The New South Wales government has invested $52 million to support the renewable manufacturing sector, including $20 million for Optimal Renewable Gas to convert agricultural organic waste from farms into a gas fuel at its Griffith Biohub.
The investment is part of the state government’s Net Zero Manufacturing Initiative, a $480 million push to help fast-track emissions reductions and support the development of a sustainable low carbon manufacturing industry in New South Wales. The program is supporting over 1100 jobs across the state, in 40 different projects.
Optimal Renewable Gas (ORG) was one of the successful applicants for this round, receiving $20 million to accelerate development of its Griffith Biohub. The company describes the facility as a circular economy project that implements anaerobic digestion technology to convert agricultural organic waste and residues across the Riverina to biomethane, a low emission renewable gas.
The news comes just as Queensland-based vegetable producer, Kalfresh, secured an $80 million co-investment from the Queensland Investment Corporation (QIC) and Wollemi Capital into its own agri-industrial precinct, including a biogas anaerobic digestion facility.
The ORG Biohub will process up to 100,000 tons of organic waste in its first phase, to produce approximately 460TJ/yr, equivalent to the gas consumed by over 30,000 households. It will also recover and return the residual nutrients back to agriculture.
ORG managing director, Michael Davis, said this project represents a turning point in the diversification of renewable energy solutions.
“It provides a pathway to convert Australia’s abundant and underutilised organic waste into reliable renewable energy, delivered through existing infrastructure to support some of Australia’s hardest to abate sectors such as industrial heat, responsive power generation and heavy vehicle transport,” said Davis.
ORG is a leading developer of organic waste to renewable gas projects, planning to have 10 large-scale biohubs under development by 2030 – to produce up to 10PJ of biomethane per year. The company credits Baiada Poultry, #6 on the Food & Drink Business Top 100 Food & Drink Companies 2025, as a major project stakeholder actively supporting this initiative.
Other recipients of this round’s Net Zero Manufacturing Initiative include Hiringa Energy, which will receive $10.2 million to expand production of its low carbon ammonia fertiliser for cotton farms, and to help create hydrogen refuelling stations which aim to replace diesel in heavy vehicles. Tyree Transformers is also receiving $22 million to build its transformers, which reduce energy lost in transportation from solar and wind farms.
New South Wales minister for energy, Penny Sharpe, said the Net Zero Manufacturing Initiative will help the state to lead the clean energy transition and create skilled manufacturing jobs in its regions.
“We should be building the technology that will power our future right here in New South Wales,” said Sharpe.
“These projects will unlock 67 permanent jobs and support growth in communities across the Southern Highlands, Riverina and the state’s northwest. They show the power of partnering with industry to create jobs, cut emissions and build the clean technologies of tomorrow right here in New South Wales.”
More information about the Net Zero Manufacturing Initiative is available online at energy.nsw.gov.au.
