Overview of biomethane markets and regulations ... - Green Gas Grids

parameters. The law is limited to biogas from agricultural sources, wastes from
food industry and from forest biomass as substrates. Landfill gas and sewage gas
are restricted from the grid. By all means, the biomethane producer is obliged to
prove the hygienic harmlessness of the injected biomethane before the delivery of
biomethane to the distribution network, and again when changing the applied
technology.
The requirements for gas quality in the grid are laid down in Polish Standards PN-C-
04752:2011 and PN-C-04753:2011. There are two gas qualities in Poland, highmethane
gas - with a minimal required calorific value of 34.0 MJ/m³ and nitrogenrich
gas with a minimal required calorific value 18.0 MJ/m³.
Support schemes
The Polish governmental supports renewable energies through the following
measures:
n Tradable Certificates of Origin introduced by April 2005
with the amended Law on Energy,
n Obligation for Power Purchase from Renewable Sources
(2000, amended in 2003),
n Levy exemption from consumption tax for electricity
introduced in 2002.
Suppliers of electricity are required to source a certain percentage of renewable
energy. This percentage is fixed to 8.76% for the year 2012 and shall increase to
15 % in 2020. Trading green certificates derived from the generation of renewable
electricity can fulfill the obligation. The scheme is administered by Energy
Regulatory Office and does not include a technology specific rating, all types of RES
are traded at the same certificate price, which is an advantage for established
technologies with low electricity production costs.
Moreover, energy companies producing biomethane from agricultural substrates are
eligible to obtain certificates of origin for this agricultural gas. so called "brown
certificates". A register for producers of agricultural biogas governed by the
Agricultural Market Agency has been already established.
The revenues of a biogas project result from the electricity and heat sale plus a
green certificate bonus. Assuming the relevant conditions are fulfilled, a yellow
certificate bonus (CHP with less than 1 MWel installed, based on gas including
biogas) or a red certificate bonus (high efficiency CHP with 1 MWel installed) can be
obtained. The certificates’ prices and therefore the project revenues strongly
depend on supply and demand situation. With a shortage of certificates the prices
are close to the level of relevant compensation fees which e.g. in 2011 for green
certificates was about 66 € per MWh.
Major financial resources for supporting investments in renewable energy are
guaranteed within EU funds, in particular within the Operational Programme
Infrastructure and Environment (OPI&E) implemented with the participation of the
Ministry of Economy, regional operational programmes (ROP) managed by local
governments of voivodships as well as the National Fund for Environmental
Protection and Water Management (NEPWM) and Voivodship Fund for
Environmental Protection and Water Management. The Green Investment Scheme
(GIS) Program Part 2 Agricultural Biogasworks by NEPWM aims at expanding the
existing biogas electricity generating plants up to an electrical power of 40 MW.
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