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BIOMETHANE ROADMAP IN ITALY Steering Group Meeting and General Assembly Wien, Wednesday 25 February 2015 Lorenzo Maggioni, CIB

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BIOMETHANE ROADMAP

IN ITALY

Steering Group Meeting and General Assembly

Wien, Wednesday 25 February 2015

Lorenzo Maggioni, CIB

Agricultural biogas plants> 450 = 370 MW

The CIB - Italian Biogas Consortium, formed in March 2009, has

national coverage and aimes to be the reference point in the italian

biogas and biomethane sector..Lorenzo Maggioni [email protected] Wien February 25th 2015

Short presentation

Company Members Partners

Institutions

Short presentation

Lorenzo Maggioni [email protected] Wien February 25th 2015

• Present situation: transport and gas grid

• Decree 05 December 2013

• Different scenarios

• Barriers

CONTENTS

BIOGAS AND BIOMETHANE

IN ITALY

• Potential

• Present situation: biogas and biomethane

• What is in the next future

Lorenzo Maggioni [email protected] Wien February 25th 2015

PRESENT SITUATIONBiogas and biomethane

Pieve Fissiraga (LO)

San Giovanni Persiceto (BO)

Pinerolo (TO) Mantova (MN)

Roma

New upgrading plants

Thanks to dr JeffreySeisler

The top 10 NGV countries in the world

based on total NGVs

PRESENT SITUATIONTransport sector and Natural Gas Grid

Italian Gas Grid infrastructure data:

• Primary transport network: 34,000 km;

• Distribution: 250.000 km networks.

Lorenzo Maggioni [email protected] Wien February 25th 2015

Entry into force (art. 9 of the Decree) : 18

december 2013

Duration: upgrading plants that will be in service by 17 december 2018

BIOMETHANE IN ITALYDecree 05 Decembre 2013

Lorenzo Maggioni [email protected] Wien February 25th 2015

NEW UPGRADING PLANTS

(new sistes)

EXISTING BIOGAS PLANTS

(you have to add the upgrading

unit)

The new rules will apply to different kinds of plant

incentive reduced

compared to new plants

BIOMETHANE IN ITALYDecree 05 Decembre 2013

Lorenzo Maggioni [email protected] Wien February 25th 2015

<The “natural gas grid” includes not only the transport and

distribution grids of natural gas, but also other useful systems

for the transport of biomethane as dedicated grids, the CNG

trailers and distributors (gas station), including the agriculture,

also not connected to the networks of transport and distribution

of natural gas>.

BIOMETHANE IN ITALYDecree 05 Decembre 2013

Lorenzo Maggioni [email protected] Wien February 25th 2015

Different scenarios depending on:

• New upgrading plant (> €) or existing biogas plant (< €)

• Size of the upgrading plant (> € if < 500 m3 CH4/h)

• Use of by-products (> €)

• Final use of biomethane: injected into natural gas grid, used in trasport

(highest incentives), used in high efficency cogeneration plants

• Only for biomethane for transport, the producer is also involved in the

distribution of biomethane, eg gas station, (> €) or not (< €).

BIOMETHANE IN ITALYDecree 05 Decembre 2013

Duration of the incentive: 20 years

• Injection into natural gas grid:(< 500 m3 CH4/h, use of 100% by-products,

single buyer = GSE) 94,12 €/MWh

• Used in transport: (value of certificate = 500 euro, use of 100% by-

products, producer sell biothane in his own gas station) > 150 €/MWh

Best scenarios:

Lorenzo Maggioni [email protected] Wien February 25th 2015

Done,

12/02/2015

To do!

Withing 60

days from the

last provision

Done, January 2015

Done,

12/02/2015

Done,

12/02/2015

Done,

12/02/2015

Lorenzo Maggioni [email protected] Wien February 25th 2015

BIOMETHANE IN ITALYBarriers

<According to some studies, the potential for growth is important in terms of volume -

up to one billion cubic meters a year, especially for biomethane obtained from farms,

food processing companies and landfills>.

National Energy Strategy, March 2013

POTENTIAL OF BIOMETHANE

www.mise.gov.it

BIOMETHANE IN ITALYPotential

1 billion m3 biomethane / year involves INVESTIMENTS OF 4 BILLION EURO!

A realistic development plan of methane/biomethane within 2020 should include:

• doubling service stations to 2000;

• Doubling current means of transport consumption of CNG methane (preferably GNL)

up to about 2 billions Nm3 by 2020;

• Increasing biomethane consumption up to 35% of the total consumption, about

700.000.000 Nm3/year.Lorenzo Maggioni [email protected] Wien February 25th 2015

What‘s in the next future

1° biomethane tractor (gas) Liquified Biomethane

Other ways to produce biomethane

Lorenzo Maggioni [email protected] Wien February 25th 2015

Thanks for your attention!

CIB

Consorzio Italiano Biogas e Gassificazione

[email protected]

P.IVA: 09248721004

c/o Parco Tecnologico Padano

Via Einstein,

Loc. Cascina Codazza

Lodi (LO) 26900

Segreteria

Tel +39(0)3714662633

Fax +39(0)3714662401

Lorenzo Maggioni, PhD

Research & Development

[email protected]