate renewable energy into their operations,” said Darren Miller, ARENA CEO.

“These grants are designed for forward-thinking businesses ready to pioneer and incorporate new applications of renewable energy technologies.” 

“By assisting in the adoption of clean technologies in heat processes in Australia’s food, beverage and pharmaceutical sectors, these projects will provide a blueprint for similar businesses to replicate and scale up these solutions nationwide.” 

More information on how to apply can be found here.