CALTEX has welcomed the Australian Government's response to the Prime Minister's Biofuels Task Force report.
"The measures announced by the Government are a sensible approach to developing the biofuels market through improving consumer confidence and providing a clearer scientific and technical basis for biofuels development," said Caltex Managing Director and CEO, Dave Reeves.
"Caltex supports the commercial development of biofuels and is committed to an appropriate share of the Government's target of 350 million litres of biofuels production by 2010.
"Caltex is already selling E10 petrol through selected Caltex and Ampol sites in Queensland and through Bogas sites in NSW. Biodiesel blends are being sold to commercial customers and the company has recently launched its first retail B5 Diesel sales under the Bogas brand.
Caltex is developing plans for expansion of biofuels sales to help achieve the Government’s target.
Caltex will meet with the Prime Minister and Deputy Prime Minister next week to discuss how company action plans within a normal, competitive market environment can help achieve the biofuels target.
"Achievement of Caltex's plans will depend on consumer confidence in using biofuels, particularly ethanol blends, reliable year-round supply of ethanol and competitive pricing of biofuels relative to petrol and diesel,” said Mr Reeves.
“Incentives to encourage the development of distribution infrastructure and conversion of service stations may also be worthy of Government consideration.
"Most importantly, all stakeholders need to pull together to support commercial biofuels development and avoid some of the negatives of the past that have impeded development."