The RED II transposition deadline passes: sustainability criteria for biogas and guarantees of origin

On 30 June 2021 the deadline by which Member States were to transpose into national law Directive (EU) 2018/2001 on the promotion of the use of energy from renewable sources, known as RED II, expired. The directive sets the framework for RES development to 2030 and contains provisions directly concerning biogas: sustainability criteria, a list of advanced feedstocks and guarantees of origin.

Key elements for biogas

Annex IX Part A contains a list of feedstocks from which biofuels and biogas produced count towards the advanced fuels sub-target – among them manure, sewage sludge, biowaste and some agricultural residues. This directly places the digestion of waste and natural fertilisers among the priorities of EU transport policy.

Significance for biomethane

The directive makes it possible to use biomethane as a transport fuel and requires confirmation of its origin. In countries that implemented the rules quickly, systems of certification and trading in guarantees of origin have developed. In Poland, as at the end of June 2021, the process of implementing the directive as regards biomethane had not been completed; regulations for biomethane remained the subject of work by the Ministry of Climate and Environment in talks with the industry.

Consequences of late implementation

Failure to transpose on time leads to infringement proceedings, the first stage of which is a letter of formal notice. EU law itself may, however, be invoked directly against the state (vertical direct effect of directives) to the extent that the provisions are clear and unconditional, and the objectives continue to bind the Member State.

What next

In parallel, work was under way on revising the directive within the "Fit for 55" package: the Commission announced for 14 July 2021 a proposal for a higher RES target. For biogas and biomethane investors this meant the need to take into account both the current RED II rules and the future amendment, which might tighten or broaden the requirements.

Why sustainability criteria matter

The sustainability and emission reduction criteria determine whether energy from biogas counts towards RES targets and whether support can be obtained. For larger installations, verification by an independent auditor and supply chain tracking are required. For projects based on energy crops, such as maize silage, this is especially significant, because the directive limits the share of biofuels and biogas from food and feed crops in meeting the transport target.