An overview of feed-in tariffs, premiums and tenders to promote electricity from biogas in the EU-28

Abstract

The EU has assumed objectives for energy sustainability and the fight against climate change. In this regard, the generation of biogas allows contributions to the 2020 established targets. The EU is leader in the production of biogas, representing 60% of total global production in 2011. The estimates of the contribution of biogas to electricity generation for 2020 in the EU-28 represent 1.5% within the total energy mix.

This paper analyzes the measures implemented in the EU-28 to promote biogas, relating them to the country targets established in their National Renewable Energy Action Plans. Currently, 19 countries apply some measure of price and/or amount: 14 use Feed-in Tariffs, 6 Premium Tariffs and 1 uses tenders.

A trend has been observed to reduce public financial support to promote biogas, linked to the reduction of the cost of this technology, and to the attempt to increasingly link it to the markets. However, excessive linking to the market hinders its development, putting the attainment of 2020 targets at risk. Consequently, the Feed-in Tariff or Premium Tariff systems, used in each country, must be designed in agreement with the peculiarities of the development of their markets, to be able to guarantee suitable development.