Perstorp and Swedish industry submitted action plan for biogas to the Swedish government
Biogas is a key raw material for the industry's climate transition. On Wednesday 19 March, a concrete proposal for an ambitious biogas policy framework was submitted to the Swedish Government by Perstorp and nine industrial players throughout the biogas value chain.
The Industrial Biogas Commission (Industrins Biogaskommission) brings together several of Sweden's leading industrial players including IKEA, SSAB and Höganäs, along with producers and distributors of biogas. The aim is to secure access to sufficient amounts of biogas as raw material at a price that the industry can afford, thereby enabling Perstorp and others to switch to sustainable feedstock when producing chemicals and materials for sustainable end products.
On Wednesday 19 March, Adam Kanne, Vice President Public Affairs at Perstorp and founder and Chairman of the Industrial Biogas Commission, presented an action plan at a parliamentary seminar for a new and ambitious biogas policy for Sweden. The action plan was then handed over to Daniel Westlén, State Secretary to the Minister for Climate and the Environment.
“Ensuring access to biogas in Swedish industry is a strategic necessity – for the climate, the economy and security of supply”, comments Adam Kanne.
The parliamentary seminar summarized one year of intense work to quantify, qualify, and communicate the importance of biogas availability to raise knowledge among relevant decision-making and point to necessary action.
Among the proposals in the action plan is a targeted industrial Contract for Difference to lower the cost of biogas when used as a raw material. Sweden should also set an annual production target of 10 TWh by 2030. All proposals benefit the climate, security of supply and Sweden's role as a leading industrial nation.
“For the industry to be able to transform, biogas is a requirement, and the amount produced today is significantly lower than the market demand. By 2030, the industry’s need is expected to reach of at least 10 TWh per year, which is half of the total annual demand”, Adam continues.
Perstorp use about ten percent of Sweden’s total natural gas consumption. Natural gas and biogas consist of the same molecule, but come from different origins. Technically, natural gas can be directly replaced by biogas. With an increased domestic production of biogas, Sweden could reduce its dependence on fossil imports, and thereby strengthen its resilience. The industry wants to drive the transition forward, and it is possible if politics provides the right conditions. It is high time for an investment in increased biogas production.
