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17/10/2024

NI Gas Network Operators Jointly Launch Policy Paper

The Enabling a Greener Energy Future policy paper, which focuses on unlocking biomethane potential in Northern Ireland, has been jointly launched by the country's five gas network operators.

Evolve, Phoenix Energy, Firmus Energy, Mutual Energy and GNI (UK) collaborated at an event on Wednesday to send a message to politicians that now was the time to 'grasp this incredible opportunity to accelerate Northern Ireland along the pathway to net zero'.

The event was hosted by Phillip Brett MLA, Chair of the Economy Committee, and addressed by Andrew Muir MLA, Minister of Agriculture, Environment and Rural Affairs.

The gas companies stress that adding biomethane to the gas network could cut the region's carbon emissions, deliver significant environmental benefits and create hundreds of new jobs.

In a joint statement, Northern Ireland's gas network operators said: "With the Northern Ireland Climate Change Act 2022 mandating net zero emissions by 2050, a major transformation of the energy system is crucial, demanding swift, affordable solutions that maximise emissions reductions.

"Biomethane offers an opportunity to drive this transition with the potential to fully decarbonise current industrial and commercial gas demand, and over 550,000 homes in Northern Ireland with access to the gas network.

"We can create a future where we no longer depend on imported fossil fuels and where we provide a solution for agricultural waste that helps improve our land and water resources, while also sustaining our rural communities.

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"This is an incredible opportunity to drive economic growth, create good jobs, boost productivity, promote better regional balance and increase the competitiveness of our major industries."

A renewable gas derived from organic matter like manure or silage from farms, biomethane is produced through anaerobic digestion.

Almost identical to natural gas, biomethane can be transported through existing gas pipelines, and in November 2023, the renewable gas was successfully injected to Northern Ireland's gas network in Dungannon.

Whilst replacing natural gas with biomethane will be seamless for customers connected to the gas grid, the resulting environmental benefits will be enormous.

The operators pointed to research by the Centre for Advanced Sustainable Energy which shows biomethane has the potential to supply 6,000 Gigawatt hours (GWh) per year, equal to around 80 percent of current gas distribution network demand.

In doing so, it would reduce Northern Ireland CO2 emissions by 845,000 tonnes per annum.

Analysis by KPMG shows that the injection of 1.5 Terawatt hours (TWh) of biomethane into the Northern Ireland gas network annually by 2030 could create 1,500 new green jobs, and support the local large energy users by providing solutions that support their sustainability demands.

The operators also requested targets and capital support to be set, as well as regulatory framework to be enabled.

"To capitalise on the enormous promise of biomethane, the timely establishment of a supportive policy framework is required," the statement read.

"This should include the setting of a regional target to produce 1.5 TWh of biomethane a year by 2030; support mechanisms, starting with a 'Pathfinder' support mechanism scheme to provide the investment certainty needed to sustain growth in the sector; and a regulatory framework that enables strategic network investments and streamlines planning processes."

The potential of biomethane has been recognised by the Department for the Economy, the Department of Agriculture, Environment and Rural Affairs (DAERA) and was included in the Executive's draft Programme for Government.

DAERA Minister Andrew Muir said: "Today's event clearly demonstrates the potential benefits from the private sector and government working together to tackle our nutrient and climate issues while also accelerating the biomethane economy in Northern Ireland.

"As well as protecting our environment for generations to come, if managed correctly, I believe we can deliver an affordable renewable energy in the form of biomethane, and by doing so sustainably develop our agri-economy, and indeed our rural society."

The Enabling a Greener Energy Future publication can be read here.

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