A part of the Shell energy and petrochemicals group, Shell Australia also seeks to reduce the environmental impacts of fossil fuel use.

The new facility offers Biodiesel 20 (B20) to customers in New South Wales.

Shell downstream VP Andrew Smith said that the launch of B20 was responding to business needs to reduce the environmental impact of transport fuels and potential liability under the Federal Government’s carbon pricing scheme.

"Shell is committed to understanding customer needs, and when we asked them if they would consider using B20 if it was available 28% they said they would because of the tax benefit.

"Given the zero rating of biodisesel under the carbon pricing scheme, using a B20 fuel in their trucks can help affected customers significantly improve their bottom line," added Smith

Shell Diesel B20 comprises of Shell diesel along with a bio component manufactured from vegetable oils or animal fats, is currently available from Shell’s terminal in Melbourne.