‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme. Update - Biomethane Roadmap in Germany Manuel Maciejczyk COO

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme.  After being Europe‘s most evolving market ever since 2007, the market for biomethane in Germany is now stagnating  Feed-in tariffs for usage in CHP plants abolished with Renewable Energy Sources Act („EEG 2014“) last year  There is no longer a bonus for upgrade technology and no tariff for energy crops  The current biomethane production can continue for the duration of the feed-in tariff grant (20 years)  All project planning is on hold because the other markets (heat sector and use as fuel) are growing very slowly and are risky Present situation - 1

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme.  Currently over biogas plants in Germany with a inst. capacity of MWel.  Estimation: About new biogas plants in 2015: mainly manure based plants (max. 75 kWel. and more than 80% manure in the input)  Decline in jobs by 20% to 2014  Internationalization of the German Biogas/Biomethane industry is becoming more and more important  Main EU-markets are UK, Italy and France Present situation - 2

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme.  Currently 164 feed-in plants in operation  roughly Nm³/h inst. capacity (raw biogas)  80% of the biomethane from energy crops  2015: about 15 projects planned or under construction (many to be stopped)  range from 200 Nm³/h – Nm³/h for the inst. raw biogas capacity Figures on Biomethane - 1

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme. Figures on Biomethane - 2

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme.  80 % of the biomethane is used in CHP plants  10 % for heat and 10 % for fuel  119 biogas filling stations in operation and about further 170 filling stations offering a blend of biomethane and natural gas  Political goal:  2020: 6 billion Nm³/a  2030: 10 billion Nm³/a “The political goals are not longer relevant” Figures on Biomethane - 3

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme. CHP sector  no sufficient compensation according to the Renewable Energy Sources Act Heat market  except for in the state of Baden-Württemberg, sole heating applications are hardly subsidized (obligation to use in CHP due to higher CO2-reduction) Fuel sector  stagnating CNG vehicles sales  new regime CO2-Quota bear many risks and uncertainties  lack of transparency at fuelling station totems International Trade  Prohibitive national legislations  lack of EU-wide mass balance system Barriers

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme.  Due to the barriers mentioned above, national drivers are rather scarce at the moment  Yet we are noticing a growing interest in German biomethane upgrade technology and cross-border trade from abroad Drivers

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme.  There is still a significant substrate potential also beyond energy crops (e.g. organic household waste, manure…)  The future role of biomethane in the electricity sector will be to provide flexibility to the system (balance fluctuation from wind and solar energy)  The fuel sector, if ever political attention were to be applied, holds a immense potential  Independency of foreign gaseous sources might become a more important issue for the EU  Trend: Liquefaction of methane (Separation of pure CO2) => BIO-LNG  New big project of DVGW: intensive development of biomethane gas conditioning technology and biomethane-gas-qualities (Power-to-Gas, O2-/H2S and silicon-reduction,…) Perspectives of development

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme.  The next reform of the Renewable Energy Sources Act is coming up in 2016  Auctions are going to be introduced for all renewables by 2016 => first positions of the GBA  The government is currently revising the electricity market system as a whole and has announced to make major changes to the current design by 2016  (Fossile) CHP-legislation is under revisement, possibly with a new momentum regarding CO2-saving and chances for biomethane  The THG-Quota in the fuel sector is to be implemented and proven in real life  International barriers need to be adressed in order to provide market uptake What‘s in the next future

‹#› of [total number of slides] This project has received funding from the European Union’s Horizon 2020 research and innovation programme. Manuel Maciejczyk Chief Operating Officer German Biogas Association +49 (0) – 76 Thank you for your attention!