National Biomethane Strategy

Expression of Interest for the Biomethane Capital Grant scheme

DAFM along with SEAI invite interested parties to submit their Expression of Interest (EOI) for the Biomethane Capital Grant scheme. Once the Expression of Interest form is completed by interested applicants and if it fulfils the initial criteria, applicants will then receive an application form which will be sent to them directly by SEAI.

This Capital Grant is funded by the European Union Recovery & Resilience Facility.

The closing date for applications has now passed.

Press release
28th May 2024

The Minister for Agriculture, Food and the Marine, Charlie McConalogue T.D., and the Minister for the Environment, Climate and Communications, Eamon Ryan T.D, have today published the National Biomethane Strategy. The National Biomethane Strategy is Ireland's first major policy statement on biomethane and is an important milestone in the development of an indigenous sector.

The primary objective of the National Biomethane Strategy is to support delivery of the ambitious target of up to 5.7 Tera Watt Hour (TWh) of indigenously produced biomethane by 2030 set by the Government as part of its climate action plan.

Commenting on the strategy, Minister McConalogue said: "Farmers will be central to production of this renewable source of energy and thereby major players in the decarbonisation of our energy system through the development of a sustainable biomethane industry.  I welcome to the launch of this important strategy which was identified in the Climate Action Plan (CAP) as the first key step to delivering a 5.7 TWh target of energy production through biomethane by 2030. This aligns with the priorities in agriculture to marry food production,  renewable energy and reducing emissions."

The minister further added "From an Agricultural perspective, clear benefits in terms of contributing to delivery renewable energy targets and providing alternative land use options for farmers have been identified through the research and consultation undertaken in compiling this strategy. Alongside opportunities for farm income and land use diversification options for farmers the anaerobic industry also represents a pathway for farmers to reduce fertilizer usage through the increased availability of digestate which will also have positive climate change implications."

The National Biomethane strategy sets out twenty-five key strategic actions that are key to addressing the challenges and opportunities for the industry and implementation of these actions will drive growth across the biomethane industry.  An integral part of the Strategy is sustainable production and an early action for delivery will be the development of a Biomethane Sustainability Charter. The Charter will support an agri-led biomethane industry, whilst having regard to established goals for the protection and restoration of water, soil, biodiversity, and ecosystem services and protect against any unintended negative consequences. 

Minister Ryan commented "Publication of the National Biomethane Strategy is another detailed policy step towards reaching a climate neutral economy. It allows for an additional and alternate diverse income from the energy sector into the agri sector, on top of the solar renewable feed in tariff launched last week. It also sets us further on course to a low-carbon society, and carbon neutral by 2050. Development of a sustainable, indigenous biomethane sector will help reduce our dependence on non-renewable unsustainable resources and support a greater diversification of our energy mix. We must learn lessons from other jurisdictions and ensure that the biomethane sector contributes to water quality restoration and enhances biodiversity through the sustainability charter."

Ireland is uniquely positioned to develop a sustainable biomethane industry due to the nature of the agricultural sector in the country. The National Biomethane Strategy is Agri-led and farmer-centric with a focus on the supply of suitable feedstocks in addition to maximisation of the use of organic waste streams from farms and communities. It aligns with the circular bioeconomy development contributing positively to both the sectoral emissions ceiling for agriculture, as well as to the decarbonisation and diversification of Ireland's energy mix.

Delivery will require concerted action across key Government Departments and Agencies to ensure the necessary supports and infrastructure are in place to support an anaerobic digestion and biomethane industry of scale. A newly formed Interdepartmental Biomethane Implementation Group will oversee implementation of the Strategy, measuring its impact and monitoring target delivery. The Implementation Group will report to the Heat and Built Environment taskforce.

Given the need to swiftly stimulate the industry, the provision of Capital Grants and the Renewable Heat Obligation, alongside industry investment will put Ireland on a trajectory to meet its 5.7 TWh target by 2030.

The Government has sought 40m in capital funding under Ireland's application for REPowerEU funding and anticipate early confirmation of this funding scheme.

Minister McConalogue confirmed today the opening of this Biomethane Capital Grant Scheme "In Ireland, the Biomethane Industry is nascent. I recognise that the industry needs capital support to be kick-started and I am keen to see the industry grow and as a result provide opportunities and benefits to the agriculture sector. My department is to receive funding of €40 million for a capital grant scheme for biomethane production plants subject to European Commission and Council assessment and approval. This funding will be available for biomethane plants and will encourage early adopters in the industry. I  announcing today that expressions of interest for this grant scheme is now open and my Department have partnered with SEAI to oversee the administration of the grant to ensure efficient delivery of the scheme."

Minister Ryan welcomed this initial round of grant support commenting 'Biomethane production and AD is an intensive project, I welcome this first phase of grant support announced today by Minister McConalogue. I intend to build on this scheme from 2026 onwards and secure further support for additional biomethane plants which will further demonstrate the Government's commitment to supporting development of the industry. My Department is also committed to the publication of the Renewable Heat Obligation high-level scheme later this year which will create an increased demand for renewable energy in the heat sector'