European ambition for renewable natural gas

With ambitious climate targets and a pressing need for energy independence, Europe stands at a critical juncture in its energy transition. One key solution is produce biogas, renewable natural gas (RNG), which can then be upgraded to biomethane. Derived from organic waste through anaerobic digestion (AD), biomethane offers a sustainable, dispatchable, and locally produced energy source that can seamlessly be integrated into existing gas infrastructure.

But how many biogas plants does Europe need to meet its targets?

This article will delve into the specific targets and progress of Italy, Ireland, Spain, and Poland, and cover how pioneering companies like Cycle0 are actively turning waste into valuable renewable natural gas.

Does Europe urgently need more biogas plants?

The European Union has set an ambitious target of producing 35 billion cubic meters (BCM) of biomethane annually by 2030 under its REPowerEU plan. This goal is a direct response to the urgent need to reduce reliance on imported fossil fuels and accelerate the shift towards a greener, more secure energy system. 

To achieve the 35 BCM target, the European Biogas Association (EBA) estimates that approximately 8,500 new biomethane plants will be needed across Europe, requiring an investment of around €83 billion.

Currently there are 1,500 plants, so building 7,000 new biogas plants is a massive challenge. The situation is more complex as each of the EU countries faces unique challenges and opportunities, with varying levels of existing infrastructure, feedstock availability, and policy support.

Focusing on Italy, Ireland, Spain, and Poland, we can begin to unpack the specific requirements and contributions of these nations to the overarching European ambition.

Italy’s path to biogas leadership

Italy has emerged as a frontrunner in biomethane production, with a significant number of operational plants and ambitious expansion plans. The country aims to generate 39.4% of its energy from renewable sources by 2030, including 6 BCM of biomethane.

This is a significant leap from its 2023 production of 0.26 BCM. To achieve this, Italy needs a considerable increase in its biogas plant capacity. The country’s strong agricultural sector provides a vast potential for feedstocks, and favourable policy frameworks have been instrumental in driving investment.

Italy’s National Recovery and Resilience Plan (NRRP) and the Gestore dei Servizi Energetici (GSE) tariff scheme provide significant financial incentives for biomethane production and injection into the gas grid. These policies encourage the development of new facilities.

Cycle0, recognizing this favourable environment, has announced the construction of its first plant in Italy, located in Pontinia, Lazio. This plant will produce 4 million cubic meters of biomethane annually from local farm waste, marking an important step towards Italy’s targets.

Ireland’s green gas journey

While still in its early stages, Ireland has set an ambitious target of 0.54 BCM of biomethane production by 2030. To reach this goal, experts estimate that Ireland needs to develop over 100 anaerobic digestion (AD) plants.

Currently, there are only a handful of operational plants, highlighting the significant gap that needs to be bridged. While a pipeline of projects with planning permission exists, the pace of development has been slower than desired.

The Irish government is committed to supporting an agri-led biomethane industry through its National Biomethane Strategy. However, the Renewable Heat Obligation (RHO), a crucial route-to-market for developers, has yet to be fully implemented, creating uncertainty and slowing investment.

Cycle0 has announced significant investment plans in Ireland, demonstrating its belief in the country’s long-term potential for renewable natural gas.

Spain’s biogas strategic development

Spain, with its vast agricultural and livestock sectors, has immense potential for biogas production. The country’s Biogas Roadmap sets a target of 1 BCM of renewable gas production by 2030. This is a considerable challenge, given the small number of active biomethane plants.

Spain is actively working to create a more favourable regulatory environment for biogas development. The approval of a new framework to accelerate the connection of renewable gas plants to the gas system is a positive step. 

Initiatives like the European ALFA project, which promotes biogas in the agricultural community, are also crucial. 

Cycle0 has made a substantial commitment to Spain, announcing a €200 million investment to build, own, and operate up to 30 new biogas plants. We currently have several operating biomethane plants, and a strong pipeline to deliver more and we’ve successfully delivered Spain’s first biomethane grid injection point, further demonstrating our commitment to the country.

Poland’s evolving role in the European biogas map

Poland’s energy policy recognizes the strategic role of biogas and biomethane in enhancing energy security and decarbonization. The country aims to significantly increase its biogas capacity, with projections suggesting the need for up to 800 new agricultural biogas plants.

While this initial focus has been on electricity, there’s a growing emphasis on biomethane production for injection into the gas grid and use in transport.

Poland is introducing an auction-based support system for biomethane production, designed to encourage investment. This framework, combined with the National Recovery Plan, aims to address investment hurdles and drive market expansion.

The integration of biomethane with the national gas system and its application in transport are key priorities. As Poland ramps up its efforts, we can see a clear trajectory towards increased biomethane adoption.

Cycle0’s commitment to European biogas targets

At Cycle0, our mission is to turn waste into renewable natural gas. We are an end-to-end provider of renewable gas solutions, delivering innovative, fully-funded results to reduce greenhouse gas emissions.

Contact us today to explore how we can partner to turn your waste into a valuable renewable energy resource and contribute to a greener future.