A bio fuels research, demonstration and validation plant,  described as being at the forefront of world energy  technology, has been commissioned at Bomaderry.

The Bolong Road facility  has been set up between the Manildra Ethanol Distillery and former Dairy Farmers factory, by the Perth based Alge.Tech group.

Algae is fed with waste carbon dioxide from Manildra, plus  nutrients in water and light energy collected from a solar array, producing bio diesel, jet fuel and a bio mass, which can be used as stock feed.

Alge.Tech Executive Chairman Roger Stroud told the commissioning as fossil fuel reserves decline, the way is being opened for the development of  renewable energy resources.

Energy and Resources Minister Chris Hartcher says using algae as the raw material for fuel production has the distinct advantage in that it does not rely on food products for the process.