Task Force 4

Identifying and facilitating ways to decrease the cost of biomethane production and grid connection

Task Force 4

The goal of Task Force 4 is to provide insights into best practices for efficient and low-cost biomethane production and grid injection. This Task Force is mainly composed of companies active in the biomethane value chain.

The subgroups of Task Force 4

Task Force 4 is currently formed by three active subgroups (TF 4.1, TF 4.2 and TF 4.4). Following the delivery of preliminary results of these three subgroups, Task Force 4 will kick off other three subgroups (TF 4.3, TF 4.5 and TF 4.6).

  • TF 4.1 is currently preparing a paper on two specific topics. The first topic is related to optimizing the business case for biomethane production through the valorization of biogenic CO2 and digestate as co-products. The second is a business case analysis concerning e-methane production, utilizing biogenic CO2 and on-site renewable electricity and electrolysis to boost total  biomethane production at the plant level.
  • Task Force 4.2 was established with the primary objective of exploring strategies to minimize both technology and operational costs associated with biomethane production. As part of this activity, an anonymous collection of industry data was conducted for the production of a study detailing the current costs associated with biomethane production.
  • Task Force 4.4 is tasked with delivering a report focused on optimizing the costs associated with biomethane grid injection and the necessary grid reinforcement, encompassing reverse flow technology and grid extensions.

Key findings of Task Force 4.2 on current biomethane production costs

Task Force 4.2 works to understand current biomethane production costs and strategies for future cost reduction. In the last months, the subgroup conducted a study through a first-of-a-kind data collection process that ensured strict confidentiality and anonymity for participating industry stakeholders.

The study successfully collected data from over 10% of biomethane production within the European Union. Some of the key findings that have emerged from this undertaking are as follows:

  • The total feedstock-related costs average between €35-€45/MWh.
  • The study highlights the significant impact of economies of scale on both capital and operational costs.
  • Biomethane production costs show a decrease from an average of €87/MWh for plants with a capacity of 540 Nm3/h to €54/MWh for plants exceeding 1200 Nm3/h.

With a clearer understanding of production costs, prospective investors can make more informed choices regarding investments in biomethane production. Likewise, existing biomethane producers and industry players can benchmark their own costs, identifying areas for improvement and enhancing operational efficiency.

Find the video, the Executive Summary covering all the highlights of the study, and the extensive slidedeck with all the data below!