The present status and future prospects of the biogas/biomethane industry in Europe

1. The present status and future prospects of the biogas/biomethane industry in Europe Jan Stambasky – EBA President Trans-association workshop 15/12/2015 Osborn Clark – City Offices, One London Wall, London

2. European Biogas Association 25 countries – 34National Organisations – 43companies www.european-biogas.eu www.eu4biogas.eu

3. What Does EBA Stand For? • Biogas and Biomethane – The Products of Efficient and Sustainable Use of Resources • EBA is convinced that biogas has the potential to contribute at least 1.5 % of the EU’s primary energy mix and 5 % of the EU’s natural gas consumption (in energy equivalent terms) by 2020. • EBA is convinced that by 2030 the overall potential for biogas production from anaerobic digestion of at least 30 billion m3/year.Taken together with thermal biomass gasification, a estimate for the total production of biomethane is • 50 billion m3 per year. By 2030, the industry could produce renewable energy equivalent to approximately 10% of EU’s current natural gas consumption, for use for electricity generation, heating/cooling and as a transportation fuel.

4. EBA 2012

5. Biogas Resources, 2013 Source: EBA Biogas Report 2014 *other – biowaste and industrial biogas plants

6. European Biogas Industry 2014 • > 17 000 Biogas plants all over the Europe • ~ 16 000 000 000 m3 methane produced in 2014 • >30 m3 of methane per capita • >350 Biomethane plants • in AT, CH, DE, DK, ES, FR, FI, LX, NL, NO, SE, UK • ~ 1 000 000 000 m3 biomethane produced • > 8 200 MW installed power in combined H&P • 4 fairly sized conventional power plants

7. Biomethane Industry • Including Anaerobic digestion followed by biogas upgrading • Including Gasification of renewable organic matter followed by syngas conversion to biomethane • Including other technologies producing methane fuel from biogenic carbon or utilizing biological pathways (Power-to-Gas)

8. Biogas &Biomethane can do… A lot!

9. Biomethane Utilization • Green fuel for GT/GTCC power plants • Balancing power (combined power plants) • System services: frequency stability, voltage maintenance, etc. • By far the easiest way of providing green heating for residential heating • Transportation biofuel suitable for any desired blend • Can cope with future GHG limits in transportation (CO2)

10. Value of Biomethane • Physical (in use) value + Intrinsic (“bio”) value • Intrinsic value: „green”, renewable, sustainable, … • The physical flow does not carry the intrinsic value • Condition for sustainable biomethane production: • Costs of production are above natural gas prices • Intrinsic value must be realised on the market • WHY?

11. Biomethane Offers Competitiveness • Inherently secure supplies • Decentralized & domestic source of methane • Reducing GHG footprint of natural gas • Key importance for managing 2050 horizon • Keeping pace with renewable electricity sources • New geographical and commercial dimensions

12. Biomethane Technical Potential EU 28 NG consumption 2013 462×109 m3(2% down from 2012)

13. Biomethane in Near Future • We are convinced that 30% of the technical potential can be reached by 2030 • Reasons to be optimistic? • Keeping track with 2020 projection • 15% of the potential by 2020 • Following the NREAPs pathway • And still far off the maximal potential

14. Biogas Production in National Renewable Energy Action Plans (NREAPs)

15. Biomethane Path to 2030

16. Biomethane Path to 2030

17. BIOSURF Project • BIOmethane as SUstainable and Renewable Fuel • To develop a value chain analysis from production to use depending on the territorial, physical and economic features • To analyze, compare and promote biomethane registering, labelling, certification and trade practices in Europe • To address environmental criteria and quality standards • To address GHG emission reduction and certification

18. Biogas Related Policies on the EU Level Transport and Gas Power and heating Digestate Waste policies Support schemes Targets National Renewable Energy Action Plans Sustainability recommendations End-of-Waste Criteria for digestate ILUC Future Transport Fuels Revised Fertiliser Regulation Revision of Waste Framework And Landfill Directives 2030 Target for RES State Aid Guidelines on Energy and Environment Bio-methane Standards (CEN) REACH + Energy Union + ETS + Emissions in medium combustion plants + Renewable heating & cooling strategy + European Energy Security Strategy + CEN/TC groups on biogas definition + many more to come...

19. Strategy for Biomethane Industry • European Biogas Industry goes far beyond renewable electricity • Biomethane offers high GHG savings for natural gas blends, enabling gas greening • Biomethane industry can be a pillar of EU energy • Tremendous technical potential • Biomethane industry needs strong stakeholders • Methane fuelsmust overcome coal and oil usage • Need for a strong biomethane push right now

20. Jan Stambasky President European Biogas Association stambasky@european-biogas.eu www.european-biogas.eu The present status and future prospects of the biogas/biomethane industry in Europe