Call to ‘turn that potential into production’ as report reveals Northern Ireland biomethane could generate £5bn and support 3,000 jobs

A new report setting out the economic and energy potential of biomethane in Northern Ireland has been launched by the Green Gas Taskforce at the ADBA conference in ICC Belfast.

The report finds that developing Northern Ireland’s biomethane sector could generate £5 billion in Gross Value Added (GVA) and support 3,000 jobs by 2050, while increasing the supply of renewable, locally produced gas and driving investment in the rural economy.

It identifies enough sustainable feedstock to produce biomethane equivalent to more than two and half times the current gas demand from homes connected to Northern Ireland’s gas network. Livestock waste is among the largest potential sources identified, yet only an estimated 2.5% of organic farm waste is currently used to feed anaerobic digestion plants.

The Taskforce report says this could enable Northern Ireland to produce more renewable gas from agricultural resources without affecting food production, while generating new economic activity in rural communities. It states that Northern Ireland also has the advantage of a relatively new gas network compared with other parts of the UK and Europe. Biomethane can use existing gas infrastructure and domestic boilers without changes for consumers.

Charles McAlister, director of the Green Gas Taskforce and author of the report, said: “Northern Ireland has a substantial energy resource in its agricultural sector that is currently barely being harnessed for biomethane production. It has the farms, the feedstock and the infrastructure, but those ingredients alone do not create an industry.

“The economic case is clear, £5 billion in GVA, thousands of skilled jobs and an opportunity to produce more energy domestically, reducing exposure to international market volatility. The NI Executive now needs to put the policy framework in place to give farmers, developers and investors the confidence to turn that potential into production."

The report estimates wages in the sector could be 33% above the Northern Ireland average, with a significant proportion of jobs located outside the major cities, bringing skilled, higher-paid employment and investment to rural communities. Its analysis also estimates that 85p of every £1 invested in biomethane remains in the domestic economy through spending across farming, engineering, construction and local supply chains. Under the methodology used in the report, this compares with 45p for wind and 10p for solar.

Chris Huhne, chairman of ADBA, explained: “This report makes a strong economic and strategic case for biomethane in Northern Ireland. The scale of the resource identified, alongside the potential for £5 billion in GVA and thousands of skilled jobs, deserves serious attention.

“Northern Ireland has an attractive combination of agricultural resources and modern infrastructure that puts it in a strong position to develop the sector. The findings provide a clear evidence base for policymakers to consider how that potential can be translated into investment, jobs and greater energy security.”

The report comes as the Republic of Ireland develops its own biomethane sector, with a target of up to 5.7 TWh of indigenous production annually by 2030. The Green Gas Taskforce says that progress provides important context for decisions on the future policy and investment framework for biomethane in Northern Ireland.

The report calls for a clearer policy framework to turn Northern Ireland’s biomethane potential into investment and production. Its recommendations focus on setting an ambition for indigenous production, providing long-term investment certainty, recognising the wider environmental value of biomethane and removing regulatory and infrastructure barriers to growth. It also calls for closer coordination between the NI Executive and UK Government to ensure wider energy and emissions policy supports development of the sector.

Mr McAlister added: “Northern Ireland has the resources and infrastructure to develop a significant biomethane sector. With other markets moving ahead, there is a strong case for Northern Ireland to decide what role it wants indigenous biomethane to play in its future energy system and put the framework in place to deliver it.”

The full report can be found here.