Factors that influence the development of biogas

About the project

Sweden is one of the leading countries in the development of upgraded biogas for use in the transport sector. The introduction of a new vehicle fuel is complex since the production, infrastructure, and vehicle fleet has to be simultaneously developed. The aim of this report is to evaluate the barriers and drivers for increased production and use of upgraded biogas. The implications for the future development of the biogas system are also analysed.

It is likely that investment support schemes, like LIP and KLIMP, have been important in the construction of new biogas production facilities and infrastructure. The exemptions from energy and carbon dioxide taxes have also been important, both for producers and gas vehicle owners.

However, it is difficult to predict whether this is enough for the further expansion of biogas as a transportation fuel. Biogas chains from production to use, as well as other chains for pure and highlevel blends of biofuels, will probably need further specific incentives to compete with fuelefficient diesel vehicles. If biogas should be promoted further, support that enable biogas vehicles to compete with the alternatives in terms of life cycle economy is likely to be a key issue.