NNFCC Publishes 2020 Edition of Anaerobic Digestion Deployment in the UK Report

NNFCC has published the seventh edition of its annual Anaerobic Digestion Deployment in the UK report. The report is free to all AD Subscribers or is available to purchase here. The report summarises the developments in the UK’s AD industry over the past 12 months and looks ahead to future developments in the sector.

The level of activity in the AD industry over the past 12-months is once again not reflected in the latest deployment figures and does not reflect the ambition of our industry. Only 7 new plants have commissioned since April 2019, adding a modest 3.4MWe of capacity and increasing biomethane flow to the grid by just over 2,000Nm3/hr. Despite 47 plants being under construction at this time last year, many are yet to reach or complete the commissioning phase due to the inclement weather conditions in the first quarter of 2020 immediately followed by the Covid-19 pandemic and associated restrictions.

The current restrictions are not only proving problematic for those in development; operational plants are being impacted by lack of feedstock. Despite food waste collections being deemed a priority for Local Councils, the closure of educational establishments, food service outlets and the hospitality sector have led to a significant decline in waste arisings, creating issues for those relying on such waste as their only or main feedstock source.

Lucy Hopwood, NNFCC’s Lead Consultant for Bioenergy and Anaerobic Digestion comments “It’s been another turbulent year, in which we expected to see a significant rise in numbers but we’re reporting a much more modest growth with many plants in construction facing unforeseen challenges in recent months. Thankfully, it seems Government are sympathetic to the situation and all the progress won’t be in vain.”

Despite the industry stalling over recent months, partly due to the closure of the FIT scheme and with the end of the RHI looming and additional time pressures on projects with a tariff guarantee, the future still looks promising. It was announced in the Chancellor’s Spring Budget statement that the government is allocating an additional £10 million in 2020-21 to support the design and delivery of net zero policies and programmes, within which biomethane is expected to feature strongly. Subsequent announcements from BEIS this week have clarified support for biomethane injection to the gas grid, in the form of a Green Gas Support Scheme, is set to stay until 2025/26, with the Renewable Transport Fuels Obligation (RTFO) committing to support biomethane as far out as 2032.

Lucy adds “For many, the recent announcements have been a blessing, extending the commissioning window in light of the current restrictions and providing an insight into an extended period of future support. We look forward to another year of development in the AD sector and will be keenly following it, working with operators, developers and investors to overcome remaining challenges.”