The European biomethane sector is poised to receive €25 billion in private investments by 2030, marking a 30% increase from previous estimates, according to analysis by the European Biogas Association (EBA).
The 2nd edition of the Biomethane Investments Outlook forecasts an additional €2.1 billion in investments currently in the pipeline but yet to be allocated. This initiative aims to install 950 new biomethane plants across Europe, supplementing the existing 1,300 operational facilities.
By 2030, these investments are projected to add 6.3 billion cubic meters (bcm) of biomethane capacity annually, potentially averting nearly 29 million tons of CO2 emissions annually. This capacity would provide renewable energy to 5 million European households year-round and yield 830 thousand tons of fertilizer annually.
Denmark, Poland, and Italy are expected to attract the largest shares of investments, with Denmark earmarked for €3.6 billion due to its ambitious plans to increase biomethane's share in the gas grid to 100% by 2030.
The European Union's REPowerEU plan, launched two years ago, aims to achieve a 35 bcm biomethane production target by 2030, driving rapid mobilization within the industry.
“The EU Taxonomy plays a crucial role in incentivizing green investments,” stated the EBA, emphasizing the need for aligned policies and stable regulatory frameworks to facilitate long-term development and utilization of biomethane and its by-products.
EBA plans to present detailed insights from its analysis next month, highlighting the sector's potential to contribute significantly to Europe's renewable energy goals while addressing environmental challenges.
