While most companies talk about going green, Fusion Fuel Green PLC is actually doing something about it. The clean energy innovator has teamed up with South Africa’s Alien Fuel to form Biosteam Energy, a joint venture with Fusion Fuel holding a controlling 51% stake. Their first target? A major South African dairy processing plant that’s about to ditch fossil fuels for good.
Let’s be honest. The dairy industry isn’t exactly known for being environmentally friendly. Cows burp methane, processing plants guzzle energy. It’s a mess. But this partnership aims to change that—at least on the processing side.
The project is surprisingly simple in concept. Rip out the old fossil-fuel boilers and replace them with biomass systems that burn carbon-neutral wood pellets. These aren’t just any pellets, though. They’re made from waste biomass and those annoying invasive plants nobody wants around anyway. Two birds, one stone. Smart.
Fusion Fuel isn’t just lending its name to the project. They’ve ponied up a €480,000 loan (that’s about 10 million in South African Rand) to kickstart operations. Construction began in November 2025, and the whole system should be up and running by January 2026. CEO John-Paul Backwell has emphasized this initiative represents an important strategic evolution in delivering scalable decarbonization projects. Fast work.
The financial side looks promising too. Biosteam Energy will make money from a long-term steam supply agreement with Fairfield Dairy, plus extra cash from verified carbon credits. Not a bad revenue stream for doing the right thing.
This isn’t just about feeling warm and fuzzy about saving the planet. The project delivers serious emissions cuts in both direct operations (Scope 1) and energy purchases (Scope 2). The dairy gets to meet its net-zero promises without sacrificing production. The partnership exemplifies how companies can fulfill client net-zero commitments while maintaining operational efficiency.
If successful, this could be the blueprint for industrial decarbonization across southern Africa. Unlike fossil fuel alternatives, this biomass approach offers a solution with minimal land use compared to other renewable energy options. One dairy facility down, an entire continent’s industrial sector to go. No pressure.
References
- https://www.greenawards.ie/news/fusion-fuel-and-alien-fuel-partner-to-advance-industrial-decarbonisation-in-south-africa
- https://www.quiverquant.com/news/Fusion+Fuel+Green+PLC+and+Alien+Energy+Initiate+Joint+Venture+for+Biomass-Powered+Steam+Project+in+South+Africa
- https://www.investing.com/news/company-news/fusion-fuel-begins-construction-of-biomass-steam-project-in-south-africa-93CH-4330251
- https://www.stocktitan.net/news/HTOO/fusion-fuel-green-plc-executes-heads-of-terms-with-alien-energy-3j2zkvyg9b9u.html
- https://www.renewableenergymagazine.com/biomass/fusion-fuel-green-announces-groundbreaking-of-landmark-20251106
- https://www.nasdaq.com/press-release/fusion-fuel-green-plc-signs-definitive-joint-venture-agreement-alien-fuel-landmark
- https://www.gurufocus.com/news/3181049/fusion-fuel-htoo-begins-south-african-biomass-project
