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Biogas Ukraine: Boosting Ukraine’s Energy Stability in Turbulent Times

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In an age of worrying climate change and looming fossil energy decline, the advantages of biogas are obvious especially to the Ukraine government in their war effort.

It's no longer a matter of proving the many benefits. They are clear to all, and not least in maintaining local power supplies under constant attacks on their electricity grid.

The challenge is now to rapidly increase the adoption of the process, wherever there is a source of waste biomass. This was always going to be essential to reduce the impact of man on the global ecology. But, now it is even more crucial that Russia at war with Ukraine.


Added in September 2022:

Image text: "Benefits of Biogas and the Challenge".

Update 2022:

How the Russian War on Ukraine Raised the Benefits of Biogas Globally

How Energy Prices Have Risen in the UK

Higher wholesale energy prices, particularly after Russia launched its full-scale invasion of Ukraine in February 2022, have caused huge increases in energy prices, especially across Europe.

For us, in the UK the energy price cap rose by 12% in October 2021, 54% in April 2022, and was set to rise by 80% in October 2022 (gas by 91% and electricity by 70%). However, the new government of LizTruss has announced that domestic bills will be limited by the UK government for 2 yrs with the government borrowing money to pay the bills.

UK Government energy prices vs time
The price increases are complicated. So, just look at the scale of the increases shown on this graph and you will appreciate the concerns which exist about this!

For ‘typical' levels of dual fuel consumption paid by direct debit, the October increase will be equivalent to an average capped bill level of £2,500 per year (marked in Orange on the chart).

This is effectively a doubling of domestic energy bills over the last 18 months.

Some predict that the cap would have been raised by 50% in January 2023, so the funding the UK government will need in order to maintain its cap will be massive.

What Do Higher Consumer Prices Mean for Biogas Producers?

The well-run UK and European biogas businesses were already profitable before the increases, so the answer is simple: they will be making big profits way above their most optimistic dreams!

Contributing to the Effort to Reduce European Dependency on Russian Oil and Gas

The anaerobic digestion industry is contributing to the effort to reduce European dependency on Russian oil and gas supplies by growing capacity through extensions to existing biogas facilities, and completely new projects in progress.

If the UK government, for example, were to give more support to the UK AD industry to build new biogas plants fast, a further 6% of the current supply of natural gas could be replaced by homegrown biomethane. (Biomethane is biogas which is upgraded to the pressure and methane quality of Natural Gas.)

Biogas Plants Are Being Built in Ukraine to Supply other European Nations

Win-win benefits of Biogas Technology located in Ukraine are beginning to emerge as a useful contributor to the European energy grid, reducing our dependency on Russian natural gas (compressed methane). Read on for our explanation for this in the sections below:

Energy Benefits from Biogas Plants in Ukraine

Ukraine has highly developed agricultural sectors, which makes it an attractive candidate for biogas projects. Biogas is an excellent alternative energy resource because it is a renewable, inexpensive source of energy. It can be produced from a wide range of organic substrates, including household waste and litter. A biofuel plant is a compact facility that employs different types of raw materials.

A law was recently adopted by the Ukraine Parliament that defines biomethane as a renewable energy source. This law is expected to make it easier to transport biomethane in the country's pipeline system. Biomethane can be produced and used for a variety of purposes, including transportation and heating.

The agricultural sector in Ukraine has experienced tremendous growth in the last two decades. This has created an abundance of solid biomass for use in heat and electricity production. Ukraine is the largest producer of sunflowers in the world, and sunflower waste can be burned to generate heat and electricity. Other biomass sources include wheat and straw, which are expected to replace natural gas in the coming years.

The country is moving quickly to promote the use of biogas. Its government has taken several steps to improve its development since Russia invaded Ukraine on February 24, 2022. The country's biomethane production reached grew to 2% before the attack from Russia in February this year. The country was also on track to meet 20% of its gas needs by 2030, which is higher than the gas imported from Russia last year.

Update October 2023:

Navigating the Crisis: Ukraine's Battle for Energy Stability Amid Conflict

As Ukraine braces for the harsh winter of 2024, its energy sector faces an escalating crisis due to intensified Russian bombardments. The scale of attacks has reached unprecedented levels, with a notable assault in late August involving over 200 missiles and drones targeting essential energy facilities, including electricity generation, transmission, and even district heating networks. These strikes have rendered the Ukrainian power system fragile, causing rolling blackouts and restricting electricity availability to just a few hours daily in the hardest-hit areas.

Despite the challenges, the resilience and ingenuity of Ukrainians, bolstered by international support, have kept the power grid operational. However, the ongoing conflict has severely diminished Ukraine's power generation capacity, which now stands at only about one-third of its pre-war capability. This drastic reduction has been a blow to daily life in Ukraine, affecting everything from household heating to water supply, with the potential to trigger further displacement within the country and to neighboring states.

The past two winters saw Ukraine managing its energy needs despite significant adversities, thanks to milder weather and a reduction in energy demand. However, the current situation appears more dire, with the energy deficit poised to worsen. Ukraine now heavily relies on its three remaining nuclear power plants and the strained connections to cities near the conflict zones.

In response, Ukraine's allies have stepped up by providing essential equipment and aid. Yet, the situation demands even more robust support as Ukraine seeks not only immediate solutions but also aims to forge stronger ties with the West for a sustainable energy future. This includes enhancing infrastructure links and integrating more deeply with European energy markets.

Four critical issues need urgent attention:

  1. Electricity Deficit: Ukraine could face a severe shortfall in electricity this winter (2024/25), with demand potentially rising to 18.5 gigawatts (GW). Even with some nuclear units returning from maintenance and continued electricity imports from European neighbors, the country might still experience a deficit of up to 6 GW—about the peak demand seen in Denmark.
  2. Heating Challenges: Heating infrastructure, crucial for surviving the winter, has suffered extensively from attacks, especially in areas close to the front lines. Cities like Kharkiv and others in the Donetsk and Zaporizhzhia regions have seen significant damage to their heating capacities.
  3. Natural Gas Supplies: Under typical conditions, Ukraine could meet its natural gas needs through domestic production and storage. However, a colder-than-expected winter would increase the reliance on imports, especially as current Russian transit volumes are set to end in January 2025.
  4. Implications for Moldova: The situation also affects Moldova, which indirectly depends on Russian energy. The uncertainty surrounding the expiration of Russian gas transit arrangements through Ukraine by year-end jeopardizes both regions' energy security.

As Ukraine faces these monumental challenges, a coordinated regional approach becomes essential, not only to address Ukraine's immediate crises but also to ensure the long-term resilience and energy independence of the region.

Source: IEA Ukraine 2024 Report

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[Updated September 2022, and October 2024.]

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