The Swedish government recently announced a long-term investment plan for boosting biogas/biomethane production to reduce the country’s dependence on imports of fossil natural gas and contribute to achieving climate and environmental goals. This is well in line with the recently announced European Commission’s plan, REPowerEU, where increased biogas production has been identified as an essential renewable energy source to phase out dependence on imports of natural gas. As a pioneer in quality analysis for biogas production, BPC Instruments AB (“BPC” or “the Company”) sees excellent business opportunities and increased market potential as the new investments and policies support biogas production.
The new Swedish regulation will provide subsidies for the production of purified biogas and liquified biomethane. In the budget bill for 2022, SEK 500 million was set aside to increase biogas production. In 2023 and 2024, it is proposed that SEK 700 million per year be provided for the same purpose. The investment is aimed for the long-term and could continue until 2040.
BPC Instruments stands well-positioned in increased market demand to ensure quality analysis of biogas production. The Company is a pioneer in feedstock quality analysis and has a global reputation in biogas research and industrial sectors. BPC Instruments has researched and focused on feedstock and process optimization within the biogas sector over the past 16 years and offers world-leading instruments for feedstock quality analysis, which is of key importance to ensure stable and efficient biogas production at full scale. The Board of Directors of BPC estimates that the Company’s current share of the global market of instruments for biomethane potential analysis in biogas production equals approx. 90 percent.
The European Commission’s REPowerEU plan, released on 8th March, marks a decisive step toward the rapid development of Europe’s biomethane industry using sustainable biomass sources such as agricultural wastes and organic residues. The biomethane target represents over 20% of the current EU natural gas imports. By 2050, this potential can triple, covering 30-50% of the future EU gas demand.
CEO Dr. Jing Liu comments
“Feedstock quality control and analysis play a critical role in ensuring full-scale stable and efficient biogas production. Analytical instruments such as AMPTS® from BPC remain the top choice of industrial biogas plants, service providers, research institutes, and universities worldwide for optimizing biogas production processes and ensuring stable plant operation by controlling the quality of receiving biomass sources. The new investment and policy support for biogas production in Sweden and member states of the EU will be of great importance for developing the biogas market in the coming years and thus create great business opportunities and increased market potential for BPC’s products over the coming years.”
More information about the Swedish investment plan on biogas can be found here.
News of the European Commission’s REPowerEU plan can be found here.