The project would involve a bio-energy plant near Ararat to turn straw and stubble into products such as renewable gas, electricity, and heat.

The project is still in its conceptual phase, with developer Pacific Heat and Power currently working with farmers to determine how much straw and stubble it would expect farmers to contribute annually.

Mark Dyer, who farms near Ballyrogan, said his early impression of the project was positive and acknowledged it was still in its early phases.

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"It's got huge potential," he said.

"Some people think wind farms are still more economical than this is. But it's only in its infancy, and hopefully, as time goes by, they will prove that it's cheaper than what the wind farms are.

"They're still working out a lot of the figures because it's very expensive to get off the ground."

Grampians Gas would see the farmers compensated for the straw they contribute to the project.

The model through which the farmers will be paid is yet to be determined.

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Mr Dyer said as the project was the first of its kind in Australia, it might take some time for Pacific Heat and Power and farmers in the region to find common ground.

He did also note that the general attitude towards the project was positive.

"If the farmers want too much for the raw straw product it just wouldn't be viable," he said.

"One of the biggest things is that one of the byproducts from the burning of the straw is charcoal, which makes really good fertiliser. So, hopefully, once it gets up and going, that will be able to go back to the growers that supply the raw product.

"That might cut the cost of buying the straw if they (the farmers) can get something back in return.

"But everybody seems fairly happy with the way things are progressing at the moment."

Mr Dyer said one of the plant's most significant benefits would be helping farmers get rid of their straw.

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"The majority of farmers do burn their straw and it's only going to be a matter of time before straw burning is no longer allowed, and that's where the project will really come into its own."

The plant would be the first of its kind in Australia but will take considerable investment to progress.

Pacific Heat and Power managing director Dr Scott Grierson said as an early estimate, the plant could cost $200-220 million to become operational.

However, Tatyoon farmer Sam King said the project could help the broader community, not just farmers.

"It would be tremendous for our region," he said.

"With the industry that could be created around the project, it could be beneficial to the entire region and its economy."

Mr King also acknowledged the practice of burning straw had a limited lifespan.

"It's only a matter of time it becomes a constraint we will be faced with," he said.

Tatyoon grower and agronomist Craig Drum concurred, noting the pitfalls of farmers' various methods to get rid of their straw.

"The biggest issue with burning is the high risk of erosion, whether it be wind or water erosion, so it can leave the paddock bear and exposed to soil being loss," he said.

"The actual process of burning stubble is fairly high labour and stressful."

Mr Drum said Grampians Gas could replace this stress with a reliable source of income.

"It would allow a regular marketplace for that straw, so they could bale straw each year knowing there was somewhere for it to go," he said.

"There are quite a few guys that have baled their straw this year, and there is currently no market for it.

"We're in a really strong agricultural area, so in terms of the fuel itself, there's a lot of straw in the local area.

"It's also a very safe part of the world. Even in the droughts of 2018/19/20, we still had straw we had to deal with."

Ararat Rural City Council has partnered with Pacific Heat and Power to develop a bio-energy plant concept.

Ararat councillor and farmer Rob Armstrong said the reliability of the crops around Ararat had been a significant factor in Pacific Heat and Power choosing the town for the plant.

"They wanted a nice secure area," he said.

"I also think they wanted to be somewhere where they're wanted by someone else and with a council that will get things done."

Cr Armstrong said the project had great promise.

"I think it's got so much potential in so many ways, with employment, business, town growth, and getting rid of all our straw waste instead of burning it," he said.

For more information on the project, visit www.grampiansgas.com.au/.

Do you have a story to share? Get in touch - klaus.nannestad@austcommunitymedia.com.au

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