Principals of PRE, George and Stephanie Muirhead, were founders of, and played a prime role in the development of, the Australian Biodiesel Group Limited, Australia’s largest publicly-listed biodiesel company. In 2003 they anticipated that  the key to a successful biofuels industry would be the establishment of a reliable and economic source of feedstock less subject to the fluctuations of food based commodities.

As a result they commenced private research into non-edible oils particularly from tree crops which could relate more closely to the price of crude oil. Having extensively researched overseas and local species, this culminated in the selection of Pongamia pinnata as the most viable and sustainable species with the greatest potential and most environmentally sound characteristics. In particular, being a legume, it can contribute significant amounts of nitrogen to the soils on an ongoing basis reducing the fertilizer ongoing costs. PRE was founded in 2005 with seed investor in ABG, Malcolm Fenton, who shared the same enthusiasm for the project.

Due to the wide genetic diversity evidenced in the species, PRE considered that the selection and propagation of the right genetics is the key to the establishment of a long term and viable industry. As a result a contract was entered into with University of Queensland’s ARC Centre of Excellence in Legume Research, headed by Professor Peter Gresshoff, to undertake research into key areas essential to optimize the productive potential of the species.

A further reason for the research was that PRE considers that, in order to build a strong industry, because of the high variability and the long lead time to the achievement of a yield (5-6 years), it is imperative that such research be done to avoid the “shonk” element that could easily deceive would be investors or producers and be long gone with the money before the yield outcomes were known. This would be a disaster for this industry particularly in the early stages of development. Research is ongoing with good results to date.

PRE believes this highly prospective crop can contribute substantially towards the twofold issues of climate change and Peak Oil as well as the added benefits of being an additional option for farmers and rural communities. It uses poorer soils and areas less suited to conventional agriculture, lessening dependence on fossil fuels whilst simultaneously ticking all the environmental boxes being a drought and salinity tolerant, native, leguminous plant that produces its own nitrogen.

PRE's model is that eventually the industry could develop on the basis of regional sustainable models including the growing and harvesting of plantations, the establishment of crushmills, biodiesel (also possibly incorporating new technology of biomass to liquid synthetic diesel), ethanol, stockfeed and fertilizer.

© Pacific Renewable Energy Pty Ltd 2006. Site Design by Jon Barratt.