The untapped potential for biogas is equivalent to a quarter of global natural gas demand, the International Energy Agency (IEA) has said.
The IEA’s Outlook for Biogases and Biomethane, which is a first-of-its-kind geospatial assessment of the global biogas industry, found that biogas production could reach the equivalent of nearly 1 trillion cubic metres of natural gas each year from sustainable feedstocks.
However, it added that biogas and biomethane are likely to still ‘play a relatively minor role in the global energy mix’, noting that while human activities generate billions of tonnes of organic waste each year, less than 5% of this is suitable for biogas and biomethane production.
‘A much larger role’
“This report and its innovative analysis make clear that biogas and biomethane could play a much larger role in the world energy system – especially at a time when energy security and local production are top of mind for many governments,” commented IEA executive director Fatih Birol.
“The potential is particularly significant in emerging and developing economies, which are home to almost 80% of feedstocks that could be used to sustainably produce biogases. Our report highlights the additional actions that can allow policy makers to make full use of this valuable energy resource.”
The IEA also noted that since 2020, more than 50 new policies have been introduced to support biogas development, as more and more countries recognise their benefits.
Cost compettiiveness
From a cost-competitiveness point of view, the report added that while the underlying technologies to accelerate biogas production have been around for many years, the cost to produce biomethane is ‘significantly above’ that of natural gas in many markets.
‘Achieving widespread cost competitiveness would require targeted policy support or carbon dioxide (CO2) pricing, for example,’ the IEA said.
However, it added that five times the current level of biomethane production globally could be developed at a cost ‘equal to or lower than’ current natural gas prices. In addition, projects to support the development of biogas would help to reduce emissions from the agricultural sector and ensure byproducts that can be used as sustainable fertiliser. Read more here.
