Finland Biogas Update of the Global Methane Initiative (GMI) Tri-Subcommittee Meeting, Florianópolis Brazil

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Finland Biogas Update of the Global Methane Initiative (GMI) Tri-Subcommittee Meeting, Florianópolis Brazil 14 March 2014 Ministry of Agriculture and Forestry, Finland 1

Finland

Finland Surface area 338 419 km 2 forestry land 262 700 km 2 (78%) agricultural land 22 500 km 2 (6,7%) Population 5 300 000 share of rural population about 30% Population density 17,4 persons/km 2 (EU-27 114,7 persons/km 2 )

Other energy sources 2,8 %, (7%) Wood 23,4 % (+0,8 %) Oil 24,% (- 3,3 %) Peat 4,9 % (-22,3 %) Coal 9,6 % (-12,3 %) Wind and hydro energy 4,5 % (33,8 %) Nuclear power 17,7 % (- 0,9 %) Natural gas 8,5 % (- 11,1 %) Net import of electricity 4,6 % (25,9 %) Total energy consumption in Finland 2012 Total energy consumption in Finland in 2012 was 380 TWh, which is 2 % less than in 2011 (386 TWh) (based on preliminary data of the Statistics Finland)

15,1% 8,6 % 30,9% 11,2% 34,3% Hydro and wind power Black liquor (forest industry) Wood residues (forest industry) Wood chips and firewood Other renewables Renewable energy in Finland 2012 Share of wood biomass in total was 80,3 % In 2012 the share of renewable energy in total consumption of energy in Finland (380TWh) was 30 %, 114,7 TWh 5

Biogas plants in operation and planned on September 2012 (sources: UEF Biogas plant register, VAHTI info system, Markku Alm In operation Integrated bioethanol and gas production plant (1) Combined procession plant (11) Farm plant (13) Wastewater purification plant (18) Experimental plant (2) Biogas plants in operation and planned 2012 Planned Combined procession plant (19) Farm plant (19) Wastewater purification plant (1)

Finland Biogas Update 2012 18 (2011 16) biogas reactor plants were in operation at different municipal wastewater treatment plants Industrial wastewaters were treated anaerobically at four (2011 3) plants Farm-scale biogas plants were operation at 13 (2011 10) places Municipal solid wastes were treated at 11 (2011 8) biogas plants Production of thermal, electrical and mechanical energy was 256,2 GWh (2011 203,4 GWh) 40 (2011 39) landfill gas recovery plants were operating Electrical and thermal energy was produced 312, 2 GWh (2011 314,5 GWh) Total energy consumption in Finland 2012 was 380 TWh (share of renewable energy was 30 %) 7

Finland Biogas Update The state of Finland provides subsidies for biogas investments and research projects Ministry of Employment and the Economy provides subsidies to bigger biogas plants: feed- in tariff or energy aid for investments Ministry of Agriculture and Forestry provides subsidies to smaller biogas plants: investment aid (rural development programme for Mainland Finland 2007-2013 and the national investment aid; new program for 2014-2020 under preparation) biomethane is exempted from excise tax 8

Finland Biogas Update The feed-in-tariff system for electricity produced from biogas has been in force since March, 2011 Guaranteed price 83.5 /MWh + 50 /MWh heat bonus Generator power 100 kva (~85 kwe) Only new plants Landfill gas and municipal plants excluded Plants can be included in the feed-in-tariff scheme for 12 years Biogas plants can be accepted to the feed-in-tariff scheme until their total efficiency reaches 19 MW (only 10 x 2 MW plants) Investment support of 15-40% available for construction of biogas plants as an alternative to joining the feed-in-tariff system 9

Agricultural biogas (1/2) A lot of potential, but problems with profitability - Must have sufficient and predictable balance from selling electricity and heat and also partly from fertilizers produced from the digestate and gate fees obtained from waste-based materials What is needed to increase number of agricultural biogas plants in Finland? - Developing energy production support system - Supporting research and development on digestate processing and the use of recycled fertilizers

