Bulla Dairy Foods is the latest food manufacturer to invest in cogeneration to improve its green credentials and reduce its energy bill.
Bulla will install a 3.1MW cogeneration system at its Connor Street ice cream factory in Colac Victoria, and the project will reduce its carbon footprint at the site by 55 per cent.
The system will use existing waste heat from the site's boiler system to supply up to 75 per cent of the demand for energy on that site.
The federal government is stumping up $2.1 million from its Clean Technology, Food and Foundries Investment Program to help fund the project.
The CEO of Bulla Dairy Foods, Reg Weine, said the investment built on other improvements recently made by the company including a 13 per cent reduction in total trade waste, a 20 per cent reduction in waste to landfill volumes and a six per cent reduction in green house gas emissions across the company's three manufacturing sites.
“Other project benefits include increased plant efficiency, reduced operating costs and reduced exposure to rapidly increasing energy costs,” Weine said.
Bulla Dairy Foods said it would start work on the project immediately with project partners AusIndustry, Rudds, ECI and Colac Otway Shire.