Gasum awarded EUR 30 million grant for two biogas plant projects in Sweden
Nordic gas major Gasum Oy has received a grant of EUR 30 million from the Swedish Environmental Protection Agency’s Climate Step (Klimatklivet) investment programme to build two new biogas plants in Sweden.
Each plant received a funding of EUR 15 million, which is the maximum an initiative can receive. Both plants are in the planning stages and are to be located in Borlänge, Dalarna County, and Kalmar County respectively.
The grant from Klimatklivet makes it possible for us to consider expanding our production capacity in Sweden with not just one, but two plants. This is an important step in making biogas more available and thus helping us play our part in realizing Sweden’s and EU’s climate goals, said Erik Woode Director, Project Development & Management, Gasum
Local fuel production for heavy-duty transport
Using mainly manure and food waste slurry, the biogas plant planned in Borlänge will produce liquified biogas (LBG). The biogas will be upgraded to biomethane (aka renewable natural gas – RNG) and liquefied to produce the bioLNG and the annual capacity will be 120 GWh.
The plant’s location is convenient as Gasum is also building a new LNG/LBG filling station for heavy-duty vehicles (HDVs) in Borlänge, which is nearing completion.
The plant also allows Gasum to use local feedstock for biogas production. The municipal energy and waste management company AB Borlänge Energi has operated a pre-treatment plant for food waste since 2017.
Currently the slurry produced by the company is being transported out of Borlänge. Establishing a biogas plant near Borlänge Energi’s pre-treatment plant at Fågelmyra landfill and recycling centre allows around 47 000 tons of slurry to be pumped directly to the biogas plant avoiding transport emissions.
Gasum will also partner with Dala Biogas AB, which is a biogas company founded by a group of local farmers. Dala Biogas has been aiming at establishing a biogas plant in Borlänge for years. They will be a valuable local asset for us. There is a tremendous spirit of co-operation, commitment, and a can-do attitude in Borlänge. They all really want this to happen, said Erik Woode.
Circular economy leads to new local jobs
The biogas project in Kalmar County was established in co-operation with Mörbylånga Biogas AB, a company that was started by a group of local farmers. Through local co-operation, the plant has earned a strong support from local officials.
As the project has begun from an initiative by local farmers, it is natural that the feedstock for the plant will consist mainly of manure and other agricultural rest products. The plant’s annual capacity will be 70 GWh.
The Kalmar County plant is located in an area that is one of the national forerunners of biogas consumption. We are very happy that both the Kalmar County plant and the plant in Dalarna County will enable local energy production and new local jobs, Erik Woode said.