Agricultural biogas (2/2) New way of thinking: biogas plant as an integration of energy production, agriculture, waste management and nutrient recycling could enhance the development of the biogas sector in Finland

Development trends in renewable energy The sustainability of production taken into account EU sustainability criteria regulations on the life-cycle emissions of fuel production Consideration of both primary production and processing In addition, requirements for cultivation or growing sites of raw material Closed cycles Planning not only of fuel production but more comprehensive entities The aim is that as much of the raw materials, production side streams and waste as possible is utilised Requires cooperation between production sectors and authorities

www.sybimar.fi/en 13

Energy production on farms Use of renewable energy on farms has increased strongly In particular, more wood chips used for heating In 2011 as much as 41% of farm energy consumed produced with wood While increase in wood heat plants should continue, plans for combined electricity and heat production Biogas, thermal gasification, wind, etc. The aim is as high energy self-sufficiency as possible, but farms could also have a role in selling decentralised energy Machine and transport fuels the greatest challenge to selfsufficiency is biogas the solution? Increasing energy efficiency contributes to these objectives as well

Biogas as machine and transport fuel

Wastewater Treatment in Finland 80 % population is connected to municipal wastewater treatment plants Treatment process is typically combined biological organic material and N removal + chemical precipitation of P 540 wastewater treatment plants (PE >50) Number of large WWTP is 10 (PE >100 000) Reduction level BOD 97 % P 96 % N 56 % (Helsinki 90 %) Madrid Stockhol Copenhag sl m en o London Berlin Warszawa Paris O Roma Wien Athen s Helsinki Tallin n Moscow Espoo Kauniainen Vantaa Helsinki

Biogas production Biogas production at 60 % of WWTP (PE > 10 000) Annual biogas production 24 Mm3/a 20,5 Mm3/a was utilised El prduction 27 GWh Heat production 80 GWh

Barriers/Challenges to Methane Reduction, Recovery, and Use Size of the units is rather small Large number of WWTP units which PE < 10 000 Strong pressure to combined digesters (bio waste) Increase the digestion unit dimensions and make it economically attractive Negative influence to water process of WWTP (concentrated reject water) 2 new combi plants had start up 2012 (Kouvola, Kokkola) Production subsidiary mechanism for new biogas production units started in 2010 Support mechanism for investments which will increase energy efficiency (20-30 %)

Case Viikinmäki WWTP ORC New gas motor (2012) has been combined with ORC tecnology (2014) ORC (Organic Ranking Cyckle) manufactured by TRIOGEN is under start up at the moment Investment was supported by Ministry of employment and energy Support max level 24 % of the investment Designed for 1,5 MW gas motor exhaust gas heat potential 165 kw max power 120 kw effective power generation Mari Heinonen 11.4.2014 19

Case Suomenoja WWTP Biogas has been sold out for vehicle fuel (Gasum Ltd.) from 11/2012 1 original gas motor (0,6 MW) lack of operational saftety Used in case of operational breaks Biogas production 3,5 Mm3/a Annual power production 5 GWh Mari Heinonen 11.4.2014 20

Municipal Solid Waste Beginning of 2016 it is forbidden to disposal organic waste to landfills This means that organic waste must be recycled or burned Amount of biogas produced from landfills will decline in the future 2012 total amount of municipal solid waste was 2,7 million tons: 1/3 was recycled, 1/3 was burned and 1/3 was disposed to landfills 363 000 tons was collected separately and composted or digested; number of biogas plants will increase in the future 21

Contact Information and Announcements Birgitta Vainio-Mattila, Ministerial Adviser, Ministry of Agriculture and Forestry (Agriculture) birgitta.vainio-mattila@mmm.fi http://www.mmm.fi/en/index/frontpage.html Mari Heinonen, Process Manager, Helsinki Region Environmental Services Authority (Wastewater) mari.heinonen@hsy.fi Petri Kouvo, Helsinki Region Environmental Services Authority (Municipal Solid Waste) petri.kouvo@hsy.fi http://www.hsy.fi/en/pages/default.aspx 22