Parratt & Associates Scoping Biorefineries: Temperate Biomass Value Chains

6.5 Skills Capability Development and Employment

The development and deployment of appropriate skills, education policies and programs are crucial to industry development. Skills development and employment offer considerable opportunities for the biobased industry as a whole. However there are significant gaps in industrial applications and product development. One very senior multinational executive indicated that any new facility built in Australia would require the transfer of skills from pilot and development facilities overseas. Australia’s chemical and new material process industries are effectively non-existent, a fact that has been flagged previously in the bioprocessing and pharmaceutical industry.²²⁷

The ‘Clean Sustainable Skills Package’ announced by the Federal Government in July 2009 will provide opportunities for 50,000 young and disadvantaged Australians to acquire skills and training for the emerging green jobs sector. The ACF-ACTU Green Jobs report suggests that;

• 
  there will be a 7 Trillion dollar international market in the Green Economy by 2020;
  
• 
  Australia could create 1 million jobs to meet the demands of working in the Green Economy; and
  
• 
  Australia will need to improve the skills of 3 million workers to meet the challenges of the Green Economy.
  

The extent to which the value chains for temperate biomass and the development of biorefineries will deliver on these employment opportunities depends upon the extent to which downstream industries can be created. Across the value chain for biomass transformation to renewable products requires significant changes and challenges to industry and educational institutions are required.

The Clean Energy Council provides the following breakdown for projected new jobs in the bioenergy sectors by 2020²²⁸.

Table 6-2: Breakdown of projected new jobs in the bioenergy industry by 2020

Category	BAU Projection to 2020	MMA RET Breakdown
Engineers/Designers	245 (27 rising to 44 in 2020)	49
Scientists	130 (14 rising to 23 in 2020)	26
Technicians/Installers	1 422 (154 rising to 255 in 2020)	281
Administration Staff	339 (38 rising to 61 in 2020)	67
Management	106 (12 rising to 19 in 2020)	21
Customer Service Representatives	14 (2 rising to 3 in 2020)	3
Consultants	66 (7 rising to 12 in 2020)	13
Other	710 (79 rising to 127 in 2020)	140
Total	3 032	600

BAU = Business as usual projections; RET= Renewable Energy Target projections by MMA
Numbers in brackets represent the annual training requirement to achieve targets.

The MMA (McLennan, Magasanik and Associates (MMA)) predictions quoted by the Energy Council assume meeting the current RET projections. The MMA figures are additional to those with business as usual. These numbers may appear low however they do not account for any growth in the indirect support sectors relating to biomass collection, storage or transport. Importantly, they also do not account for any job increases or jobs maintained within the chemicals and plastics sectors.

1. The Technical and Further Education Sector (TAFE)

Currently, there is no specialist TAFE courses specifically directed toward bioproduct processing or production, including bioenergy. Courses are offered at some of the TAFEs that are specific to petrochemical refineries or in conjunction with on-site employer specific training²²⁹. Many generalist TAFE programs can be readily adapted to bioproduct development. Many TAFEs provide technical level training in chemistry, biotechnology and biomedical sciences all of which would provide significant skills subsets that would be transferable to bioproduct based industries.

The lack of any specialist courses for bioenergy and for bioproducts from biomass means new courses will need to be developed to meet the projected demand. The Clean Energy Council suggests that there are some existing course materials for bioenergy programs that have yet to be deployed. The nature of the courses at Australian TAFEs suggest that the development of bridging courses specific to biomass processing could fulfil any immediate needs at the technical level.

2. The University Sector

Only three universities were noted as offering single course work level programs in bioenergy in the Clean Energy Council report. However, there are other universities offering programs in renewable energies with a bioenergy - related component. There are a number of universities offering detailed programs in chemistry, biotechnology, chemical engineering, process engineering and biochemistry. Process research and process development activities for the pharmaceutical industry require a combination of chemistry (85%) and engineering skills (15%). The required ratio is reversed at the pilot plant scale.²³⁰

Historically, the Australian chemical industry has focussed on the manufacture of bulk commodities (e.g. explosives for the mining industry, fertiliser production or petrochemical cracking). In Europe, scale-up issues are often taught as an integral part of chemistry programs. A lack of scale-up facilities located within universities has precluded this option in Australia. The recent additions to small-scale fermentation facilities with NCRIS funding will assist the education and training. However, there is still a large gap in scale-up and pilot facilities. Industry is concerned that university courses do not equip graduates with a commercial skill set necessary for industrial process development. This is an issue across all aspects of the biosciences sector²³¹. There is a ‘catch-22’ here, in that a developing industry is required to provide the demand and trainer base for graduate development.

