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UK Gov report recognises the positive impact of the GGCS on biomethane production in the UK

Posted: 27 November, 2024. Written by Jesse Scharf

The Department for Energy Security & Net Zero has released its first review of the Green Gas Support Scheme and the Green Gas Levy.

https://www.gov.uk/government/publications/green-gas-support-scheme-ggss-and-green-gas-levy-ggl-evaluation

We were pleased to see several mentions of the Green Gas Certification Scheme (GGCS) in particular with reference to how RGGOs were critical to helping plant economics stack up. 

Plant operators and developers who inputted into the report:

“highlighted the significance of…Renewable Gas Guarantees of Origin (RGGO) as a revenue stream for plants that was growing in importance, and was increasingly recognised in its significance by funders”. They also said that being able to sell RGGOs “improved the overall attractiveness” of the Green Gas Support Scheme (page 36).

One respondent said that “The fact that the price for the green gas certificates has improved substantially. In combination with the GGSS, the economics really stack up.” [Annex - p56]

Another comment received was that RGGOs “have, in the past five years, become more ‘bankable’ with funders” and that “they used to be kind of a small bonus, but they’ve become a much more significant part of the revenue stack”. 

These comments and the report as a whole support our view that RGGOs can be said to encourage additional biomethane production, as described on our website here

Founder Partners and Associate Members:
British Gas
 
e.on
 
Thames Water
 
Milton Keynes Council
 
National Grid
 
CNG Services Ltd
 
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