03-2026 Newsletter Task 37

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Newsletter IEA Bioenergy Task 37: 03/2026

Political issues

 

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Poland to facilitate the construction of direct pipelines for biomethane generators
In connection with deregulation work, the Poland government has prepared amendments that will broaden the scope of regulations for direct pipelines. These changes will facilitate the construction of a direct gas pipeline to supply biogas, agricultural biogas and biomethane, the Ministry of Climate and Environment of Poland announced. The ability to supply biomethane directly to the end user will mean that producers will not have to incur the cost or time of connecting to the gas grid. It will also make it possible to supply biomethane without the intermediation of gas operators where the construction of a gas network is difficult or uneconomical.

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Poland Secures EUR 189 Million for Biomethane Plants
Poland’s National Fund for Environmental Protection and Water Management (NFOŚiGW) has secured PLN 800 million (USD 219.9m/EUR 188.9m) for a programme to support the construction of biomethane plants. The funding is part of a PLN 1.4 billion package from the Modernisation Fund, approved by the European Investment Bank (EIB). The package also includes support for energy efficiency improvements and smart energy infrastructure. Under the “Improving Energy Security Through the Use of Biomethane” scheme, investors planning to build biomethane plants in Poland will be able to apply for grants covering up to 45% of eligible costs. Applications are expected to open in the first half of 2026. The Modernisation Fund’s non-repayable resources come from the sale of EU carbon emission allowances managed by the EIB.
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Polish government consults on new renewable fuel targets
The Polish government is consulting on updated renewable fuel targets for 2027–2030, proposing to increase the 2030 target to 29% from the previous 14.9%, with annual targets for 2027-2029 rising to 11%, 13%, and 15% respectively. The proposal sets targets for the intermediary years at 11% (2027), 13% (2028), and 15% (2029), with a 10% target for 2026. The government is also introducing a new support system for biomethane and accelerating investments in wind energy to meet these goals. 
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Gas industry bodies push for federal initiatives for renewable natural gas
The Australian Renewable Gas Alliance, together with a number of industry leaders, urged the government to broaden the eligibility of existing programs, including the Hydrogen Production Tax Incentive and Hydrogen Headstart, to include renewable natural gas (biomethane). The group said expanding existing programs is a more practical solution as it requires no new funding streams to allow biomethane projects access to renewable gas support. This would also unlock private investment and accelerate emissions reductions in difficult-to-decarbonize sectors. RNG is a proven technology already deployed globally. The opportunity to capture economic and environmental benefits here in Australia is enormous – but only if policymakers act now.
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Australia’s NSW unveils $109m plan to boost SAF, biomethane, hydrogen
The Australian state of New South Wales has announced a new Renewable Fuel Strategy pledging up to AUD 170 million (US $109 million) to accelerate the production of renewable fuels, including biomethane, sustainable aviation fuel, renewable diesel and green hydrogen. Australian policymakers have been working to tap into the country’s biofuel potential, leveraging its vast agricultural residues and organic waste streams. The NSW strategy said that renewable fuels should deliver a 2.5% emissions reduction and produce 10 petajoules (PJ) of energy by 2035, scaling up to 90 PJ and a 20% reduction by 2050.
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Australia’s Growing Biogas and Low Carbon Liquid Fuels Market
Australia is rapidly transforming its energy landscape, with biogas, biomethane, and low-carbon liquid fuels playing an increasingly important role in the country’s energy transition. Ambitious decarbonization targets, strong government support, and growing demand for renewable solutions are creating significant opportunities for international technology providers and investors. In an interview by the German biogas association, Özgür Tuna from the Australian Trade and Investment Commission (Austrade) highlighted the potential for business cases. 

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NZ government signals strong support for biogas sector
New Zealand’s Energy Minister Hon Simon Watts has reaffirmed the government’s strong commitment to developing a thriving biogas market in New Zealand, calling the renewable energy source a “strategic opportunity” to boost energy security, reduce emissions and support regional development. Speaking at the Biogas Bridge Forum in Wellington, Watts said biogas solutions, including biomethane, would help decarbonise hard-to-electrify sectors and strengthen regional resilience as natural gas reserves decline. He also announced that the government has established a dedicated Biogas Work Programme, driven by three core goals: sending clear signals to encourage industry investment, removing regulatory barriers and working closely with the sector to enable growth.More

