Fonterra site to ditch coal

Fonterra’s Te Awamutu site will be coal-free next season, a move that could cut the dairy co-op’s carbon emissions by more than 80,000 tonnes a year.

Until now the site has used a combination of fuels, including coal, to process milk but following a trial last year, its boiler will be powered with wood pellets from mid-year.

Fonterra sustainable energy and utility manager Linda Thompson said the change would reduce carbon emissions by about 84,000 tonnes every year.

‘‘That’s the equivalent of taking around 32,000 cars off the road and will reduce Fonterra’s national coal consumption by approximately 10 per cent,’’ she said.

‘‘It’s a positive step forward as we look to reduce emissions and work towards net zero carbon emissions by 2050.’’

The site in Te Awamutu is one of three North Island locations currently using coal but Thompson said the co-op was up for the challenge of moving away from the fossil fuel.

‘‘There is no one single solution for us to transition out of coal. We know we can’t do it alone, that’s why working with others like wood pellet supplier Nature’s Flame and the Energy Efficiency and Conservation Authority (EECA) are so important.’’

Taupo-based Nature’s Flame would supply the pellets, made from sustainable wood fibre residues from the surrounding areas.

Operations manager John Goodwin said the company was excited to work with Fonterra. ‘‘We’re encouraged about the growth of the bioenergy industry and we’re proud to be part of something that’s good for the environment and our local communities,’’ he said.

The project was the largest boiler conversion to biofuels to date and had received $200,000 in funding from EECA’S technology demonstration programme.