Biomethane production in Ireland must be 'incentivised' over imports warns group
A leading industry body has warned that biomethane production in Ireland must be "incentivised and supported" ahead of cheaper imported biomethane.
The current government target for indigenously produced biomethane is up to 5.7 terawatt hours each year by 2030.
But the Irish Bioenergy Association (IrBEA) has highlighted that there is a need to "urgently address the fundamental issue of fraudulent activity" in the non-EU bioliquid supply chain.
Seán Finan, CEO of IrBEA, said that over the last few years the industry body and its members have "encountered a reluctance by government and the broader fossil fuel industry to even admit that there is a problem".
"To make matters worse, and despite stringent opposition from IrBEA bioliquid and biomethane members, in 2023, the government proceeded to give non-EU biofuel additional renewable energy certificates which has completely distorted the biofuel market to the detriment of Irish producers.
"The government needs to immediately remove eligibility of fraudulent non-EU biofuels to fulfil compliancy requirement in the Renewable Transport Obligation (RTFO) scheme and also in the proposed Renewable Heat Obligation (RHO) scheme," Finan has urged.
According to the (IrBEA) - which was founded in 1999 - if the RHO is to be successful, non-EU sourced biofuel must be excluded from fulfilling compliance requirements.
Finan added: "It is proposed that compliancy will be inter-tradable between fuels. If non-EU biofuels are not excluded, this fuel will fulfil all the RHO compliancy requirements.
"This is at odds with the RHO objective to develop an indigenous biomethane industry in Ireland
The Department of Environment, Climate and Communications (DECC) co-published what it "described as an "agri centric, farmer led National Biomethane Strategy" last May.
The strategy set out a pathway to the government's ambition to supply "up to 5.7 TWh of biogenic methane by 2030".
Last August the Department of Agriculture, Food and the Marine (DAFM) also launched the Biomethane Capital Grant Scheme which will provide funding of more than €40 million to biomethane developers.
Separately the IrBEA has said that confirmation that Green Generation - an Irish company that had use anaerobic digestion (AD) to convert agricultural and food waste to renewable energy - had gone into receivership was "very regrettable".
Finan said: “We strongly empathise with all those involved in Green Generation including the staff, its owners and all connected with the company who have work tirelessly to build up this flagship biomethane business over decades.”
Ireland's sovereign development fund, the Ireland Strategic Investment Fund (ISIF), which is managed and controlled by the National Treasury Management Agency (NTMA) confirmed that it is a secured lender to Clonbio Green Gas Limited trading as Green Generation.
In a statement the ISIF said: "The borrower has invited ISIF to appoint a receiver.
"Cormac O’Connor and Shane McCarthy of KPMG will act as joint receiver to Clonbio Green Gas limited trading as Green Generation and its subsidiaries, Green Generation Ireland Limited, Green Gas Generation Limited, and Waste Matters Ireland Limited.”
