Like biogas, bioLPG is also well-established overseas. 460,000 tonnes are already being produced globally each year – an amount that would more than cover New Zealand’s current LPG needs.
BioLPG is primarily produced in a biofuel refinery when renewable diesel or biofuels are made from waste vegetable oil. Produced this way, bioLPG creates up to 80% less carbon than conventional LPG.
However, by improving the carbon efficiency of the feedstocks and energy used in the refining process, we believe bioLPG could be an even lower carbon option. And, because it’s a direct replacement for conventional LPG, switching to bioLPG wouldn’t require any changes to existing appliances or equipment.
As a member of the Liquefied Petroleum Gas Association (LPGA), Firstgas is supporting studies into bioLPG across the industry. We’re also looking at how we can bolster production here, or import bioLPG to supply our Rockgas customers.
Internationally, Europe and the United Kingdom are investing significantly in strategies to transition to BioLPG so we can test and learn from them.
Finnish company, Neste has been producing bioLPG since 2018 and in March 2021 made its first shipment of bioLPG to the UK’s largest LPG company, Calor. This shows us that the trading of bioLPG is feasible, as is large-scale distribution of bioLPG via existing networks.
The LPG industry association commissioned Worley, an independent specialty energy and chemicals consultant, to provide a technical view of the pathway for bioLPG in New Zealand. This report concludes that around 30% of LPG demand could be supplied by 2035 – reducing carbon emissions by more than 300,000 tonnes per year[1].
Read the full report
