Naturgy will promote the first BioGNL project in Spain as part of its commitment to the decarbonisation of the current energy mix and innovation in sustainability. BioLNG is biomethane, a renewable gas produced from the recovery of waste, which in this case is liquefied for transport to the final consumer. This process is essential to drive the decarbonisation of transport.
As part of this commitment, Naturgy has already signed the first long-term purchase contract for renewable gas in liquid form. The agreement will entail the purchase of an annual production of 25 GWh of BioGNL obtained at the Sologas waste recovery plant in As Somozas (La Coruña), which is expected to come into operation by the end of 2023.
ADDSynergy, from the Pietro Fiorentini Group, will be the company in charge of the implementation of a process that will allow the integrated production of BioGNL and liquid CO2 to achieve CO2 capture and increase the quality of BioGNL. This capture will give the product a negative carbon intensity, which is a very important milestone for meeting Spain’s decarbonisation targets.
“Renewable gas must play a leading role in the decarbonisation of transport, a sector that accounts for almost a third of greenhouse gas emissions in the European Union. This project, a pioneer in Spain, is a step forward in the search for innovative solutions to promote biomethane as a strategic lever in the energy transition,” explains Silvia Sanjoaquín, Director of New Business at Naturgy.
Among all its potential uses, BioLNG has great potential to boost the decarbonisation of heavy road and maritime transport at a reasonable cost. This renewable gas is traditionally distributed by truck to LNG terminals for use as bunkering fuel for ships, heavy road transport or other uses. Its production is growing rapidly in Europe as it is recognised as a necessary and high potential fuel for the energy transition that can be blended with fossil LNG.
Commitment to biomethane
Our objective is to play a pivotal role in the development of renewable gases. This involves both the production and distribution of biomethane in Spain in the short term and the development of hydrogen as an energy vector, which will have a significant impact on the medium-term energy mix.
The company has positioned itself as one of the leading promoters of renewable gas in Spain, boasting over 60 projects at various stages of development. It currently operates two biomethane production plants, one at the Bens WWTP, in A Coruña, and the other in Cerdanyola del Vallès, Barcelona. The latter was the first in Spain to inject renewable gas from landfills into the grid. Naturgy has plans for a third plant in Vila-Sana, Lleida, due to come online in the coming months, and it has already initiated the approval process for two additional plants in Torrefarrera, Lleida, and Utiel, Valencia.
The company is in a favourable position to seize the opportunities presented by renewable gases and drive forward decarbonisation efforts. It is willing to make substantial investments and allocate resources to this business, given the considerable potential Spain holds for its development, with 160 TWh/year, equivalent to 40% of the country’s gas demand.
The recent draft of the Spanish National Integrated Energy and Climate Plan (PNIEC) has doubled the renewable gas production target to 20 TWh/year by 2030, highlighting its crucial role in the energy transition. Biomethane, as a mature and affordable technology, also contributes to the circular economy through waste optimisation, job creation and the development of rural areas.