In the wake of reports that OPEC member nations are planning to slash crude oil production by a million and a half barrels a day the Australian Democrats are calling on the State Government to access federal funding to assist in developing an ethanol fuel industry in South Australia.

"Ethanol is a fuel of the future and we need to get in on the ground floor," says Sandra Kanck, Democrats Transport Spokesperson.

"The combination of rising petroleum prices and federal funds for development costs represents an excellent opportunity to kick start ethanol production in South Australia.

"Australia will need to import 28 per cent of its oil by 2008, leaving it at the mercy of OPEC, and facing a bleak future of dwindling petroleum reserves and soaring fuel prices, if we don’t develop alternative fuel sources.

"Ethanol has the added advantage of performing very well in greenhouse terms and, as an entirely home grown product, it would help alleviate Australia’s chronic balance of payments problems.

"It will provide grain producers with an alternative means of adding value to their crops. Indeed it offers the possibility of utilising damaged crops.

"Ethanol production facilities offer the possibility of urgently needed regional development initiatives."

The Federal Government has provided $1 million in support of the development of an advanced ethanol production plant at Bomaderry in New South Wales through its Alternative Fuels Conversion Program administered by the Australian Greenhouse office.

(Ethanol is liquid alcohol produced from grain or agricultural waste. It is primarily blended with petroleum. The ethanol industry is taking hold in the United States with more than 15 billion gallons of ethanol blended fuel used last year reducing US consumption of imported gasoline by 98,000 barrels per day. It is also being widely used in Sweden.)

FOR FURTHER INFORMATION: Sandra Kanck

[National] [Search] [Browse] [People] [Party] [Parliament] [Election]
[News & Media] [Support Us] [Contact Us] [Main Page]

As of 1/1/2001 this site is a Disability Access Approved Site