The gas sector is breathing easy: net-zero technologies finally include SAF and biomethane

The European Parliament’s Industry, Research, and Energy Committee (ITRE) adopted on October 25th 2023 its position on the Net Zero Industry Act (NZIA) proposal, by suggesting a stand-alone list of net-zero technologies eligible for EU funding and regulatory perks, which finally included aviation fuel (SAF), and biomethane-related technologies.

The European Biogas Association (EBA) welcomed the recognition by the European Parliament of the important contribution of biomethane to the decarbonisation of the sector through the introduction of a CO2-neutral fuel definition in line with the sustainability criteria of the Renewable Energy Directive. EBA had previously shown its “deep concerned” about the decision the European Parliament’s Environment Committee (ENVI) made in September to exclude “sustainable biogas and biomethane technologies” from the scope of the Net Zero Industry Act (NZIA), a landmark legislation to promote clean technology manufacturing in the European Union.

Sustainable biogas and biomethane are not only a local, European-made, and cost-competitive renewable alternative to oil and natural gas, but also meet the requirements set for this Act by the European Commission’s proposal last March. This makes them, according to EBA’s statement, a key solution in the transition to a low-carbon economy for EU industries:

  • Firstly, the EBA highlighted the technological readiness, as the main biogas production route (anaerobic digestion) is a mature technology, as evidenced by the fact that there are more than 18,000 biogas and 1,320 biomethane plants currently in operation, with a combined production capacity that exceeds 200 TWh, the equivalent to the gas consumption of Belgium.
  • On the other hand, the EBA said the contribution to decarbonisation and competitiveness should also be considered, as in 2020, the combined production of
    biogas and biomethane saved the equivalent of Portugal’s greenhouse gas emissions (60 Mt CO2eq emissions).
  • Finally, the EBA recalled the risks to the security of supply, since the European biogas industry covers the supply chain of production technologies and therefore the sector not only does not create new dependencies on third countries but also contributes to energy and technology security.

 

The vote of the European Parliament’s Industry, Research and Energy Committee was considered a new opportunity to recognize the strategic role of biogas in the NZIA so the gas sector’s hopes remain finally high.

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