Cargill has launched a large-scale renewable energy project at its Newcastle Crush Plant, integrating onsite solar generation into its Australian manufacturing operations as part of efforts to reduce emissions and improve energy resilience.
In a news release, the company stated the 2.58 megawatt (MW) solar array has been installed at the Newcastle facility, which manufactures canola oil, cottonseed oil and animal meals.
Cargill said the project is its first large-scale renewable energy asset in Australia and the first fully owned and operated renewable energy installation run by an oilseed processor and bulk handler in the country.
According to Cargill, the solar array is expected to generate more than 4,200 megawatt hours (MWh) of renewable electricity each year.
The company estimates this will reduce Scope 2 greenhouse gas emissions by approximately 2,700 tonnes of carbon dioxide equivalent annually, which it said is comparable to the electricity use of around 700 households in New South Wales.
The company described the project as part of its broader approach to lowering emissions across its manufacturing footprint. Cargill has previously stated an ambition to reduce absolute Scope 1 and Scope 2 emissions by 25 per cent by 2035, and said the Newcastle installation will contribute toward that goal.
Nick Ebrill, Senior Director, Regional Operations SSEA-Australia at Cargill, said the project reflects a practical approach to sustainability within manufacturing operations. He said integrating renewable energy into existing infrastructure can reduce emissions while supporting operational resilience and long-term value creation.
Cargill said the solar array directly powers the Newcastle manufacturing site, with the company retaining ownership of the asset and all renewable energy certificates generated onsite.
The company also noted that generating electricity at the facility may help mitigate exposure to volatility in energy markets and support more stable manufacturing operations, which it said can provide greater certainty for customers and the broader supply chain.
The announcement comes as governments and industry increase focus on emissions reduction and transparency.
The Australian Government has set a target of cutting national emissions by 62 to 70 per cent below 2005 levels by 2035, prompting increased adoption of lower-carbon energy sources across sectors including food and agriculture.
Cargill said the Newcastle project forms part of a wider investment program in its Australian manufacturing and processing network. In 2023, the company announced a A$100 million investment to upgrade and expand its Newcastle, Narrabri and Footscray facilities to meet growing demand for food, feed and renewable fuels. It has also introduced other sustainability initiatives, including its Sustain Connect program announced in 2024.
The company said the solar installation represents a practical, scalable measure within its manufacturing operations, contributing to a lower-carbon approach to food and agricultural processing in Australia.
