Regional Australia: Organic waste offers huge biomethane potential

From paddock to pipeline: Unlocking the power of renewable gas

This is branded content for Renewable Gas They have produced food and fibre that has kept generations of Australians fed and clothed and now, across regional Australia, farmers are discovering they have another natural resource at their fingertips.. Or more accurately, under their boots.. Organic waste - everything from manure to crop residues and food organics - has the potential to become one of Australia's most valuable untapped resources..

What has traditionally been left on the ground, burned-off or sent to landfill is emerging as a viable feedstock for biomethane - a renewable gas that can help create new revenue for regional communities, help power industry and reduce emissions as a drop-in replacement for natural gas.. Biomethane is created by capturing the gas released as organic material breaks down and upgrading it into a renewable gas that can be used just like natural gas, that means it can be injected into existing gas networks and used without major changes to appliances or equipment.. But how big an opportunity is there really?.

Does Australia have enough feed stock to create biomethane at a viable scale?. "It's one of the biggest concerns we hear from customers and policymakers - that there's not enough of it, so why even bother," Jemena's general manager of Future Networks and Performance, Sonia Fourie, said.. Research carried out by consultancy Blunomy has helped answer that question..

"They showed there is enough feedstock potential on the east coast of Australia to meet 96 per cent of the current domestic east coast usage - so there is a lot of feedstock potential," Ms Fourie said.. Not all of that is economical to bring to market today, so Blunomy also tested what could be achieved under the right policy settings.. It found a supply potential of 130-300 petajoules, compared to current industrial usage of about 230 petajoules across the east coast..

"So, there is definitely enough there," she said.. And that's without the additional scale up European countries have seen.. The Blunomy report said, the status quo will be reshaped over time, as Australia's bioresource potential grows with ongoing developments in technology and land use..

These advances will enable access to a broader range of feedstocks and increase the share of bioresources that can be viably recovered and converted into biomethane.. As the feedstock potential becomes clearer, momentum is building in biomethane projects.. Projects like the Griffith Biohub in the NSW Riverina will demonstrate how agricultural waste can be transformed into a reliable, low emissions energy source, while positioning regional areas at the centre of Australia's clean energy transition..

The biohub, led by Optimal Renewable Gas, aims to convert agricultural residues and organic waste from across the Riverina into biomethane.. The project has been supported through the NSW Government's Low Carbon Product Manufacturing Grant, reflecting growing recognition of the role renewable gas can play in decarbonising sectors of the economy while supporting regional industry.. Jemena's Malabar Biomethane Injection Plant, the first of its kind in Australia, is already demonstrating how biomethane can be produced and fed into the existing gas distribution network as a drop-in fuel..

Policy is also moving in support of biomethane.. The Federal Government now allows biomethane delivered through shared gas infrastructure to count toward scope 1 emissions reductions under the National Greenhouse and Energy Reporting Scheme, while NSW has set a 15 per cent renewable industrial gas target by 2035 and expanded its Renewable Fuel Scheme to include biomethane.. Their 2025 Energy and Electricity Net Zero Plan also points to renewable gases as one of three policy directions required to transition Australia's gaseous fuels..

Ms Fourie said the government moves were an important step forward.. "It also sends a really strong signal," she said.. The broader possibilities are significant..

Australia's bio-energy sector has the potential to add $14 billion in GDP annually and reduce emissions by around 12 per cent by 2050.. While Australia is earlier in its biomethane journey than markets like Europe - where countries such as Denmark are targeting 100 per cent renewable gas in their networks by 2030 - the opportunity for regional communities is building.. At a regional scale, projects like the Griffith Biohub could show how this can deliver broader economic benefits..

By pooling feedstock and producing biomethane locally, communities can attract investment, support jobs and strengthen energy resilience.. The result is a model where regional areas are not just part of the energy transition but helping to drive it.. For regional Australia, biomethane is repositioning agricultural waste as an asset rather than a cost..

Manure, crop residues and food processing by-products can be converted into biomethane, creating new income opportunities and positioning farms as producers of both food and energy.. For the people on the land, it's not about changing what they've always done.. It's about getting more value from it, helping Australia's transition to a lower emissions future while continuing to feed and clothe the nation..

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