Biogas production in Europe was enough to cover 6.6pc of the EU's natural gas demand in 2023, according to figures from the European Biogas Association (EBA)'s latest statistical report.
Combined biogas and biomethane production in Europe was 234TWh, or 22bn m³, last year, the EBA said, while latest Eurostat data show the EU's total natural gas demand was 3,519TWh, or 294bn m³.
The EBA has revised its 2023 biomethane production estimate upwards to 4.9bn m³, from 4.6bn m³ in its January report. This amounts to an increase of 0.8bn m³ compared with 2022, the biggest yearly rise on record, with year-on year growth reaching 21pc in the EU and 18pc in Europe as a whole.
The number of biomethane plants in the region rose sevenfold last year to 1,510, leaving Europe with installed capacity of 6.4bn m³/yr by the first quarter of 2024.
Biogas and biomethane made up 6pc of the EU's renewable electricity consumption last year, which in turn accounted for 40pc of total electricity consumed in the bloc.
Italy, France, Denmark and the UK had the fastest production growth rates in Europe in 2023, but Germany remained the region's biggest biogas and biomethane producer at 100TWh. If growth rates continue at last year's pace, most European countries are likely to meet the biomethane targets in their 2030 National Energy and Climate Plans (NECPs), said the EBA. However, there is a significant gap between the volumes committed in the NECPs — which add up to 14.6bn m³/yr — and the 35bn m³/yr target in the EU's REPowerEU plan. The shortfall is partly because of insufficient investment.
The EBA's report highlights the role of biogas in replacing Russian gas and LNG. According to Eurostat, 98pc of the EU's natural gas demand in 2022 was covered by imports. The bloc has the potential to produce 111bn m³/yr of biomethane by 2040, representing over 30pc of EU gas consumption in 2022.
Last year, 23pc of European biomethane was used for transport, 17pc for buildings, 15pc for power generation and 13pc for industry. Most German, UK, French, Danish, Dutch and Swiss biomethane is still generally used for heating or electricity, while Norway, Italy, Sweden, Estonia and Finland mainly use biomethane for transport.
In France alone, a further 1,232 projects are at various stages of development, although French plants continue to be "on the smaller side" at an average capacity of 197 m³/h, compared with an average 468 m³/h in the rest of Europe, the EBA said. Denmark and the UK have larger plants with average capacity of 1,443 m³/h and 961 m³/h, respectively. Denmark also has the highest ratio of biomethane to natural gas in its grid — by August 2024, the share of biomethane in the Danish gas grid had reached 37.5pc.
No new plants have been established to run on energy crops as the main feedstock since 2020, and there is a clear EU-wide trend towards waste feedstocks, in line with regulation that aims to phase out crop-based biofuels by 2030, the EBA said. But the feedstock mix currently used in biogas plants varies between countries and a significant portion is still crop-based, it said.
Barriers to growth
In a poll of network members, the EBA identified the main factors regarded as the greatest barriers to sector growth. These include market availability, low costs of natural gas, regulatory instability, the lack of a single market for biomethane, the lack of mature voluntary schemes, a political push for other solutions and long-term supply contract hurdles.
To ensure 2030 targets are met, the association called for increased regulatory stability, long-term goals to boost investment, cuts to red tape and technology-neutrality under EU rules.
