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A fresh move in the Spanish biogas market

Tuesday, 01 June 2021

Ductor and Enagás have agreed to form a joint venture in an attempt to explore biogas opportunities in Spain.

A new partnership has been made between Ductor, the Finish biotech company, and Enagás Emprende, a corporate venture arm of Spanish gas infrastructure company ‘Enagás’.  The two companies have reached an agreement for an undisclosed but substantial investment in the Spanish biogas market.

According to Mr. Ari Mokko, Founder and CEO of Ductor, “Spain is a very big market for both renewable energy and organic fertilisers, so this partnership will also make it easier to establish us in the Spanish market. On the other hand, Enagás can benefit from our knowledge in circular economy and turning agricultural waste into biogas”. With lofty ambitions to expand within renewable energy and biogas sectors both domestically and internationally, Mr. Ari strongly believes that Enagás is an excellent strategic partner to Ductor.

At present, there are slightly over 200 active biogas plants in Spain, with two biomethane facilities being operational and only one plant injecting biomethane into the gas grid. Currently, incentives to support new biomethane plants are not available in Spain. However, the Spanish government has push forward a draft law to incentivise renewable gases, as well as to establish a national registry for facilitating Guarantees of Origin (GOs) for renewable gases injected into the natural gas network. 

Once the support mechanisms are in place, coupled with the country’s vast amount of agriculture and feedstocks from livestock, the potential of biomethane production in Spain is substantial. 

Source: Bioenergy InsightEBA