Brussels, 2nd of November. Task Force 4.2 has released an executive summary and slidedeck outlining the findings of their recent investigation into the current costs of biomethane production, obtained through real industry data.
Task Force 4.2 has recently concluded a comprehensive study on the current production costs of biomethane through real industry data. Kees van der Leun, the rapporteur of TF4, presented the study’s key findings during the European Biomethane Week.
The comprehensive study is the result of a first-of-its-kind data collection process, which involved confidentially and anonymously gathering industry data from biomethane plant owners, operators, developers, and technology providers.
The study revealed that the average cost of biogas production and upgrading was €84/MWh for smaller plants and decreased to €54/MWh for larger plants. Notably, economies of scale played a significant role, with capital costs being 2-3 times higher per MW of capacity for smaller facilities compared to larger biomethane plants.
For feedstock costs, the cost paid at the gate range from –€94/MWh to +€43/MWh biomethane, with an average of €2/MWh. This large range comes as different feedstock types can bring very different costs.
While the study primarily focused on the energy aspect, it emphasized that biomethane serves as a critical enabler for sustainable processes, such as sustainable and circular agriculture, making it an essential investment in local rural economies.
An executive summary document and a comprehensive slidedeck of the study are available for download in our website.
A webinar discussing the TF4.2 findings is soon to be organized, providing an opportunity for biomethane stakeholders to engage in the conversation. Interested participants can reach out to the BIP secretariat to express their interest in participating.