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Biofuels are here today, a vital part of the energy mix to help the world to get to net zero.

Biofuels have an important role to play in decarbonizing hard-to-electrify sectors such as aviation, shipping and heavy road transport. And the good thing is, they can go in the pipes and engines we already have today, either as a straight ‘drop-in’, or blended with fossil fuels.  

We are working to help decarbonize Australia by investing in biofuels such as sustainable aviation fuel (SAF) and renewable diesel (also known as hydrogenated vegetable oil or HVO).  

Sectors like mining, heavy transport, aviation and marine drive significant economic activity. But in doing so, they are responsible for significant emissions. They are also our customers, dependent on us for their fuel and energy needs.  

And while many have already made net zero commitments, there is a strong appetite and demand from our large customers for large scale renewable energy. 

What are biofuels  

Biofuels can be made from a range of different feedstocks – from organic waste to sustainably grown non-grown crops. These vary in availability and cost, as well as in the maturity of the technology needed to produce them at scale.  

What we’re doing   

We have the technology and the ‘know how’ to develop complex, major projects – and we are working with governments on longer term policy settings that will help facilitate the transition to cleaner energy that customers want and need.  

Kwinana renewable fuels project   

Part of the transition of the former Kwinana refinery includes furthering plans for a biorefinery to produce sustainable aviation fuel and renewable diesel from vegetable oils, animal fats and other biowaste products.  

The Kwinana Renewable Fuels project is part of the global multi-billion dollar investment by bp which will use the processing infrastructure formerly used for hydrocarbon refining (like processing units, storage tanks, pipelines and utilities) and install new equipment capable of producing up to 10kbd of renewable fuel daily.  

Sustainable aviation fuel   

The Kwinana Renewable Fuels project plans to produce sustainable aviation fuel (SAF) and biodiesel from bio feedstocks by 2026. Feedstocks include used vegetable oils, animal fats (or tallow), and other biowaste products, sourced domestically or imported.  


In 2021 we announced a strategic partnership with Qantas to further advance our shared net zero ambitions. Through the collaboration, we are working together on opportunities to reduce carbon emissions in the aviation sector and contribute to the development of a sustainable aviation fuel industry in Australia.  

HVO trial with BHP  

bp and BHP partnered on a trial to use blended diesel with hydrogenated vegetable oil (HVO) to assist BHP to reduce carbon emissions from its iron ore operations in Western Australia.  


During the trial, bp supplied BHP with the blended diesel, starting with a 20% HVO blend and increasing up to a 50% HVO blend. The trial group included a selection of haul trucks, dozers and an excavator at BHP’s Yandi mine in WA’s Pilbara region.  


Read more about the trial bp and BHP begin HVO blended diesel trial in Western Australia 

Biofuels news and stories