Timber Towns Victoria Welcomes Qantas-Backed Plan to Turn Green Triangle Forest Waste into Jet Fuel

6 March 2026

Timber Towns Victoria Welcomes Qantas-Backed Plan to Turn Green Triangle Forest Waste into Jet Fuel

Qantas, Airbus and ThyssenKrupp Uhde have backed HAMR Energy’s $10 million plan to convert plantation forestry residues from Victoria’s Green Triangle into sustainable aviation fuel (SAF) and marine fuel – a move that could transform the economic outlook for the state’s forest-dependent communities along the west coast.

“This investment is an exciting development for our timber towns and the communities that depend on the plantation estate,” according to Cr Karen Stephens, president of Timber Towns Victoria and Mayor of Glenelg Shire Council. “It demonstrates that forestry residues are not waste – they are a valuable resource that can be turned into low-carbon fuels for use in aviation and shipping, creating jobs and new income streams for regional Victoria.”

HAMR Energy’s flagship development, the Portland Renewable Fuels facility in the Green Triangle, will convert forestry residues into 300,000 tonnes of low-carbon methanol each year, creating hundreds of construction jobs and a steady market for byproducts from Victoria’s timber towns along the west coast. Whilst a second project – described as Australia’s first major methanol-to-jet plant – is expected to produce 135 million litres of SAF annually and support hundreds of regional jobs.

According to Nick Chan, Director of Corporate Strategy for OneFortyOne, which manages plantation estates in Australia and New Zealand, the investment is “a defining moment for plantation forestry in Australia,” pointing to the Green Triangle’s scale, year-round operations and established logistics as key advantages in supplying feedstock for low-carbon fuels.

For Qantas, which has committed to using sustainable aviation fuel as part of its decarbonisation strategy, the benefits extend beyond aviation. “A domestic SAF sector means jobs, regional investment, and economic growth across Australia,” said Chief Sustainability Officer Fiona Messent, who added that HAMR Energy’s vertically integrated model “represents a significant step forward” in establishing a local industry.

Airbus sees strategic value in the technology. Stephen Forshaw, Airbus’s chief representative for Australia, New Zealand and the Pacific, said HAMR’s methanol-to-jet pathway presents a significant opportunity: “Developing low-carbon fuel production in more of Australia’s states has the potential to create broad access for offtakers across the country – so important when we consider the reach of our industry.”

Andrew White, CEO of Victoria’s Forest Products Association, said plantations can underpin a future biofuel economy: “Plantation wood fibre residues and byproducts that might otherwise go to waste will be transformed into renewable low-carbon fuels – helping to decarbonise heavy transport, shipping and aviation.”

AFWI-Backed Research Paves the Way

The Series A investment builds on HAMR Energy’s $1.1 million Fibre to Fuels (F2F) research project, funded by the Australian Forest and Wood Innovations (AFWI) Centre for Sustainable Futures, hosted at the University of the Sunshine Coast. The project – delivered in partnership with CSIRO, the University of South Australia and a consortium of multiregional forestry stakeholders – is testing the technical, commercial and emissions-reduction potential of producing methanol from plantation residues using entrained-flow gasification, a pathway that could unlock new revenue streams for growers while strengthening Australia’s energy security.

HAMR Energy Director Alex Smith said the research is showing how residues from plantations across Tasmania, Western Australia and the Green Triangle can be converted into low-carbon fuels, helping forestry businesses “unlock new value from their plantations” while reducing emissions from aviation and shipping.

According to Professor Mark Brown, Director of the AFWI Centre for Sustainable Futures, the project exemplifies the kind of translational research needed to accelerate Australia’s low-carbon transition. “Forestry residues are a high-quality resource that can become a valuable domestic feedstock for renewable fuel production,” he said. “Fibre to Fuels exemplifies commercially-minded innovation that can move Australia to the forefront of low-carbon manufacturing, delivering regional benefits, building sovereign capability, and contributing to the decarbonisation of hard-to-abate sectors.”

Federal Backing: $1.1 Billion Cleaner Fuels Program

The investment also comes as the Australian Government’s $1.1 billion Cleaner Fuels Program is already supporting HAMR Energy’s Portland project. Global demand for SAF is expected to grow significantly, with projections indicating demand could reach 500 million tonnes by 2050. Australia, with its abundant plantation resources and established forestry logistics, is well positioned to become a major producer.

Cr Stephens said the situation underscores the importance of government and industry working together to support Victoria’s timber towns through transition and beyond. “Our communities have always understood the value of the plantation estate. This investment is proof that the forestry sector has a strong and diversified future – and we call on the Victorian Government to recognise the strategic importance of the Green Triangle and ensure regional communities capture the full economic benefit of Australia’s emerging renewable fuels sector.”

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Timber Towns Victoria is the peak local government body for Victoria on forestry policy. It represents Victorian Local Government areas with forestry industries on public or private land. In representing these local councils and the communities that work within the forestry and timber industries, TTV is committed to maintaining sustainable practices to ensure the industry continues into the future.

Quick links

• Victoria’s Timber Towns Mourn the Closure of the Swifts Creek Mill – Timber Towns Victoria 20 February 2026
• Catastrophic Fires Highlights Coordinated Fire Management Is Essential – Timber Towns Victoria 21 January 2026

For more information, contact Timber Towns Victoria President, Glenelg Shire Councillor Cr Karen Stephens, 0488 900 645 or email secretary@timbertownsvictoria.com.au