The development of undergraduate courses requires significant planning and time for the establishment of each course, the recruitment of academic staff and the recruitment of students. In courses with a significant vocational element, access to industry base is necessary. It is unlikely that any significant bio-product based programs, particularly in relation to design, construction, operation and business development of biorefineries could be established in the next 2-3 years; and no graduates would emerge until 2016 or 2017. Over the next 5-6 years demand for scientists, engineers and business managers will need to be recruited from overseas. Alternatively, Australian candidates will have to be trained via bridging courses and in-house training.

In addition to undergraduate programs there are opportunities and demand for postgraduate courses (Diploma, Certificate, Masters and PhD). One advantage of postgraduate programs is that they can be established comparatively quickly (providing the institution sees a perceived need and has the physical resources to support the programs). Table 6.3 lists some programs in bioenergy, materials, process chemistry and biosciences. The list is not intended to be exhaustive; it is only a reflection of the current variety and potential. All postgraduate courses are supported by undergraduate programs in their respective discipline areas.

Table 6-3: University postgraduate research training

University	Major Areas of Research or Training	Award
Deakin University	Biotechnology, Bio-Oil production and Engineering, natural fibres and materials	MSc, PhD
Flinders University	Bioenergy and Biorefinery platforms (particularly algae)	MSc, PhD
Monash University	Biochemical and thermochemical bioenergy, Formulation science, green chemistry, pulp and paper	MSc, PhD
Murdoch University	Bioenergy	MSc, PhD
Newcastle University	Chemical Engineering	MSc, PhD
Queensland University of Technology	Biofuels, enzymes, bioprocessing and pre-treatment technologies	MSc, PhD
University of Queensland	Bioenergy, bagasse processing, systems biology, bioprocessing	MSc, PhD
University of NSW	Bioenergy, material sciences and engineering	MSc, PhD
University of Sydney	Ethanol production, chemical engineering	MSc, PhD
University of Wollongong	Industrial chemistry	MSc, PhD
University of Adelaide	Chemical Engineering	MSc, PhD

A number of gaps in the skills development are evident in Australia. The challenge of stimulating TAFEs and universities to develop programs and attract students to such programs is obvious lack of potential positions in the field at the moment. Demand cannot be driven by the education sector, by its very nature the sector is mostly reactive rather than proactive. Generalist programs can provide a base for skills development on the back of on-site training.

As stated above the initial wave of skilled labour will need to be acquired off-shore. Industry requires skilled technicians, engineers and managers from day one. The current university and TAFE system provide little, if any access to appropriate ‘commercial facilities’ and staff providing the training rarely have the strong industrial skill base. There is a high level of academic biotechnology, chemical and related staff in education institutions. Not unexpectedly, there are few with large-scale international experience at planning, designing and implementing commercial scale production facilities. Government support to increase the commercial skill base of academic staff and post-graduate students would greatly enhance Australia’s competitive position. This ‘commercial’ training is being addressed in some programs, such as the Researchers in Business. However, secondments and support to work in international facilities would greatly enhance the education programs and Australia’s competitiveness.

Considerable facilities are available for process analysis and evaluation of downstream products, however little training on upstream facilities is possible, e.g. medium to large-scale fermenters (5000 to 10,000 and then >100,000L capacity). Some opportunities may exist to transfer knowledge from the wine industry, however requirements for process control, Q&A and OGTR regulations provide a significant layer of complexity. Capability and facilities do exist in existing refineries and pulp mills to undertake downstream analysis and processing of platform chemicals. Accessing these facilities for bio-based product development and training would be essential to grow the skills and knowledge base.

Key Messages:

Uncertainty exists with policy makers, investors and legislators over the lack of direction following the withdrawal of the CPRS and Energy White Paper.

Energy policy is currently the driver for utilisation of biomass in biorefineries.

There is a range of legislation at the State and Commonwealth to manage and implement policies effecting biomass value chains.

There is a lack of co-ordination and harmonisation of policies and legislation between the States and Commonwealth effecting biomass value chains.

Biomass transformation to bioproducts currently does not receive any credit under the RET or CPRS schemes.

Three key Commonwealth Departments with potential to impact biomass value chain development have environmental sustainability as a critical concern and issue to be addressed. Sustainability frameworks and links to international frameworks are seen as critical.

Policy development to enhance biorefinery industry development is not well ‘tuned’ to the current stage of development for the industry.

Capability and skills exist in Australia, however these are limited and will require considerable development at all levels within the workforce.

Additional training and courses are required at TAFEs and Universities to meet the growing demand.

The lack of an existing industry base will require recruitment of personnel from overseas for both education and industry.