Over the past seven to eight years a number of biodiesel facilities have been developed in Australia, to exploit the market opportunity for renewable fuels. However, after strong initial promise, the Australian biodiesel industry has been unfavourably impacted by rapidly rising feedstock prices, changes to the excise duty regime and lack of support from major oil companies. Consequently the production and consumption of biodiesel in Australia has been at a low level over the past twelve months when compared with the available production capacity. The current outlook for the industry is uncertain.
