The following report is provided by Business Region Göteborg AB via NGVA Europe.
Some 70 people from Europe, North America, and Asia participated in the 2nd Global Biogas Congress in Brussels from 28-29 October 2008. Most participants represented commercial enterprises engaged in the biogas field, but also included participants from energy and gas companies, waste handling companies (SITA, Veolia and others), the ethanol industry, banks, investement analysts and others. There were very few representatives from the political side. Emese Kottász from the Renewable Energy Policy Unit of the EU Commission was the exception. She declared that biogas is included among RES (Renewable Energy Sources) together with liquid biofuels. To qualify as a sustainable biofuel there are conditions demanding at least 50 % greenhouse gas reductions and the preservation of biological diversity.
Ulrich Schmack, Schmack Biogas (Germany) claimed that biogas will by 2012 in Germany become competetive with natural gas. He saw a German crop based potential of 200 TWh. The German crop (presently maize) based production makes the industry sensitive to variations in the crop pricing. Schmack has recently built an 80 GWh biogas plant for E.ON Deutschland. The competing needs of using crops for food vs energy was also mentioned, but Schmack does not see any problems and instead believes that both demands can be met in parallel.
Joe Schwager from a world leading company for analysis of the waste resources advocated that new incentives will lead to a wave of new biogas projects. Many companies and investors underestimate the complexity and thus also the riks in these projects.
Nina Sweet from WRAP (Waste Resources Action Programme), closely affiliated with the British EPA, in her presentation showed that the time is now ripe for biogas in the UK. Several government incentive programmes are now being launched.
Friedrich Wolf, CEO of E.ON Erdgas Germany sees a very large potential for biogas not only in Germany but all over the EU. AD (anerobic digestion) will by 2020 be doubled and reach 1930 TWh, and biomethane produced via gasification will reach 1150 TWh. There are today no incentives for biomethane used as an automotive fuel, but the German government is next year expected to provide incentives which will increase the use of biomethane in German vehicles. New rules are being developed which will provide access for biomethane to the NG grid. The network owner is responsible for the injection and will finance half of the investment. The network owner will also pay about 7 Euro cents per kWh to the biomethane supplier.
Conference summary
There is an increased international interest for biomethane, not least for use as a vehicle fuel. The large potential, and the very significant greenhouse gas emission reductions which can be achieved, mean that biomethane is no lonfger seen as a niche fuel. The presence of several large international enterprises – SITA, Veolia, E.ON, Gaz de France daughter companies, Stora Enso, Cheil Jedang (Korea’s largest food distributor) and others – confirm the interest.
Bernt Svensén
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