The opportunity for Spain to become a future European gas hub through the development of renewable gases, such as biomethane and green hydrogen, is increasingly evident. Specifically, biomethane is emerging as one of the great keys, not only for the transformation of the energy mix in the short term, but also for advancing towards the decarbonization of the economy.
In this sense, Spain has the potential to produce 163 TWh/year of biomethane, a figure that would cover around 45% of the national demand for natural gas and whose development could have meant savings of around 4,000 million euros for consumers on their energy bills in 2022, due to the reduction in purchases from third countries.
These are some of the main conclusions of the report ‘Study of biomethane production capacity in Spain’, issued by the Spanish Gas Association, Sedigas, in collaboration with PwC and the specialized consultant Biovic, with the aim of analyzing the national potential of this renewable gas and providing knowledge that helps define their development plans and the national decarbonization strategy.
The analysis is an update of the latest figures calculated in 2018 by the Institute for Energy Diversification and Saving (IDAE), which placed the available biomethane potential between 20 and 34 TWh per year in 2030, which could mean between 5% and 9% of the annual gas demand. The origin of this difference lies in the fact that the IDAE data did not include intermediate crops, as well as forest residues and other biological residues that are more difficult to use, but have great potential, which have now been considered.
The materialization of the Spanish biomethane production potential would also mean an important boost to local socioeconomic development, since it would entail the start-up of 2,326 specialized plants throughout the entire territory, with an estimated investment of 40,500 million euros and the generation of nearly 62,000 jobs, both direct and indirect, associated with its operation and maintenance.
The main value of this renewable gas lies in the fact that its development possibilities are especially palpable in sectors that are difficult to electrify due to the nature of its activities and that it allows the use of a multitude of waste, solving the existing management problem in Spain and promoting, therefore, the circular economy. Likewise, the emission of 8.3 million tons of methane would be avoided, which would otherwise be released into the atmosphere naturally by the decomposition of the waste reused to generate it.
“The results of this report show the opportunity that Spain has to establish itself as one of the main energy powers in the European Union thanks to renewable gases. Biomethane is a green and cost-efficient solution to advance decarbonization that could generate nearly 62,000 jobs in an industrial area with enormous potential in our country. We must not forget that its development is closely linked to the rural world, since livestock and agricultural residues are one of the main raw materials for its production,” said Joan Batalla, President of Sedigas.
“In Spain, the support from the administrations has been practically non-existent, hence the notable difference in the growth of the biomethane sector at the level of production and number of plants in operation in our country compared to other countries of the European Union. Although it is true that the first steps are being taken for the progressive development of this energy vector (such as the approval of the Biogas Roadmap), and that this has led to more than 200 projects being developed today, there are still a series of administrative, regulatory, economic and fiscal barriers that are limiting investment in new biomethane production infrastructure, reducing its penetration in the gas sector and harming the economy and employment in the areas where these projects could be developed,” added Batalla.
Source: Sedigas
