European Parliament backs a 45% renewables target by 2030 in the revision of the RED

On 14 September 2022 at its plenary session the European Parliament adopted its position on the revision of the Renewable Energy Directive (RED). MEPs came out in favour of raising the target for the share of renewables in gross final energy consumption to 45% in 2030, the same as the European Commission proposed in May in the REPowerEU plan. The EU Council agreed a position with a 40% target in June, so the next stage will be trilogue negotiations. The outcome of these talks will decide the conditions in which biogas and biomethane operate in the EU for years to come.

What is changing

The RED revision is one of the foundations of the "Fit for 55" package. Parliament's position is a negotiating mandate, not a legal provision. It covers many elements, from higher sectoral targets (heating and cooling, transport, industry), through simplified permitting procedures for renewables, to sustainability rules for biomass and biofuels. For the renewable gas industry the following are particularly important:

• certification rules and guarantees of origin for biomethane,
• sustainability and emission saving criteria for feedstocks,
• targets for advanced fuels and renewable fuels of non-biological origin in transport,
• restrictions on the access of forest biomass to support.

The biomass thread is the most contentious, because it concerns both the climate and competition for feedstocks.

Significance for the industry in Poland

Poland is interested in a cautious approach to renewables targets, because it must reconcile the energy transition with security of supply. At the same time it sees an opportunity in renewable gases: the country has large agricultural and waste resources, and the biomethane potential is regarded as significant. The directive will set the framework within which Poland will implement national rules, including the definition of biomethane, registers, guarantees of origin and feedstock sustainability criteria.

For investors, the provisions on grid access, procedures and support will be particularly important. The more ambitious the outcome of the negotiations, the greater the pressure on Member States to simplify permits and remove barriers to biogas projects.

Why the difference between 40% and 45% matters

Five percentage points across the whole Union amount to hundreds of terawatt-hours of renewable energy a year. The higher the target, the greater the pressure on Member States to develop less obvious sources as well: biogas, biomethane, renewable heat and renewable fuels in transport. With a lower target it is easier to stop at wind and solar in the power sector. That is why European biogas and biomethane associations supported the higher target and separate pathways for renewable gases.

What next

Trilogue negotiations are due to begin in the autumn under the Czech presidency of the Council, and their conclusion is possible in early 2023. Until then the industry will lobby for retaining criteria that favour waste feedstocks and residues while not closing the road to agricultural biogas plants operating according to the principles of sustainable development.