Barrow Green Gas (BGG), the trading name for Barrow Shipping Ltd, has secured commitment from eight biomethane producers for the purchase and sale of its green gas.
BGG certifies all its biomethane using REAL’s not-for-profit Green Gas Certification Scheme (GGCS), so these contracts should see the annual supply of certified green gas increase to at least 400 million units (kWh) in 2015 – enough for the heating and cooking needs of 30,000 homes.
The GGCS is run by the Renewable Energy Association’s subsidiary, Renewable Energy Assurance Ltd, on a not-for-profit basis.
- The biomethane producers already committed to Barrow Green Gas include the following projects, as well as two further as yet undisclosed developments:
J V Energen – Rainbarrow Farm (operational)
Vale Green 1 (operational)
Wyke Dairies (commissioning 2014)
Eternity/Greener for Life (commissioning 2014)
Green Gas Oxon (commissioning 2014 )
Yelspa Ltd (commissioning 2014)
The gas certification scheme tracks biomethane from grid injection to end use, so that suppliers and end users can be sure of its renewable origin and the associated carbon savings. The GGCS reduced its volume fees by 75% at the start of the year – from 0.04p to 0.01p per unit . Once all BGG’s committed partners are up and running, it will be saving £120,000 per year thanks to the fee reduction, compared with 2013 volume fees.
The decision to reduce volume fees was made by existing GGCS members in light of the expected growth in the sector, driven by the Government’s Renewable Heat Incentive for biomethane. Members will again decide at the end of this year how to use any surplus income from the GGCS scheme for the wider benefit of the green gas industry.
REAL Chief Executive Virginia Graham said: “As a not-for-profit scheme, we are proud that it is our participants who decide how to recycle GGCS income for the benefit of the industry.
“This year they’ve decided to reduce the gas volume fees, making it cheaper for new and existing suppliers alike to deliver certified green gas to end users.
“As the industry continues to grow, we will look at other uses for these revenues, such as research funding or skills development in this vibrant young sector of the low carbon economy.”
Peter Rayson, Director of Barrow Green Gas, said: “Our customers believe that REAL’s not-for-profit GGCS scheme is a key enabler for the development of the biomethane market in the UK, which is now achieving significant growth thanks to RHI funding from the Government.”
The Renewable Energy Association represents renewable energy producers and promotes the use of all forms of renewable energy in the UK across power, heat, transport and renewable gas. It is the largest renewable trade association in the UK, with approximately 1,000 members, ranging from major multinationals to sole traders.