A grant of nearly $23 million for the construction of a world-first biogas system at Bindaree Beef will slash operating costs and increase jobs at Inverell’s biggest employer.
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New England MP Tony Windsor said it will secure the town’s future.
Having worked with Bindaree Beef for two years to make this project happen, the funding announcement has been welcomed by Mr Windsor.
“This $46 million project represents the first time this technology has been used in an abattoir, making Bindaree Beef a world leader in meat processing,” Mr Windsor said.
“Clean energy will cut the utility cost of processing each head of cattle by more than a third.
“This will make the business much more internationally competitive, creating the opportunity for a boost in production that could deliver hundreds of new jobs.
“More jobs and stronger demand for cattle will boost the entire region’s economy.
“Funded by Australia’s carbon price, this project will make Bindaree Beef an example to the world of how food manufacturers can slash both carbon emissions and operating costs at the same time,” Mr Windsor said.
The project involves installing a more energy-efficient rendering plant and directing all organic waste through a digester to produce clean energy from biogas, according to Mr Windsor.
“Harnessing waste to generate clean energy will allow Bindaree Beef to replace a coal-fired boiler and cut electricity consumption by up to half,” Mr Windsor said.
“An on-site pilot plant is already operating, proving the concept works.
“Carbon emissions will be slashed by an incredible 95% – equivalent to removing 60,000 cars from our roads over ten years – so Bindaree Beef will no longer be liable to pay the carbon price.
“The digester will also produce organic fertiliser for sale and high-quality recycled water for irrigation.
“Bindaree Beef will no longer have to burn 7,200 tonnes of coal each year or dispose of its waste in landfill and open lagoons, eliminating both smoke and odour,” Mr Windsor said.
Mr Windsor says this project would never have happened without a lot of hard work from a range of people.
“Project Engineer David Sneddon deserves much credit for driving this project, along with consultant Chris Davidson and Forsyths’ James Roger,” Mr Windsor said.
“Bindaree Beef owners - John McDonald and the entire McDonald family - one of the few remaining Australian-owned meat processing plants – have spent up to $2 million researching and developing this project, rather than looking for a quick-fix that would allow them to just duck under the carbon price threshold.
“The Multi-Party Climate Change Committee that I was involved with decided that carbon price revenue should be used to help people and business to change their behaviour and reduce their emissions by adopting new technology.
“This innovative project is further proof of the huge range of opportunities available in Regional Australia under carbon pricing for those with vision,” Mr Windsor said.