By Gerelyn Terzo, Global AgInvesting Media
Capital is flowing toward projects that strengthen agriculture and energy infrastructure. In Queensland, Australia, vegetable producer Kalfresh has secured A$80 million in climate-driven investment capital from Wollemi Capital and the Queensland Investment Corporation (QIC). Proceeds will be directed toward the development of an innovative food and energy precinct, a reported first for Australia. The model is designed to convert farm waste into renewable energy for several use cases, including sustainable fertilizer for growers as well as to power transportation and industry.
The development harnesses anaerobic digestion, a technology widely deployed at commercial scale in global bioenergy and waste-management systems. While the process itself is not new, the Scenic Rim project represents a first-of-its-kind undertaking in Australia in terms of both scale and integration, positioning the investment as an intersection of renewable energy infrastructure and agricultural production.
Kalfresh has operated in Australia’s vegetable sector for more than three decades, supplying retailers through its growing, packing and distribution businesses. As part of the new precinct development, the company intends to direct processing offcuts, farm waste and rotational crops into a tech-powered anaerobic digestion system to produce renewable energy. The model converts organic byproducts into a steady source of electricity and fuel, extending the value chain beyond conventional food production.
To facilitate that process, the partners will break ground on a A$291 million Scenic Rim Agricultural Industrial Precinct at Kalbar, advancing what is positioned as a large-scale circular-economy development linked to agricultural production and waste streams. Within the 40-hectare precinct, the planned Kalfresh Bioenergy Facility will convert food waste and crop residues into renewable natural gas. At full capacity, the facility is projected to generate enough energy to supply approximately 31,000 homes or support an estimated 98 million kilometers of truck and bus travel annually, highlighting the scale of its anticipated output.
Kalfresh co-owner and CEO Richard Gorman explained, “Anaerobic digestion is a natural process where microbes break down organic matter to produce gas and we’ll use the by-product, digestate, as a natural fertilizer on farm. It’s a closed loop system that returns many benefits. It reduces emissions, supports farmers, decarbonizes industry and transport, and boosts local skilled jobs.
Queensland Deputy Premier and Minister for State Development, Infrastructure and Planning Jarrod Bleijie stated, “Queensland is open for business, and we’re working with the private sector on strategic partnerships like this that will accelerate development and drive innovation in our priority industries, and create secure new jobs…These investments create jobs and drive regional development that secures Queensland’s position as a global leader in biofuels and energy innovation.”
Minister for Finance, Trade, Employment and Training Ros Bates, also commented, saying, “That’s how you build a stronger economy, by backing industry, working with farmers and making sure projects stack up economically as well as environmentally.”
Wollemi Capital Co-Founder and Co-CEO Tim Bishop described the project as “shovel-ready climate infrastructure,” adding: “We’re backing this because it’s real, reliable and replicable – a model where agriculture and renewable energy work together, underpinned by economics that stand up at scale.”
QIC CEO Kylie Rampa shared “the investment represents a significant step forward in demonstrating the commercial viability and scalability of bioenergy from the paddock up. ”
Construction of the bioenergy facility is expected to unfold in stages, with full development designed to reflect the project’s intended scale. At capacity, the operation is projected to generate enough renewable energy to supply approximately 31,000 homes annually or produce sufficient renewable natural gas to support nearly 98 million kilometers of heavy vehicle and agricultural transport each year.
Alongside energy production, the facility is expected to deliver emissions benefits, with potential carbon dioxide reductions of up to 430,000 tons per year under current estimates. The process will also yield digestate-based biofertilizer, creating a substitute for synthetic inputs while supporting soil health and reducing reliance on imported fertilizers, bringing the project full circle at the farm level.
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