Poland Green Biogas

Demand for gas in Poland is growing steadily regardless of the macroeconomic situation. The Polish Oil and Gas Company, PGNiG expects domestic gas demand to increase to 25 billion cubic meters in 2024, compared to today’s consumption of 17 billion cubic meters per annum.

Environmental requirements set forth by the European Union, prompt PGNiG to recognize the need for clean technologies, and is developing biogas and bio-methane related programs. Poland is home to 300 biogas plants, of which, only a third of them, Agricultural Biogas Plants, are competitive. PGNiG plans to use bio-methane, which will be injected into the company’s gas networks.

The President of PGNiG estimates the market potential is 13 to 15 billion m3, half of which is bio-methane. PGNiG expects to manage approximately 4 billion m3 of this raw material within 10 years doubling Poland’s current domestic production of natural gas (3.8 billion m3). According to the company’s estimates, within a decade, bio-methane may account for 10% of Poland’s national transmission and distribution content, with projections of increasing the content to 20% in next 20-30 years.

Poland’s green gas will be based on domestic production, providing for greater supply diversity. PGNiG will consider biomass from all sources, focusing mainly on agricultural waste, but will also  pursue synthesizing gas from solid and municipal waste in order to recover bio-methane from it. A bio-methane plant will have to be installed in virtually every commune to reach the planned 1,500-2,000 units. Solar and wind farms will be built next to the biogas plants, furthering Poland’s foray into green energy production.

PGNiG is looking to cooperate with the European Union to secure the necessary funding of nearly $20 Billion. The company envisions local governments and local businesses cooperating on a franchise basis, where PGNiG will be involved in connecting sources to the energy grid and managing supplies.

For more information please contact FCS Warsaw, Poland at office.warsaw@trade.gov