Market possibilities for German CBG/LBG in Sweden

In Germany CNG (Compressed Natural Gas) costs approx. 1 euro/kg (which is about half of the cost in Sweden) and there are no instruments targeted for the use of biomethane in the transportation sector. However, there are instruments (feed-in tariffs) that promote the use of biogas for production of renewable electricity. Approx. 30 % of the energy content in the biogas becomes electricity when used for electricity production while 100 % of the biogas is utilized when it replaces fossil fuels in the transportation sector. The above indicates that there are market possibilities in Sweden for upgraded German biogas.

In a study ordered by Nawaro AG the costs and conditions for different types of biogas distribution were investigated by Renewtec and several distributors of biomethane and operators of filling stations as well as one trading company were contacted for further discussions.

Small scale bioSNG production – a new study by Renewtec

In a study financed by the Swedish Energy Agency and the industrial gasification group at the Swedish Gas Technology Centre (SGC) Renewtec has reviewed promising gasification techniques for small and medium scale (5-30 MWth) biomethane production.

Small plants are normally associated with a high specific investment cost but by changing to a gasification and gas cleaning technique adopted for smaller plants this problem may be circumvented.

Even if small plants often are associated with a somewhat lower conversion efficiency there are several advantages to build plants in the smaller scale. The economic risk is lower, it’s easier to secure the feedstock supply and to integrate excess process heat with the local heat demand.

On the gas cleaning side techniques related to catalytic tar reforming are under development which implies that the rather costly tar separation based on wet scrubbing techniques can be avoided. When it comes to carbon dioxide separation the thermo-chemical biomethane route based on gasifcation and methanation profits from the development within the anaerobic digestion sector.

The report can be downloaded through the following link Small and medium scale technologies for bio-SNG production

In the report the specific investment cost is investigated.

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