Funding for food waste to energy facility

Yarra Valley Water has been awarded $1 million in funding through the Victorian Government’s Waste to Energy – Bioenergy Fund. This will help fund a generator at its food waste to energy facility in Lilydale. The facility, which uses anaerobic digestion, is expected to be operational in 2024/2025.

To support projects that build capability and capacity in Victoria’s bioenergy sector, the Waste to Energy – Bioenergy Fund is providing $10 million in grants.

Pat McCafferty, Yarra Valley Water Managing Director, said it is vital to invest in technology to help manage an increase in food waste to landfill as Melbourne’s population grows. It will support Victoria’s transition to a circular economy and help reduce waste and minimise carbon footprint.

Sustainability Victoria will deliver the Fund under the Victorian Government’s circular economy policy, Recycling Victoria: a new economy. This policy is part of the Victorian Government’s $515 million investment to deliver the biggest ever transformation of its waste and recycling industry.

“Having a second generator will increase the power output of our Lilydale facility, nearly doubling our export to the grid,” McCafferty said. “Another benefit is that we can continue to operate uninterrupted if one generator has any issues.

Under the program, 24 projects have been funded, with total funding awarded to date of up to $8 million.

The Lilydale facility, once operational, will generate over 12,900 MW hours of electricity per year, which is around 35% of Yarra Valley Water’s energy needs or enough to power the equivalent of more than 2200 Victorian households. It will also divert about 55,000 tonnes of commercial and industrial food waste from landfill every year.

In addition to this funding, Yarra Valley Water has been granted an additional $175,000 to enhance the electricity generation infrastructure at its bioenergy facility in Wollert.

The food waste to energy projects will help achieve regulatory greenhouse gas reduction requirements set out by the Victorian Government in Yarra Valley Water’s Statement of Obligations (Emissions Reductions).

With the Lilydale facility funding, Yarra Valley Water will be able to achieve its target of generating 100% of its own energy needs through renewable energy in 2025.

According to McCafferty, the funding will play a vital role in allowing food waste to be diverted from landfill and used to generate clean energy to power homes and facilities.

“It’s a win-win solution that supports sustainable practices and helps us make a significant impact on waste reduction,” McCafferty said.