Federal Government chooses end of biomethane expansion
“Amendments? None whatsoever! The draft law to amend the German Energy Industry Act (EnWG), intended to transpose the EU Gas Directive (Gas-RL) into national law, has caused considerable irritation—not only on our side,” says Jörg Fischer, CFO of EnviTec Biogas AG. The cabinet draft adopted yesterday also contradicts the objectives and requirements of the European Gas Directive it is supposed to implement, thereby jeopardizing the reliable provision of renewable gaseous energy carriers, particularly biomethane, Fischer adds. If the EnWG amendment is implemented in its current form, it would effectively bring the expansion of new biomethane projects to a halt.
All ambitions to promote green gases are stifled at an early stage
In this context, the federal government’s recently announced plans to expand green gases—intended to compensate for the abolition of the 65% requirement under the Building Energy Act (GEG) via a green gas quota—appear almost absurd. The current draft legislation is clearly counterproductive in this regard, as it allows grid operators to disconnect new biomethane plants from the gas grid after just a few years. “This effectively stifles all ambitions to systematically promote domestic green gas potential at an early stage. Investments become impossible under such conditions,” Fischer emphasizes. Without long-term security of grid access for biomethane, the newly introduced incentives for the use of green gases are ultimately meaningless.
Positive aspects can, however, be seen in the improved investment protection for existing biomethane plants. Extending the period during which grid operators may limit grid connections to 20 years is an important step toward safeguarding existing capacities. For new plants, however, a period of only ten years offers little opportunity to amortize the required investments. “It appears that the current draft is largely driven by cost-minimization considerations on the part of gas grid operators. As a result, the original role of grid operators—as key enablers of the renewable energy transition—is being neglected,” the CFO continues. Yet, a reliable and functional grid infrastructure is the foundation for the successful expansion and utilization of renewable energy. “Only an ambitious EnWG aligned with European law and offering long-term perspectives for both existing and new plants can create the conditions for a resilient, climate-neutral energy system in Germany—and consequently in Europe,” Fischer concludes.
From the perspective of EnviTec Biogas and Biogasrat+ e. V., the following points require revision:
- The expansion and development potential for renewable gas production must be fully considered in grid development planning and defined as binding political objectives—free from ideological bias.
- The provisions of the Gas Network Access Ordinance (GasNZV) for connecting biomethane plants to the gas grid must be fully maintained, as they form the basis for the successful ramp-up of biomethane production in Germany. This includes, in particular, preserving priority grid access for biomethane plants, maintaining the cost-sharing mechanism (§ 33 GasNZV) for grid connection, ensuring priority feed-in, and guaranteeing at least 96% availability of the grid connection.
- Disconnection of renewable gas feed-in plants from gas supply networks must only be permitted as a last resort, no earlier than 20 years after the commissioning of the grid connection, and only if a confirmed grid development plan or distribution grid development plan provides for the permanent decommissioning of the network or parts thereof because continued operation would be contrary to the public interest.