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Home News Supplier News

Viva Energy Australia supports BMD Group in renewable diesel trial

by Adam Daunt
May 9, 2025
in Environmental Products, Features, Maintenance Products, Supplier News
Reading Time: 5 mins read
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Viva Energy Australia

Viva Energy is committed to sustainability. Image: Viva Energy Australia

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Viva Energy Australia is helping the construction sector make strides toward sustainability by showcasing the practicality and environmental benefits of products such as renewable diesel and biodegradable lubricants.

The construction industry is at a critical juncture: balancing the demands of productivity with the need for sustainability. Diesel-powered equipment has long been the backbone of the sector, but with the growing demand for cleaner solutions, renewable diesel – also known as hydrotreated vegetable oil (HVO) – presents a promising alternative. Lubricants also play a vital role in keeping machinery operating efficiently, and we can expect to see more high-quality environmentally acceptable lubricants (EALs) being introduced to the market.

Why renewable diesel matters

Viva Energy is making renewable diesel more accessible, enabling construction companies to reduce their carbon footprint and take a decisive step toward decarbonisation. Produced from renewable feedstocks like used cooking oils and animal fats, renewable diesel offers a reduction in carbon emissions compared to conventional diesel.

Viva Energy carbon solutions manager Robert Cavicchiolo said it was a “game-changer” for the construction industry.

“Renewable diesel offers performance comparable to conventional diesel but with lower emissions,” he said.

“It’s a simple, drop-in solution that allows companies to continue operations while reducing their carbon footprint.”

The key advantage of renewable diesel is its seamless compatibility with existing diesel infrastructure. Its hydrocarbon structure is very similar to fossil fuel diesel, meaning construction companies can use it in their current machinery, fleets and generators without any costly modifications making sure that the customers first gain approval from the respective OEM’s (Original Equipment Manufacturers).

Viva Energy Australia
Shell Lubricants Macro Distributor in Australia. Image: Viva Energy Australia

BMD Group—one of Australia’s leading integrated engineering, construction, and urban development businesses—is partnering with Viva Energy to trial renewable diesel in its plant. As part of a recent trial, a telehandler powered by renewable diesel was tested onsite to explore its benefits and potential to replace diesel in some of their construction activities.

“We value our collaboration with BMD in providing products and solutions to help them address their carbon emission reduction goals. Renewable diesel can reduce emissions up to 90 per cent compared to traditional diesel, based on a life cycle analysis basis, helping companies achieve their emission reduction targets,” Cavicchiolo said.

Viva Energy recognises that the transition to a net zero emissions world will require a mix of short, medium and long-term solutions. Renewable diesel is a suitable drop-in solution for today, while other zero emission technologies are developed for the future.

“Renewable diesel is a critical transition fuel for the construction industry, offering effective decarbonisation solutions without altering existing equipment. This partnership and collaborative effort with Viva Energy is allowing us to explore the full potential of renewable diesel and drive meaningful progress in the industry,” BMG Group sustainability lead Martin Holliday said.

Protecting your equipment without compromising performance

Viva Energy Australia is also the Shell Lubricants Macro Distributor in Australia, providing high-quality lubricants and biodegradable lubricants to construction businesses.

Biodegradable lubricants are not new to the construction industry. There has long been a need for EALs (environmentally acceptable lubricants) for certain jobsite environments, such as projects near water and environmentally sensitive areas. However, they have historically been considered low quality.

“Years ago, EALs were made with vegetable oils, and they had lower oxidation resistance, and were really just a necessity for select jobs,” Viva Energy Product Support Engineer Silvana Farrugia said.

However, advancements in the performance of biodegradable lubricants have been accelerating in recent years, largely due to industry demand.

“This is largely being achieved through the reformulation of more balanced lubricants with higher tier synthetic ester base stocks and the development of better additives,” Farrugia said.

“The Shell PANOLIN portfolio, is technically well-balanced with high biodegradability and is designed for long life, with high performance and protection contributing to equipment longevity.”

Available through Viva Energy, the Shell PANOLIN portfolio includes a broad choice of readily biodegradable and low-ecotoxicity lubricants for hydraulics, gears, engines (HDEO) and greasing for machine lubrication, including leading OEM-approved products.

“Shell PANOLIN S4 HLP Synth 32, 46, 68 for example was the first Bosch Rexroth-approved biodegradable hydraulic oil, designed for uninterrupted equipment operation,” Farrugia said.

“We are pleased to bring the Shell PANOLIN range of products to the Australian market, and we have already seen strong interest amongst our partners and customers as they look to take tangible steps towards sustainability and biodegradable lubricants,” Viva Energy head of marketing Renee Reilly said.

Shell PANOLIN has developed a wide range of high-performance biodegradable lubricants to ensure that reducing the environmental impact of critical operations does not mean compromising on productivity or protection.

Practical considerations

While more sustainable alternatives such as renewable diesel and biodegradable lubricants offer clear benefits, there are some factors companies should consider before making the switch:

  • Supply – renewable diesel, like conventional diesel, is currently imported into Australia, and so is the Shell PANOLIN range, so planning is required if companies wish to transition to its use. However, Viva Energy ensures consistent availability through a robust supply chain.
  • Cost – renewable diesel or biodegradable lubricants typically come at a premium compared to traditional fuels and lubricants. Despite this, the long-term environmental and regulatory benefits may justify the additional cost.
  • Transition – the transition to the Shell PANOLIN range is simple and doesn’t require significant downtime or equipment upgrades, though companies should plan ahead to dovetail with their existing fuel or lubricants stocks to ensure a smooth changeover.

End-to-end support

Viva Energy is not just a supplier; it is a partner on the journey toward sustainability. From educational resources to technical support, the company is committed to helping businesses transition with minimal disruption and confidence.

“We’re here to guide construction companies through the switch to renewable or biodegradable options,” Reilly said.

“Through our Hydrocarbon Solutions team, we can also help customers establish or upgrade fuel farms, project-manage tank installations and ensure reliable, on-spec supply.”

As a technology-agnostic partner, Viva Energy Australia is forward-looking and adaptable. It helps construction companies achieve sustainability goals while keeping pace with industry trends. Supported by a reliable supply chain and technical expertise, companies can confidently make the switch to a more sustainable future.

For more information, visit vivaenergy.com.au

SOURCES:

[1} Shell Innovations in Lubrication Whitepaper 2024

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