Moving in the right direction: Bio-fuels at Z Energy

The Climate Change Commission has recently released its draft advice, signalling a long-expected shift in focus when it comes to the future of energy in New Zealand. The recommended carbon budgets and route to decarbonise the transport sector is practical, and looks to leverage a range of existing technologies. It does not rely on potentially great but not yet commercially available options, or ‘silver bullets’.

The transport sector contributes 36% of New Zealand’s greenhouse gas emissions, and the recommendations from the Commission to reduce total transport emissions include the use of low carbon fuels like biofuels and hydrogen for trains, ships and heavy trucks - a recommendation preceded by three others: shifting journeys from private cars to active mobility (walking and cycling) and public transport; and accelerating the uptake of electric vehicles.

Biofuels are a realistic option to start lowering the emissions of our existing fleet now, as we simultaneously accelerate the uptake of electric vehicles. Between the Commission’s draft advice and the Government’s recently announced package of measures to tackle decarbonisation, biofuels will become a meaningful part of the decarbonisation puzzle for New Zealand.

Leading the way on this journey, as part of Z’s commitment to give our customers lower carbon solutions, we have launched our first biodiesel-only truck stop at Highbrook in Auckland. Branded “Z Bio D”, the product is a blend of 5% biodiesel made from a byproduct of the agricultural industry (tallow), mixed with 95% regular diesel.

At launch, back in December 2020, Z’s General Manager of Supply, David Binnie said that converting the pumps to biodiesel is part of the company’s intention to continue delivering on low carbon fuels.

“While our biodiesel production plant, Te Kora Hou, remains in hibernation pending increased customer demand or a more favourable policy environment to support low carbon fuels, we remain committed to continuing to meet demand for biodiesel from our more forward-thinking customers.”

“To do so, we have imported a biodiesel from Australia that is similar to our own to supplement our remaining stocks. While we believe local production capability would be the best outcome for New Zealand’s low carbon future, we are pleased to support those customers such as infrastructure firm Dempsey Wood and NZ Post who are using biofuels as an immediate option for reducing their carbon footprint.”

David said that one of the key benefits of biodiesel is its compatibility with existing diesel engines.

“Many of our customers have been seeking lower-carbon options for parts of their fleet that rely on diesel. Z Bio D meets this need, as it complies with New Zealand’s strict diesel as well as biodiesel specifications, meaning customers can use it with confidence. It also improves lubricity, which reduces engine wear and tear. And the best part is, each tank of Z Bio D has around four per cent less greenhouse gas emissions than a tank of regular diesel.”

The policy environment David spoke of in December is now on its way to becoming reality, and we have a much clearer view of the journey ahead to reach net carbon zero and the promise of the policies to get us there. As a business, this gives Z the confidence to invest further in being a part of the solution, whether that’s in biofuels, hydrogen or electrification. It also provides a clear path for many of our customers who are trying to decarbonise their own businesses.

In a recently published Spinoff article, Z’s Strategy Manager, Sheena Thomas said “We have the foundation of what we need to transition to net zero in transport. The technology exists and is rapidly scaling up, the people of Aotearoa have the necessary skills, drive and empathy, and we now have a sense of how government, businesses and consumers can work together to achieve big collective outcomes.”

Z is using Highbrook to learn more about how customers are using a low-carbon fuel truck stop so we’re really keen on feedback: Feel free to share your thoughts with us by calling 0800 936 374 or emailing Zbusiness@Z.co.nz.

This article was supplied by Z.