Mexico’s government reshapes natural gas rules allowing RNG Injection
Mexico’s government has published secondary legislation for the nation’s oil, natural gas and electricity sector that establishes new rules for governing its energy system. An important change is the right to inject renewable natural gas (RNG), also referred to as biomethane, into the national pipeline network. The rule is a win for companies such as Engie México SA, which has been working on biomethane projects to blend with natural gas in Mexico’s distribution network. 
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California adopts most stringent landfill gas rules in the country
End of November, the California Air Resources Board (CARB) voted unanimously to update the state’s Landfill Methane Rule for the first time in 15 years. The updates, which are set to go into effect in 2027, will return California to its role as a leader on landfill gas regulations, as other states have followed the lead set by its initial rule adopted in 2010. There are 188 landfills that fall under the Landfill Methane Rule in California, and 153 of them are required to control emissions. The new provisions include a shorter timeline by which landfill operators must respond to a leak, and new monitoring requirements for landfills with and without gas collection and control systems. The state will also begin requiring operators to respond to detected leaks via third-party technology verified by CARB — including the agency’s own California Satellite Methane Project.
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NWRA among groups pushing back on RFS proposal
The RNG Coalition and National Waste & Recycling Association (NWRA) submitted joint comments to the U.S. EPA pushing back on the smaller incentive it proposed for fuels like renewable natural gas in its latest Renewable Fuel Standard proposal. The proposal, which EPA released in June, would set targets for low-carbon fuels through 2027 with a much bolder goal for biodiesel and crop-based biofuels than cellulosic biofuels like RNG. The agency argued tepid transportation demand for RNG and lower-than-expected production of the fuel meant it needed to lower expectations for cellulosic biofuels.
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EU scraps 2035 ban on new ICE car sales
Internal-combustion-engined cars will be allowed to remain on sale after 2035 in the European Union (EU) under major changes put forward by the bloc’s top legislators. The lifeline for car makers follows intensive lobbying from national governments and some of the industry’s biggest companies, including Volkswagen, Renault, Mercedes-Benz, BMW and Stellantis. More lenient rules drawn up by the European Commission (EC) amend the total ban on new ICE cars that was due to come into force from 2035. Under the proposals, total tailpipe CO2 emissions from that year must be reduced by 90%, rather than 100%, compared with 2021. The previous 100% level effectively banned the sales of non-EVs from 2035. The EC said this will allow hybrid and pure-ICE vehicles to remain on sale past 2035.  It noted, however, that the remaining 10% of the emissions reduction will now need to be offset by the use of biofuels, e-fuels and European-made low-carbon steel. It is still open what the consequences for HDV will be.
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EU STIP recognizes methane decarbonization pathway
The EU Commission’s new Sustainable Transport Investment Plan (STIP), published on 5th November, represents a major milestone for the methane decarbonization pathway.  The Plan explicitly recognizes LNG, biomethane and e-methane within the clean-fuel mix, noting that ‘LNG, with effective methane-slip mitigation technologies, can also reduce GHG emissions. In clearly recognizing the methane decarbonization pathway, the STIP reflects long-standing calls for fuel and technology neutrality, ensuring methane, biomethane and e-methane compete on equal terms with other clean fuels. Importantly, the plan highlights positive steps towards a more integrated fungible market for biomethane. 
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New Bioeconomy Strategy of the European Commission
The European Commission proposal acknowledges the role of bioenergies and biofuels, as well as the need for flexibility when assessing efficient biomass-use pathways. This is essential for the recognition of biogas plants as biorefineries that produce not only renewable energy, but also two co-products (digestate and biogenic CO2) and innovative derivatives from these streams (e.g., e-fuels, syngas, green hydrogen, bio-based plastics, chemicals and fertilisers, polymers, etc.). The EU Bioeconomy Strategy’s recognition of biowaste potential for biogas production is a welcome step forward. However, other sustainable biomass streams, such as manure and intermediate crops, must also be recognized as it holds significant untapped potential and will further strengthen Europe’s circular bioeconomy.
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EU biomethane targets face challenges from subsidies, double-counting
The EU’s target to produce 35 billion cubic meters (bcm) of biomethane by 2030 faces significant hurdles, including high costs, inconsistent subsidy structures across member states, and risks of double-counting via fragmented Guarantees of Origin (GOs) and Proof of Sustainability (PoS) systems. Inconsistent tracking systems across borders mean that biomethane certificates can be miscounted. The Union Database (UDB) is intended to resolve this, but integration challenges remain. The sector lacks a unified, long-term regulatory framework, often relying on short-term incentives, which slows down the necessary, large-scale investment for new facilities, note researchers in a 2026 study.
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Greek Biomethane law finalized
Industry stakeholders say that the final biogas bill marks a strong starting point for the domestic biomethane market. Notably, all four proposals submitted by the Hellenic Association of Biogas Producers were included in the voted law. One major change concerns grid connection cost: for pipelines up to 3 km, the network operator will cover the full cost. For 3–10 km, the cost is split, while distances beyond that fall to the producer. Another improvement was the removal of a 12-hour limit on electricity generation from hybrid units. Instead, the ministry will have the flexibility to determine allowable hours for compensation.
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Sweden launches applications for 2026 biogas production support
Sweden has opened applications for gaseous and liquified biogas production support, allocating an SEK 1.035 billion ($106 million) budget covering manure-based biogas and upgraded biomethane. The state-backed mechanism was designed to accelerate biogas and biomethane production, particularly from livestock manure. The scheme provides compensation per kWh of biogas produced from manure and per kilowatt-hour of biogas upgraded to biomethane, regardless of whether delivered in gaseous or liquid form,” the Agency said. Support is disbursed up-front based on expected production in 2026, providing immediate liquidity and reducing financing pressure for producers. Under the Swedish scheme, the plant must produce biogas within Sweden, with said production occurring between 1 January 2026-31 December 2026. Likewise, feedstocks used in the production process must align with the EU Renewable Energy Directive’s Annex IX.
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Spain activates its maritime roadmap with the Decarbonization Plan
Maritime transport in Spain is at a crucial crossroads: decarbonization is no longer just an aspiration; it has become an operational and regulatory requirement. Therefore, the approval of the National Action Plan for the Decarbonization of Maritime Transport represents a significant step: €250 million will be allocated between 2026 and 2030, financed by revenue from the Emissions Trading System (ETS), to support the renewal of existing vessels, the construction of new low-emission vessels, and pilot projects for renewable fuels. However, this plan is only the beginning of a much broader process. According to ANAVE, the allocation of €250 million represents barely 5% of what the maritime ETS is estimated to generate by 2030 (more than €5 billion).

