On 28th May 2024, Ireland introduced its first-ever National Biomethane Strategy, setting ambitious targets to develop the country’s biomethane industry. The government aims to produce 5.7 terawatt-hours (TWh) of biomethane annually by 2030, tripling the target set in 2019. Given that Ireland currently produces just 0.075 TWh, this new strategy marks a significant milestone in the nation’s drive towards net-zero emissions and presents a critical opportunity for businesses looking to enter the biomethane market.
What Is Biomethane?
Biomethane is an upgraded version of biogas, which is produced through the anaerobic digestion of organic materials, such as food and agricultural waste. This process involves microorganisms breaking down the waste in the absence of oxygen, creating biogas, which contains methane. To convert biogas into biomethane, impurities such as carbon dioxide (CO2), hydrogen sulphide, and water are removed through purification methods like water scrubbing or membrane separation.
The result is a high-methane content fuel—biomethane typically contains 95-99% methane, compared to biogas, which has 50-70%. This makes biomethane a highly efficient and sustainable energy source with a Lower Heating Value (LHV) comparable to natural gas, allowing it to be integrated into Ireland’s existing natural gas infrastructure.
Why Is Biomethane Important for Ireland?
Ireland’s potential for biomethane production is among the highest in the world, largely thanks to its extensive agricultural sector. According to a report by the NNFCC, Ireland has the greatest biomethane production potential per capita in Europe. The agricultural sector, valued at nearly €20 billion, is not only vital for food production but also supplies the raw materials—energy crops and grass—needed for biomethane generation.
By 2030, biomethane could meet 20% of Ireland’s natural gas demand, according to the European Commission. This positions biomethane as a key player in the country’s renewable energy strategy.
Key Pillars of Ireland’s Biomethane Strategy
Ireland’s National Biomethane Strategy outlines 25 key actions to support the growth of the biomethane industry. The strategy is built around four main pillars:
- A Dual Approach to Production
The Irish government plans to develop both large-scale biomethane plants and smaller, farm-scale operations. Large plants will connect directly to the national grid, while smaller farms will transport their gas to centralised facilities for distribution. This dual approach is essential to scaling up production quickly while engaging the agricultural community as key stakeholders.
- Ensuring Sustainability
To maintain high sustainability standards, the government will introduce a range of new regulations, including a Sustainability Charter, compliance requirements, and a renewable certification for biomethane producers. Additionally, a Biomethane Implementation Group will oversee strategies to enhance the environmental sustainability of production.
- Policy Enablement and Streamlined Planning
Recognising the need for efficient planning processes, the strategy aims to reduce bureaucracy for biomethane plant developers. Currently, multiple agencies must approve projects, which slows down development. The government plans to increase resources for these agencies to accelerate approvals and reduce costs for developers, including a review of the national gas network connection fees.
- Financial Support for Biomethane Projects
The Irish government has committed to providing substantial financial support for biomethane projects, beginning with a €40 million capital grant fund. Additional funding will be available in 2026. In parallel, the government is working to introduce a Renewable Heat Obligation, which will require energy suppliers to ensure that a portion of the energy they supply is renewable. This is expected to drive significant market demand for biomethane.
Why Does Ireland’s Biomethane Strategy Matter?
The National Biomethane Strategy is a cornerstone of Ireland’s broader decarbonisation efforts, aligning with its commitment to achieving net-zero emissions by 2050. It represents a major opportunity for renewable energy investors, farmers, and businesses interested in sustainable energy solutions.
By focusing on both large-scale infrastructure and smaller, community-driven projects, the strategy balances economic growth with environmental sustainability. Moreover, the financial incentives and streamlined policies will make it easier for developers to build and expand biomethane plants, paving the way for long-term energy security.
FAQs
What is the difference between biogas and biomethane?
- Biogas contains 50-70% methane, while biomethane is purified to 95-99% methane, making it more efficient and suitable for integration into the national gas grid.
How much biomethane does Ireland aim to produce by 2030?
- Ireland’s target is to produce 5.7 TWh of biomethane annually by 2030, a significant increase from the 0.075 TWh currently produced.
What financial support is available for biomethane projects?
- The Irish government has announced a €40 million grant for biomethane projects, with further funding available by 2026. A Renewable Heat Obligation is also in development, which will mandate that a portion of energy supplied is renewable.
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