Two North Island companies are to sign a contract on Friday for what they say is the first large-scale commercial supply deal for bio-fuel in New Zealand.
ExploreNZ is switching its marine fleet to bio-diesel, supplied by a Waikato company, Environ Fuels. The fuel was chosen after extensive trials and the agreement is valued at more than $3 million.
ExploreNZ says the fuel is a 20% biodiesel blend with mineral diesel, and will significantly reduce the company's carbon emissions.
The company runs 12 boats in Auckland and the Bay of Islands.
