Biomethane, fifth NRP auction: OK for 298 plants. New funds needed

A total of 298 biomethane production plants, with a total capacity of 122,842 cubic metres per hour, have been admitted to the NRP incentives by the fifth and last, on paper, auction of the procedure initiated with the Ministerial Decree of 15 September 2022 to develop the national capacity to produce biomethane. This was announced by the Gestore dei Servizi Energetici (Gse), which governs the measure. These numbers alone exceed those of the previous calls for tenders. In fact, the outcome of the first four competitive procedures (updated to 21 March 2025, thus including any waivers after the allocation) saw the admission of 260 plants to the ranking list, for a total capacity of 116,407 cubic metres per hour, equal to 1.02 billion cubic metres per year of biomethane production capacity. The total incentivised capacity allocated now comes to almost 240,000 cubic metres per hour out of the 257,000 initially made available.

For a procedure characterised in the first years by a stunted start, it is the definitive take-off. So much so as to raise the issue of resources. In fact, for the 260 projects of the first four auctions, 1.2 billion euro out of a total of 1.73 billion allocated for a measure with the objective of adding 2.3 billion cubic metres of national capacity. In fact, the Gse communication reads: 'In view of the high level of participation in the procedure and the characteristics of the projects presented, the Ministry for the Environment and Energy Security has already begun talks with the European Commission with the aim of increasing the financial resources allocated to the measure. The additional resources requested will ensure the availability, for the admitted projects, of the capital contribution to be recognised after they become operational.

This means that for the projects in the final area of the ranking list, specifically from position no. 149 to position no. 298, 'the final recognition of the granting of the capital subsidy and the related signing of the deed of concession can only take place following the formal recognition with the EU Council execution decision approving the NRP that contemplates the additional resources to the Pnrr M2C2 I 1.4 'Development of biomethane, according to criteria for the promotion of the circular economy' with respect to those referred to in Article 1, paragraph 1, of the dm of 15 September 2022," the Gse note continues.

The fifth procedure, opened on 18 November and closed on 17 January 2025, auctioned a capacity quota of 134,723 cubic metres and saw 312 applications received. Of these, over 60 per cent were for the conversion of an agricultural plant from biogas to biomethane, over 30 per cent for new agricultural construction and the rest for organic waste plants.

The Gestore dei Servizi Energetici has also announced a further competitive procedure, the modalities of which will be announced shortly, 'whose quota will be determined on the basis of the production capacity not allocated in the previous five procedures increased by the production capacity associated with any admitted interventions subject to renunciation'. In the meantime, operators are preparing for the big race to build all plants by the deadline set by the NRP: June 2026.