The Australian Renewable Energy Agency (ARENA) has announced over AUD 12 million (approx. USD 7.7 million) in funding to support low-emission process heat technologies at three major Australian manufacturers: McCain Foods, Sugar Australia, and Blackmores. The initiative aims to cut industrial emissions by reducing reliance on natural gas.
McCain Foods will receive AUD 7.38 million through ARENA’s Industrial Transformation Stream (ITS) to install two heat recovery systems at its Ballarat potato processing plant. One system will recover high-temperature heat from condensate, while the other captures lower-temperature fryer exhaust to generate hot water. This hot water will be upgraded to steam using a mechanical vapour recompression (MVR) system powered by electricity. Together, the systems are expected to reduce the facility’s natural gas boiler load by 22% and lower annual emissions.
Sugar Australia has been awarded AUD 4.1 million under ARENA’s National Industrial Transformation (NIT) Program to install an MVR system at its Yarraville sugar refinery. The system will replace traditional gas-fired evaporators to increase energy efficiency and reduce emissions. The project aims to demonstrate how MVR can be retrofitted for industrial heat applications, such as steam generation and water evaporation.
Blackmores will receive AUD 723,900 through the NIT Program to replace a natural gas boiler at its Braeside, Victoria facility. The new system will include a high-efficiency heat pump and hot water buffer tank, using refrigeration condensate water and renewable electricity to produce hot water for manufacturing. The system is expected to cut natural gas use at the site by around 25% and demonstrate how heat pumps can integrate with process heating and HVAC systems.
“These grants are designed for forward-thinking businesses ready to pioneer and incorporate new applications of renewable energy technologies,” said Darren Miller, CEO of ARENA. “By assisting in the adoption of clean technologies in heat processes in Australia’s food, beverage and pharmaceutical sectors, these projects will provide a blueprint for similar businesses to replicate and scale up these solutions nationwide.”
The $40 million NIT Program is now closed to new applications. Round 3 of the ITS program is currently open.
