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Monday, 15 September 2003
Page: 15219


Senator O'Brien asked the Minister representing the Minister for Industry, Tourism and Resources, upon notice, on 1 August 2003:

With reference to the announcement on 25 July 2003 of the assistance package for the biofuels industry:

(1) What evidence will applicants for capital subsidies be required to produce to: (a) demonstrate viability beyond 2013; and (b) demonstrate the existence of firm contracts for the supply of biofuels.

(2) In relation to the media release by the Minister for Small Business and Tourism, dated 25 July 2003, can details be provided of the 15 ethanol and 16 biodiesel plants or expansions across regional Australia representing possible investment in excess of $1.1 billion, including for each new plant or expansion:

(a) the name of the proponent;

(b) whether the project is a new plant or an expansion of an existing production capacity;

(c) the nature of the proposed production, for example, ethanol or biodiesel, including proposed feedstock;

(d) the volume of the proposed production in million litres (ML);

(e) the location of the proposed plant;

(f) the potential investment level; (g) the potential job creation; and (h) the nature of the boost to the relevant regional economy.

(3) Since the announcement, has the Government received advice from proponents connected with any of the 31 projects identified in the Minister's media release advising that expanded production will not be sufficiently supported by the Government's package to allow new plants to be built; if so, can details be provided of the advice received.

(4) In relation to the report commissioned from the Commonwealth Scientific and Industrial Research Organisation, jointly with the Bureau of Transport and Regional Economics and the Australian Bureau of Agricultural and Resource Economics, on the Government's 350ML biofuels target:

(a) what are the terms of reference;

(b) what is its completion date; and

(c) what is its budget.


Senator Minchin (Minister for Finance and Administration) —The Minister for Industry, Tourism and Resources has provided the following answer to the honourable senator's question:

(1) The Government has not yet finalised the details of the guidelines for the Biofuels Capital Grants Program.

(2) No-such information is commercial in confidence.

(3) Details of such advice is commercial in confidence.

(4) (a) The Terms of Reference have not yet been finalised.

(b) See 4 (a).

(c) No specific budget has been allocated.