Biogas Grants and Support for Biogas Plant Projects

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The Ministry of Ecological Transition and Demographic Challenge known as MITECO has launched a first call for proposals to support biogas installation projects. The program is backed by 150 million euros from the Recovery, Transformation and Resilience Plan and Next Generation EU resources aimed at improving energy use of organic wastes, boosting the circular economy, and strengthening environmental policy in line with Spain’s energy strategy.

The call is open from September 12 to October 14, 2022, with the Institute for Energy Diversification and Conservation IDAE managing the grants. Awards will be granted on a competitive basis. The subsidy is awarded to the beneficiary only after project completion is verified and eligible costs are certified.

Individual biogas projects across Spain aim to decarbonize various sectors, enhance environmental protection, and help achieve the targets set in the National Integrated Energy and Climate Plan PNIEC 2021 2030 and the Long Term Energy Strategy 2050. Projects should plan one or more of the following actions:

– Biogas production plants through anaerobic digestion.

– Plants for heat generation, electricity generation, cogeneration, or biomethane production.

– Digestive treatment facilities for agricultural use.

Evaluation criteria and scope of support

Projects must be completed by October 31, 2025, and must comply with the environmental protection principle not to cause significant harm. The evaluation will consider the following criteria:

– Economic criteria The amount of aid requested will be reduced when applicable.

– Technological criteria Points will be awarded based on project typologies and application types.

– Externalities Social and gender impact, as well as positive effects on Just Transition and the Demographic Challenge areas, renewable energy communities, public authorities, and SMEs among others.

The notes from the ministry indicate that because of the favorable funding conditions, only projects not started before applying will be considered. Aid intensity may increase by 20 percent for small businesses and by 10 percentage points for medium sized companies. When actions occur in areas with Demographic Difficulty or Just Transition, additional increases of up to 5 points may apply.

Benefits of Biogas

Biogas and the resulting biomethane form part of the climate neutrality plan for 2050 and help meet Spain’s PNIEC 2021 2030 targets for renewable energy. They support a 28 percent renewable share in transport and contribute to reducing fossil energy dependence. Biomethane produced from biogas can gradually replace natural gas, improving energy security and resilience, especially in sectors that are hard to electrify or require high energy input like heavy transport and certain industries.

Expanding biogas brings economic and social benefits as well. It promotes a circular economy, creates links with local industries, and supports rural development aligned with cross-cutting policies on Demographic Challenge and Just Energy Transition and inclusion. The abundance of livestock farms provides a natural opportunity to repurpose manure and other organic waste into valuable energy resources.

Further details from the ministry are available in the official communications and notes published by MITECO. Contact information for the environment department is provided in official channels for inquiries related to the program.

Note The ministry communications and updates can be cited from official government releases. For more information, refer to the ministry press office notes on the subject and the IDAE program documentation as provided by the agency at the time of the call.

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