Biodiesel Grants Scheme

From July 2009 to June 2012 the Government ran the 3-year Biodiesel Grant Scheme, administered by the EECA to encourage the production of biodiesel in New Zealand. Under the NZ$36 million scheme, grants of up to 42.5 cents per litre were available to biodiesel producers who sold 10,000 or more litres of eligible biodiesel each month. Although the scheme had some success in boosting the profile and use of sustainable first-generation biodiesel, overall the uptake was much lower than anticipated, with only six producers signing up to the scheme and less than NZ$2 million of grants allocated. The Government’s current focus is to bring forward advanced biofuels rather than first-generation biodiesel, with NZ$42 million being spent on nine research projects from 2008 to 2014.

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