Australian glass manufacturer Orora has secured a grant to support the construction of an oxygen-fuelled furnace at its Gawler production facility.

The $12.5 million grant was awarded from the federal government under the under the Modern Manufacturing Initiative – Manufacturing Translation Stream, Recycling and Clean Energy programme, to accelerate development and commercialisation of low emissions technologies.

Orora Beverage Group General Manager, Simon Bromell, said: "Our plan to introduce oxygen fuelled furnace technology to our site in Gawler, which would be a first for Australia, supports Orora’s ongoing commitment to reducing greenhouse gas emissions.

"This grant is an important step in achieving that plan, which we intend to progress through to 2024.

“The project would also assist Orora to meet the growing demand from consumers for recycled and sustainable packaging and support our wine industry customers to be competitive in their export markets.”

Globally, Orora Group has committed to achieving net zero Scope 1 (direct) and Scope 2 (indirect emissions from purchased energy) greenhouse gas emissions across its operations by 2050.

Orora also has an interim goal of a 40% reduction from 2019 levels by 2035, and a target of 60% recycled content for glass bottles by 2025.

The oxygen fuelled furnace, which would replace existing furnace technology, would contribute to this goal together with the construction of a $25M glass beneficiation plant at Gawler, which is expected to be commissioned in Q4 FY22.