€25 billion in private investments secured for the growth of the biomethane sector in Europe by 2030
Brussels 18/06/24 – The European biomethane sector will receive an injection of €25 billion in private investments by 2030, according to a European Biogas Association (EBA) analysis released today. This represents a 30% increase compared to last year estimates. The 2nd edition of the Biomethane Investments Outlook forecasts €2.1 extra billion investments in the pipeline, but yet to be allocated.
The projected investments by 2030 will result in the installation of 950 new biomethane plants across Europe, alongside the 1,300 facilities already operational. This will add 6.3 billion cubic meters (bcm) of biomethane capacity annually to the continent, which could contribute to avoiding nearly 29 million tons of CO2 emissions each year, providing renewable energy to 5 million European households year-round, and producing 830 thousand tons of fertiliser annually.
Investments will be mostly located in Denmark (€3.6 billion), Poland (€3.4 billion) and Italy (€2.4 billion). In the case of Denmark, the share of biomethane in the gas grid is close to 40% and there are plans to increase this production to substitute 100% of the gas demand before 2030.
Two years following the launch the REPowerEU plan, the industry is swiftly mobilising to achieve the 35 bcm biomethane production target by 2030. Investments are crucial to fully unlock biomethane production potential and streamlining the development of new plants across Europe.
Aligning the EU Taxonomy with the REPowerEU objectives for biomethane will direct capital towards the sector. The EU Taxonomy plays a crucial role in incentivising green investments, although challenges in implementing screening criteria persist. To secure the announced investments, it is essential to implement aligned policies, maintain stable regulatory frameworks and facilitate long-term end-use of biomethane and its co-products.
EBA will present the key outcomes of this analysis on 5th July at the webinar “Biomethane scale-up in figures: Mapping new plants and investments across Europe”, which will also unveil the new edition of the European Biomethane Map.
Contact
Mieke Decorte – EBA Technical Director decorte@europeanbiogas.eu
