British Gas announces five biomethane demo projects

London – British Gas is to go ahead with five biomethane demonstration projects which, it said, are likely to be the first in the UK to inject green gas into the national grid. The decision follows UK Government backing, this week, for this emerging technology and biomethane to grid from April 2011.

Government support for biomethane injection into the grid is part of the Renewable Heat Incentive (RHI), which sets out proposed financial incentives for the generation of renewable heat by households, communities and industry.

Biomethane will make a contribution to decarbonising the gas grid by delivering renewable heat to households through the existing gas network and central heating boilers, said British Gas. The company cited National Grid forecasts indicating that the fuel could account for at least 15% of the domestic gas market by 2020.

Biomethane is a mixture of gases – predominantly methane – that are sourced from organic material, such as cattle slurry, food and household waste. It has similar thermal characteristics to natural gas and, once upgraded to grid specification, can be injected into the gas grid for end use by customers.

The first project will involve British Gas working with Thames Water and Scotia Gas Networks to build plant at Didcot sewage works. Thames Water already makes and flares raw biogas from sewage processing. The project will design and build a plant to clean the gas and inject it into the grid.

First gas from this project could flow into the grid in summer 2010, while British Gas said it would also enter into a long-term gas purchase contract with Thames Water once the facility came online.

British Gas has also signed development agreements with four other companies to carry out feasibility studies with a view to delivering biomethane to grid. The agreements are with GWE Biogas (using food waste and farm crops), Potters Waste (manufacturing waste), Dillington Biogas (farm waste slurry) and Adnams Brewery (brewery waste).

“With 85% of homes heated by natural gas, this is a fantastic opportunity to deliver renewable heat through our existing gas network and central heating boilers,” said Gearóid Lane, managing director of communities and new energy, British Gas. “By making early investments in biomethane we intend to drive forward the opportunity to deliver green gas to our customers.”