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Italy approves biomethane guidelines for EU ETS
Italy has approved guidelines for using biomethane in industrial and power facilities covered by the EU Emissions Trading System (ETS), allowing it to be classified as zero-emissions. The guidelines require strict, documented sustainability standards for biomethane, in line with EU Renewable Energy Directive requirements, often utilizing agricultural waste and residues. Operators must provide specific documentation, update emission monitoring plans, and submit self-declarations for emissions. Biomethane is classified as zero emissions for operators within the ETS. The initiative is part of Italy’s broader 2022 Ministerial Decree, which provides capital grants (up to 40% of costs) and incentive tariffs for 15 years to boost production. The European Commission has approved, under EU State aid rules, an Italian scheme to support the construction and the operation of new or converted biomethane production plants.
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Dutch Senate questions government on marine obligation
The Dutch Senate is questioning the government over potential competitive disadvantages for the Port of Rotterdam stemming from new 2026 marine renewable fuel mandates and stricter bio-LNG mass balance rules. Lawmakers worry about bunker diversion to Belgium, which delayed similar rules until 2027. The Senate is also investigating the rules for mass-balancing bio-LNG, which requires a Dutch Guarantee of Origin (GO) ticket, unlike some other European systems. They also questioned the reduction targets of 2.9% (down from 3.6%) for maritime shipping and 2.5% (3.8%) for inland waterway transport planned for 2026.  
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Netherlands drafts targets for new biomethane mandate
The Netherlands is implementing new biomethane mandates, transitioning to a greenhouse gas (GHG)-based system (ERE) from the old energy-based one (HBE) for biofuels, aiming for 2 billion cubic meters (bcm) of “green gas” by 2030, with specific GHG reduction targets for transport sectors (27.1% for road; 14.5% for inland waterways, 8.2% for shipping) under the EU’s RED III directive. The ERE system favors fuels with greater GHG reductions, removing old multipliers and double-counting for advanced feedstocks. This new framework is effective from January 2026, will focus on emissions savings, promoting low-emission fuels, and potentially including imports to meet targets.
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UK extends Green Gas Support Scheme by two years
In the UK, new regulations are expected to come into effect in early 2026 to extend the commissioning window of the Green Gas Support Scheme (GGSS) to March 31, 2030. Subject to parliamentary scrutiny, applicants have an additional two-years to commission plants and begin injecting biomethane into the gas grid. The UK’s GGSS has several mechanisms to manage budgets and ensure value for money, while maintaining investor confidence to encourage deployment.
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