Sustainable forestry waste from the local timber industry called “hog fuel” has now replaced lpg, providing the heat to process locally sourced milk into powder for leading baby formula brands.
Combined with the use of 100% renewable electricity, Danone says CO2 emissions at the plant will be reduced by 95%, or 20,000 tonnes per year — helping their global ambition to be a net-zero carbon company by 2050.
“This is a significant investment for Danone and one that underscores our belief that in order to produce healthy food, we must have a healthy planet,” said Danone’s New Zealand operations director, Steve Donnelly.
“This has not been a simple project for us, especially with the impact of Covid. However, it is symbolic of the action required for business to contribute in an impactful way in order to realise a low-emissions, climate resilient future for New Zealand.”
He also announced partnerships with French water, waste and energy company Veolia, who will manage the boiler itself; Nelson-based Azwood, who manage forestry slash and waste for the hog fuel; and further company initiatives to recycle water from the dried milk and work alongside farmers with soil science aimed at reducing fertiliser without reducing productivity.
A video speech from Minister of Energy and Resources Megan Woods praised Danone’s initiative, and Clutha Mayor Bryan Cadogan thanked the company on behalf of the district.
“More than just a significant employer and investor in local resources, Danone has gone out of their way to be part of the community,” Mr Cadogan said.
Danone acquired the Clydevale plant and its Auckland blending and packaging facilities in 2014, increasing production of finished infant formula products.
The Clydevale boilers play a central role in spray drying — the process of converting milk into a dry powder — and around 85% of the plant’s energy consumption comes from the boiler’s steam production.
Outlining Danone’s long-term goals, marketing director Kathy Cavill referenced Plunket founder Sir Truby King, whose Otago-Southland farming background and research into infant nutrition set the groundwork for the industry New Zealand and Danone are now world leaders in.
Citing studies on consumer concerns, Mrs Cavill announced Danone’s progression toward 100% recyclable, renewable or reusable packaging within the next year, in addition to ambitious climate and sustainability goals.
Sustainability was no longer a choice for brands wishing to stay relevant, competitive and operative, Mrs Cavill said.
The biomass boiler represents a $30 million investment. Its expected three-year build time was doubled by Covid-19 complications.
