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Biomethane, the Spanish case Current status and prospects WORKSHOP MAGRAMASEDIGAS Madrid, 14th April2015

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Biomethane, the Spanish case

Current status and prospects

WORKSHOP MAGRAMA‐SEDIGASMadrid, 14th April‐ 2015

2

Index

Biomethane

RegulationStandardiza-

tion

Production

Cost

Environment

Raw Material

Quality

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1. Biogas, origin and applications

Biogas

Sewagesludge

Waste*Agriculturalindustries

Energy crops Biomass

Boiler Engines-cogeneration Gas vehicles Gas grid

Biogas composition Biomethane composition

50-65% methane50-35% CO2

95% minimum methane2% CO2 maximum

(in accordance with detailed protocol-01)

Heat Electricity Vehicles fuel

Biomethane

* organic fractions of household and industry waste

Landfill

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2. Overview

Biomethane’s production and its injection into gas grids for fuelingvehicles is already a reality.– Knowledge, experience, abundant raw materials, technologies and

infrastructures are available.

– In late 2013, in Europe, there were 282 biomethane’s plants, 180 of themwere already injecting into gas grids. Source: EBA (European Biogas Association).

The Spanish biogas potential is estimated to be 1.695

ktoe/year by 2020(1,68 bcm/year)*.

*(Source: Situación y potencial de generación de Biogás. IDAE)

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3. Biomethane’s regulation

To widespread the use of biomethane it would be required,- an adequate regulation,- coordinated actions among the Regulators (Ministry of Finance,

Ministry of Industry and Ministry of Environment),- coordinated initiatives for Directives transposition within the

European framework.

• Biomethane in Spain doesn’t have an specific regulatory framework– a reliable and not subsidized framework is needed– tax incentives and benefits from the emissions trading are

recommended.

• The responsibilities among the gas injection stakeholders should be regulated.

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4. Biomethane standardization

The European framework should be completed for both biomethane’sinjection and its use as a vehicle fuel.

The EC identifies the lack of an European standardization as a handicap for the biomethane implementation.

CEN Standards are expected to be ready in 2015: – Specifications for biomethane injection into natural gas network– Automotive fuel specifications.

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5. Raw materials

Raw materials have an important role in the biomethane costs.A more binding waste management and recovery regulation, wouldstimulate the biogas’ and biomethane’s production.

One of the main sector problems is the solid urban waste diversity in Spanish landfills.

Some waste have alternative uses. In these cases, they have to be bought, especially in the agricultural sector.

加温

メタンガス

乾燥

珠洲市浄化センター

農業集落排水汚泥

生ゴミ

水処理施設

公共下水道

ガスホルダー

メタン発酵槽

受入施設

し 尿

浄化槽汚泥

汚泥乾燥施設 汚泥脱水機

下水汚泥

Sewage

Food waste

Rural Sewage

Septic tanknight soil

Biogas

Gas holder

Digester

Compost

Source : Dr. Tatsuya NOIKE, Nihon Univ.

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6. Biomethane’s quality

Some quality requirements for biomethane injection into highpressure gas grid are more restrictive than the ones for natural gas.– The common practice is to establish different qualities according to the

injection point (high or medium pressure network) or if it is used asvehicles fuel.

– Biomethane for NGV applications could have lower quality requirementsthan the biomethane for injection into gas grids.

– the maximum oxygen content permitted is 0,3% while in the European Standard in process, is going to be setted within the following range: from 0,001% to 1 %, depending on the injection point.

– the maximum CO2 content permitted is 2% for injection into high pressure networks and 2,5% for injection into distribution networks. The corresponding European requirement is 4% or 5% on medium pressure networks.

– The methane content has to be the minimum to guarantee a correct combustion even though its heating value was lower than the natural gas that in the network.

Example:

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7. Biomethane’s productionDepending on the raw material or the biomethane qualityrequirements, there are different ways to produce it.

The production costs are decreasing quickly. The biomethaneproduction cost could be soon competitive with natural gas prices.

– Depending on the substrates type, it is possible to get 10 to 400 m3 of biogas from every tonne of biogenic wastes digested.

– Technologies start being competitive when the production rate is over 200 m3/h.

– Valdemingomez capacity plant is 4.000 m3/h, but currently it is operating at 2.000-2.400 m3/h.

– In order to avoid building new infrastructures that would increase the project cost, the final use has to be closed to the production.

Waste water produced by 185 people could provide bioenergy for a vehicle.Source: Smart Green Project

Example:

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8. Biomethane’s cost

Biomethane’s cost depends on raw materials, production process andquality requirements.– In some cases, biomethane’s total cost is close to gas natural prices.– If some requirement standards were more flexible, the gap between

biomethane and natural gas prices could be smaller.

Example:

– The average production cost for biogas anaerobic digestion from biogenic wastes is around 0,40 €/m3.

– The net cost for compressing and upgrading the biogas into biomethane is 0,27 €/m3.

The final price is around 0,7 €/m3 (70 €/MWh)*

*Referred to the natural gas Net Calorific Value

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9. Environment

Environmental benefits from biomethane’s production and its use areclear.– It is the most biofuels efficient fuel– Its injection into natural gas grids permits:

• to achieve the renewable energy objectives, to reduce fossil fuels consumption and to reduce greenhouse gas (GHG) emissions;

• to improve security of supply and to reduce EU’s energetic dependence;• to maintain forests, reducing fire risks;• to create a green certificate for gas.

The use of the biogas/biomethanehelps to achieve the decarbonisationtarget in the automotive/energy sectors (target 20/20/20), helps to fulfill the 20% of renewables and the 20% emissions limit.

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10. Some Spanish initiatives

– Parque Tecnológico de Valdemingómez• Biomethane injection into the transmission gas grid produced from anaerobic digestion of

household waste.

– LIFE BIOGRID European project coordinated by EDP Naturgas Energy and Biogas Fuel Cell (finalized in December 2013).

• First vehicle in Spain who used biomethane and first biomethane injection in the natural gas distribution network by "Blending" in a gas pressure regulating station;

– Joint venture of Gas Natural Fenosa (GNF), HERA HOLDING and SODENA• Project to show the purification and enrichment of biogas from landfill in Góngora (Navarra).

Target: To study whether biogas, once processed and converted into biomethane, has the quality conditions for be injected into the natural gas network .;

– RENOVAGAS: • Project of a synthetic natural gas plant from the hydrogen produced by renewables and mixing

with biogas in order to produce biomethane for inject into the gas grid ; Enagas, FCC-Aqualia, Abengoa Hidrógeno, Gas Natural Fenosa, Tecnalia….

– FCC Aqualia• Two projects to optimize the biomethane production in Sewage Plants.

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11. Conclusions

– Biomethane sector could be relevant in both, Europe and Spain.

– Technologies are available, but in order to be competitive, it isnecessary to reduce biomethane’s production cost.

– It is necessary a regulatory framework for biomethane’s valuechain, from the production to the final use.

– European biomethane’s quality requirements should be establishedby approving the CEN standards.

– The quality requirements for biomethane NGV use should be lowerthan the corresponding for injection.

– NGV biomethane’s final price would be lower than injection cases.

– In order to reduce the injection cost, injection should be done at thelowest gas grid pressure.

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