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17-Sep-2025 11:12 AM

Australian Government announces USD735m investment in sustainable fuels

Australia's Minister for Infrastructure Catherine King announced (17-Sep-2025) a new 10 year Cleaner Fuels Programme, which will invest AUD1.1 billion (USD735.5 million) in supply chains for sustainable fuels, including renewable diesel and sustainable aviation fuel (SAF). The Australian Government stated the first production of drop-in cleaner fuels is estimated by 2029. Details on eligibility will be considered through public consultation and design work is scheduled to take place during FY2026. Grants will be awarded through a competitive process. [more - original PR]

Background ✨

Recent initiatives in Australia included plans for a sustainable aviation fuel refinery at Sydney Kingsford Smith Airport, emphasising feedstock integration with canola farms and the need for policy support to enable such projects1. Industry leaders and researchers have highlighted the importance of investment, policy, and innovation to scale up domestic SAF production and meet national emissions targets2 3. Several major projects targeting SAF production are expected to commence by 20294.

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