Bio-LNG: A Pillar of Europe’s Energy Transition to Net-Zero

Bio-LNG is emerging as a key alternative for transport and marine, supporting the EU's net-zero energy goals. Production could reach 15.4 TWh/year by 2025.
Bio-LNG transition énergétique européenne

Partagez:

Bio-LNG (biological liquefied natural gas) is gradually emerging as a promising solution for Europe’s energy transition. Usable with existing LNG infrastructures, this biofuel plays a crucial role in reducing carbon emissions, particularly in the transport and marine sectors. With theEuropean Union aiming for carbon neutrality by 2050, companies are actively exploring the potential of Bio-LNG to achieve these ambitious European energy transition targets.

Advantages and challenges of Bio-LNG

The appeal of Bio-LNG lies in its ability to significantly reduce greenhouse gas (GHG) emissions. Under the EU’s Renewable Energy Directive (RED 3), biofuels must account for 42.5% of the energy market, with a sub-target of 29% for transport. GHG savings for Bio-LNG range from 89% to 200%, making its adoption economically viable compared with traditional fossil fuels.

Nevertheless, Bio-LNG production is still under development. The sector faces significant challenges, including the cost of production and the adaptation of existing bio-methane infrastructures. Producers also need to balance subsidies and incentives to switch from grid-injected bio-methane to Bio-LNG.

Growth in the Transportation Market

The European transport sector is preparing for a significant increase in demand for Bio-LNG. The Natural Gas Vehicle Association (NGVA Europe) predicts that 400,000 trucks could be powered by LNG by 2030, compared with just 2,000 today. This expansion is essential to reduce carbon emissions in a sector where low-emission alternatives are limited.

The European Commission is stepping up its energy targets for 2030, requiring hard-to-decarbonize sectors such as shipping and heavy road transport to switch to cleaner fuels. Bio-LNG offers an immediate and practical solution for reducing CO2 emissions, especially as the cost of emissions rises under the EU Emissions Trading Scheme (ETS).

Production prospects and future developments

The number of Bio-LNG production plants in Europe is growing rapidly. At the end of 2022, there were 27 active plants, a figure set to rise to 42 by 2024 and over 109 by 2025. Combined generation capacity is expected to reach 15.4 TWh/year by the end of 2025.

At the same time, the fleet of LNG/Bio-LNG trucks and refueling stations is growing. Italy, the European leader in this field, uses all the biomethane it produces as transport fuel, backed by a favorable legislative framework and a robust support scheme. Shell, for example, plans to add 2,000 LNG-fueled trucks in Europe and offer a Bio-LNG blend to its customers in the Netherlands and Germany by the first quarter of 2024.

Bio-LNG represents a significant step towards a low-carbon Europe. With growing production and adoption, this biofuel actively supports the EU’s ambitious environmental objectives. As environmental regulations tighten, the use of Bio-LNG will become not only a viable option, but also a necessary one for companies seeking to reduce their emissions costs and remain competitive.

Unions at the Cordemais coal-fired power station have called a strike and are demanding that EDF CEO Luc Rémont come to the plant to explain the abandonment of the biomass conversion project.
Haffner Energy and Bambbco collaborate to integrate bamboo as a new sustainable biomass source. The partnership aims to strengthen the supply of biomass for clean energy production, by exploiting marginal lands.
The CGT has revealed that EDF is considering halting the conversion of the Cordemais power plant to biomass, a project essential to the energy security of western France. EDF insists that the final decision has not yet been taken.
Hat: Gevo makes a strategic sale of tax credits generated by its renewable natural gas (RNG) site in Iowa, a transaction that strengthens its position in the renewable energy market.
NewEnergyBlue buys Inbicon's biomass technology from Ørsted, strengthening its global patent portfolio and licenses.
The launch of the Omaezakikou biomass power plant, affiliated to RENOVA, has been pushed back to March 2025. Technical adjustments extend the timetable and affect financial forecasts.
ENGIE and INRAE extend their five-year collaboration to optimize the biomethane sector in France, focusing on research and innovation to improve methanization and the use of agricultural resources.
Énercycle obtains $26 million in public funding to develop a biomethanization center in Saint-Étienne-des-Grès, aimed at reducing greenhouse gas emissions in the Mauricie region.
BPC Instruments wins two additional orders for its analytical systems, strengthening the infrastructure of biogas projects in California.
Hexagon Agility, a subsidiary of Hexagon Composites, receives a major order for renewable natural gas systems for a waste collection fleet in North America, strengthening its position in the sector.
The market for biomass briquettes is booming, driven by growing demand for renewable energies and regulations promoting the energy transition.
TotalEnergies has taken a strategic step forward by supplying its first marine biofuel made from used cooking oil to Singapore, in response to growing demand for alternative fuels in the maritime sector.
The global biomethane market is poised for significant expansion, with production capacity and equipment revenues forecast to rise between now and 2033, particularly in Europe and North America.
Renewable natural gas (RNG) production from landfill gas could reach 2.2 billion cubic feet per day by 2050, but the success of projects depends on scale, location and technology.
Ember's analysis positions Drax as the UK's biggest CO2 emitter, raising questions about the effectiveness of public subsidies for biomass.
The US Environmental Protection Agency (EPA) is conducting audits on biofuel producers to verify the authenticity of used cooking oils used in production, in response to fears of fraud and the use of less sustainable palm oils.
Greenlane Renewables wins a €1.3 million contract to supply biogas desulfurization equipment in Europe, strengthening its position in the renewable energies market.
Gunvor and VARO announce the construction of a sustainable biofuel plant in Rotterdam, aiming to meet up to 7% of the EU's needs by 2030.
RENOVA announces the resumption of operation of the Tokushima-Tsuda biomass power plant following repairs. A further shutdown is scheduled for the end of September for long-term improvements.
Euglena, Petronas and Eni have approved a $1.3 billion investment in a biorefinery in Malaysia, to be operational in 2028, to produce sustainable biofuels.