As the world moves to a low carbon economy, has diesel fuel run its course?

Key points:

  • Big business globally is moving away from diesel to reduce emissions
  • There are calls for a transition policy for Australia
  • Alternative fuels and diesel-to-electric conversions are developing rapidly

Twenty per cent of Australian cars run on diesel, as do most of the country’s trucks, farming and mining equipment, but the push to reduce emissions globally could mean the end of diesel fuel is closer than you think.

Conventional diesel is a fossil fuel produced from crude oil.

It runs leaner than petrol so you need less of it to go every kilometre, but it still produces significant carbon emissions and some serious toxic gases.

Some experts say concern about that and the rising cost of diesel, driven up by the war in Ukraine, is speeding up the transition to cleaner technology.

Transition plan needed

Energy transition consultant and adviser to the federal department of Climate Change and Energy, Cassian Drew, says the end is coming for diesel.

“That’s the writing on the wall across the board, whether it’s in agriculture or other sectors, the hydro-carbon transition is well under way,” he said.

“The efficiencies of the new technology engines, and the cost of those, will get to a point where there’s a wider scale transition to either battery electric or hydrogen fuel cell electric.”

He says the federal government needs to ensure there are ways to re-fuel and service machinery running on electric or alternative fuels across Australia.

Many need convincing

Farmers are especially reliant on diesel and store large volumes of it on their farms.

Tractor with no driver has lights on in field
John Deere’s fully autonomous tractor is ready for large-scale production. (Supplied: John Deere)

Many are sceptical about the potential for electric vehicles in the bush, but Mr Drew said major agricultural equipment manufacturers were making the transition already.

“I think there will always be some form of combustion technology, but if you look at big producers, like Volvo, they have a 2026 plan [to go electric],” he said.

He said Volvo and “most manufacturers” were “in line with the global plan to be net zero by 2050”.

Farm equipment manufacturer John Deere says it will move to autonomous battery-powered tractors in 2026.

A big electric loader used in mining with staff standing in front.
The mining industry is developing heavy-duty electric trucks and loaders.(Supplied: 3ME)

Biodiesel and renewable diesel

There are some technologies that could extend the life of machinery built with diesel combustion engines, including biodiesel and renewable diesel.

Biodiesel is made from vegetable oils, animal fats or recycled restaurant grease.

Renewable diesel is an advanced biofuel, produced from biomass such as straw, cotton waste or purpose-grown grass, that is synthetically refined to meet fuel standards.

It is widely in use overseas and there are a plants in development in Australia.

The push to go electric

While farmers are dubious about the transition to electric, a small company on the Central Coast of NSW is proving it can be done.

Janus Electric is converting diesel prime movers to electric motors and trialling seven trucks involved in agriculture, mining and food distribution.

Janus Electric and Western Star signs on the bonnet of a truck
Janus Electric has converted seven prime movers from diesel to electric. (Supplied: Janus Electric)

They have orders for 130 conversions from companies all over Australia, and chief executive Lex Forsyth says the numbers are looking good.

“We’re taking Kenworths, Macs, Western Stars, Freightliners and Volvos and converting them from a diesel prime mover to electric, and then putting on our exchangeable battery technology,” he said.

They have orders for 130 conversions from companies all over Australia, and chief executive Lex Forsyth says the numbers are looking good.

“We’re taking Kenworths, Macs, Western Stars, Freightliners and Volvos and converting them from a diesel prime mover to electric, and then putting on our exchangeable battery technology,” he said.

“We’re going to have some of the highest-powered electric trucks in the world at 720 horsepower,” he said.

Mr Forsyth said the trucks were also cheaper to run.

“Diesel is costing most operators in most applications around $1.00-1.15/km [while] going to electric you’re looking at 40-60c/km depending on where you’re buying your power,” he said.

Mr Forsyth thinks those numbers will improve as battery technology develops.

Shipping giant starts transition

The global shipping industry is responsible for moving 80 per cent of the world’s freight.

An artists impression of the Maersk ethanol powered container ship
An artist’s impression of Maersk’s first methanol-powered container ship, due to start service in mid-2023.(Supplied: Maersk)

It generates about 3 per cent of global emissions, so technology to switch to renewable sources or convert diesel engines on ships to electric are crucial for Australia and the world’s transition away from fossil fuels.

Global shipping company Maersk is spending billions on a shift to low-emissions fuel and has commissioned 19 new ships that will run on green methanol.

The company operates more than 700 ships worldwide and it will take between 25 and 30 years to convert them all to low-emission technologies.

The cost of that transition will result in freight prices increasing by about $100 a container.

But Maersk’s head of Oceania, My Therese Blank, said emissions from the new ships would be cut by about 95 per cent.

“We are in a global climate crisis and this is our opportunity to do something about it and make a difference for generations to come,” she said.

 

Extracted from ABC

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