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Biogas in Portugal

General
In Portugal electricity represents around 20% of final energy consumption, of which 30% to 40% is renewable-based, mainly large hydro plants. Of the renewable technologies, wind power has been growing fastest over recent years. Targets exist for new renewables: for wave power a pilot area will be chosen for testing different concepts.

Portugal is developing actions to increase and improve the environmental issues in the energetic laws, with base in the “Estratégia Nacional para a Energia” - RCM n.º 169/2005 (Energetic National Strategy). In this context, all the efforts are to look for a more sustainable energy using the best available technology and, in long term, to support the development of new technologies.

According to the Directive 2009/28/EC of the European Parliament and of the Council on the promotion of the use of energy from renewable sources the target for the share of energy from renewable sources in gross final consumption of energy in the year 2020 for Portugal is 31% (in the year 2005 the share was 20.5%). The Directive has a mandatory 10 % target for transport to be achieved by all Member States, which refers to renewable sources as a whole, not biofuels alone.

Renewable energy projections according to the National Renewable Energy Action Plan for Portugal
The National Renewable Energy Action Plan (NREAP) for Portugal was submitted in August 2010. The target according to Annex I of Directive 2009/28/EC is 31% for the year 2020 and the projected NREAP share in that year exactly matches the target.  According to the projection, the most important contribution in the year 2020 is expected from biomass (renewable heating and cooling) (2322 ktoe, 38% of all renewable energy). Second important contribution is expected from wind power (14.6 TWh or 1255 ktoe, 21% of all renewable energy). The third largest contribution is from hydropower (14.1 TWh or 1210 ktoe, 20% of all renewable energy). Wind power contributes with 6.9 GW (14.6 TWh) in the year 2020 (onshore wind 6.8 GW and 14.4 TWh, offshore wind 0.1 GW and 0.2 TWh). For solar photovoltaic the 2020 contribution is projected to be 1.0 GW (1.5 TWh). For solar thermal the 2020 contribution is projected to be 160 ktoe. The two most important biofuels are projected to contribute 450 ktoe (biodiesel) and 27 ktoe (bioethanol / bio-ETBE) by 2020. The renewable electricity production from solid biomass amounts to 1.5 TWh (126 ktoe) and for biogas it is expected to be 0.5 TWh (45 ktoe). The consumption of renewable heat is expected to amount to 1484 ktoe for solid biomass and 37 ktoe for biogas.

Renewable heat and electricity: biogas
The current national strategy defines a target of 100 MW for the anaerobic treatment of resi-dues, and seeks to review the old objectives and redefine a new action plan to achieve them. The most recent legislation, decree 691/2006 fixing the maximum eligible limits for investment pro-jects concerning the production of electricity from renewable energy sources establishes €2.100/kW of maximum eligible investment for biomass power plants. The Decree-law 23_A of 16th February 2005 modified the system of feed-in tariffs. There are some minimum and maxi-mum tariffs, according to the variations of load on the grid. The feed-in tariff is applicable for 15 years for biomass and biogas plants. For anaerobic digestion, the tariff is 115 to 117 EUR/MWh, for landfill gas it is 102 to 104 €/MWh, which is similar to the tariff for solid bio-mass, and significantly higher than the tariff for electricity originating from municipal waste (74 €/MWh).

System of investment subsidies for corporate and public entities, currently running for all REs: the maximum eligible investment concerns 2.100 €/kW for biomass plants. Up to 300.000 € are non refundable. The rest of the investment should be refundable in 9 years (with a zero interest rate) after a period of 3 years where no reimbursement has to be made. Thus, refunding has to be fully achieved 12 years after the initial investment.

Future programme changes expected
No information available on future policy changes.

Sources
Neves, M, Ministry of Economy and Innovation, Portugese Republic, Promotion of RES-E in Portugal, Fourth workshop of the International Feed-In Cooperation, Ljubljana, October 18-19, 2007.

Interactive EurObserv’ER Database, http://www.eurobserv-er.org, 2007

The National Renewable Energy Action Plans (NREAPs) are all published on the Transparency Platform on Renewable Energy: http://ec.europa.eu/energy/renewables/transparency_platform/action_plan_en.htm (sourced July - December 2010)

Renewable Energy Projections as Published in the National Renewable Energy Action Plans of the European Member States, http://www.ecn.nl/nreap (sourced December 2010)

Interactive EurObserv’ER Database
http://www.eurobserv-er.org
Last update: December 2010



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