1. BIOMETHANE ROADMAP IN ITALY Steering Group Meeting and General Assembly Wien, Wednesday 25 February 2015 Lorenzo Maggioni, CIB

2. Agricultural biogas plants > 450 = 370 MW The CIB - Italian Biogas Consortium, formed in March 2009, has national coverage and aimes to be the reference point in the italian biogas and biomethane sector.. Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it Short presentation

3. Company MembersPartners Institutions Short presentation Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

4. Present situation: transport and gas grid Decree 05 December 2013 Different scenarios Barriers CONTENTS BIOGAS AND BIOMETHANE IN ITALY Potential Present situation: biogas and biomethane What is in the next future Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

5. PRESENT SITUATION Biogas and biomethane Pieve Fissiraga (LO) San Giovanni Persiceto (BO) Pinerolo (TO)Mantova (MN) Roma New upgrading plants

6. Thanks to dr JeffreySeisler The top 10 NGV countries in the world based on total NGVs PRESENT SITUATION Transport sector and Natural Gas Grid Italian Gas Grid infrastructure data: Primary transport network: 34,000 km; Distribution: 250.000 km networks. Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

7. Entry into force (art. 9 of the Decree) : 18 december 2013 Duration: upgrading plants that will be in service by 17 december 2018 BIOMETHANE IN ITALY Decree 05 Decembre 2013 Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

8. NEW UPGRADING PLANTS (new sistes) EXISTING BIOGAS PLANTS (you have to add the upgrading unit) The new rules will apply to different kinds of plant incentive reduced compared to new plants BIOMETHANE IN ITALY Decree 05 Decembre 2013 Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

9. . BIOMETHANE IN ITALY Decree 05 Decembre 2013 Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

10. Different scenarios depending on: New upgrading plant (> €) or existing biogas plant (< €) Size of the upgrading plant (> € if < 500 m 3 CH 4 /h) Use of by-products (> €) Final use of biomethane: injected into natural gas grid, used in trasport (highest incentives), used in high efficency cogeneration plants Only for biomethane for transport, the producer is also involved in the distribution of biomethane, eg gas station, (> €) or not (< €). BIOMETHANE IN ITALY Decree 05 Decembre 2013 Duration of the incentive: 20 years Injection into natural gas grid:(< 500 m3 CH4/h, use of 100% by-products, single buyer = GSE) 94,12 €/MWh Used in transport: (value of certificate = 500 euro, use of 100% by- products, producer sell biothane in his own gas station) > 150 €/MWh Best scenarios: Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

11. Done, 12/02/2015 To do! Withing 60 days from the last provision Done, January 2015 Done, 12/02/2015 Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it BIOMETHANE IN ITALY Barriers

12. . National Energy Strategy, March 2013 POTENTIAL OF BIOMETHANE www.mise.gov.it BIOMETHANE IN ITALY Potential 1 billion m 3 biomethane / year involves INVESTIMENTS OF 4 BILLION EURO! A realistic development plan of methane/biomethane within 2020 should include: doubling service stations to 2000; Doubling current means of transport consumption of CNG methane (preferably GNL) up to about 2 billions Nm 3 by 2020; Increasing biomethane consumption up to 35% of the total consumption, about 700.000.000 Nm 3 /year. Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

13. What‘s in the next future 1° biomethane tractor (gas) Liquified Biomethane Other ways to produce biomethane Lorenzo Maggioni ricerca@consorziobiogas.it Wien February 25 th 2015ricerca@consorziobiogas.it

14. Thanks for your attention! CIB Consorzio Italiano Biogas e Gassificazione segreteria@consorziobiogas.it P.IVA: 09248721004 c/o Parco Tecnologico Padano Via Einstein, Loc. Cascina Codazza Lodi (LO) 26900 Segreteria Tel +39(0)3714662633 Fax +39(0)3714662401 Lorenzo Maggioni, PhD Research & Development ricerca@consorziobiogas.it