The Role Of Biomethane And RNG In Reducing Italy's Natural Gas Dependence

Essay By Marco Brun | CEO & Chief Commercial Officer | AleAnna

Italy's heavy reliance on imported natural gas, which accounted for 73% of its total energy needs in 2022, poses significant economic  and geopolitical challenges. As the country seeks to enhance energy security and reduce carbon emissions, biogas and renewable  natural gas (RNG) have emerged as critical components of its energy transition strategy. With advancements in production  technologies and supportive policies, Italy is leveraging these sustainable alternatives to reduce its dependence on conventional  natural gas while fostering economic and environmental benefits. 

Current Landscape of Biomethane and RNG in Italy  

Italy is a European leader in biomethane production, with over 1,600 operational biomethane plants as of 2023. These facilities produce  approximately 2.5 billion cubic meters (bcm) of biomethaneannually, contributing to 10% of the country's total gas consumption. The  agricultural sector, particularly in regions like Lombardy and Emilia-Romagna, plays a pivotal role, with 70% of biomethane plants  using agricultural residues and livestock manure as feedstock. 

RNG, also known as biomethane, is an upgraded form of biomethanethat meets the quality standards of conventional natural gas. In  2022, Italy produced 0.6 bcm of RNG, a figure expected to rise to 10 bcm annually by 2030, aligning with the European Union’s Fit for  55 targets. The government's National Energy and Climate Plan (NECP) has allocated €4.7 billion to support RNG infrastructure and  development, positioning Italy as a key player in Europe’s renewable gas market.

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Environmental Benefits  

The production and use of biomethane and RNG significantly reduce greenhouse gas emissions. Biomethane production prevents  methane emissions from decomposing organic waste, while RNG, when used as a transportation fuel, achieves up to 85% lower CO₂ emissions compared to diesel. In 2022 alone, Italy’s biomethane and RNG sectors prevented the release of 3.8 million tons of CO₂ equivalent into the atmosphere. 

Moreover, the integration of biomethane with carbon capture and storage (CCS) technologies is further enhancing its environmental  impact. Pilot projects in northern Italy are exploring the capture and reuse of CO₂ from biomethane facilities, with the potential to  sequester 1 million tons of CO₂ annually by 2030. 

Economic Contributions  

Biomethaneand RNG contribute significantly to Italy’s economy. The sector supports over 14,000 jobs, particularly in rural areas, and  generates €4 billion annually in revenue. By 2030, the expansion of RNG production is expected to create an additional 8,000 jobs  and boost economic output by €6 billion annually. 

Additionally, Italy’s exports of biomethane and RNG technologies, such as anaerobic digesters and upgrading equipment, are  bolstering its global leadership in renewable gas solutions. In 2022, Italian companies exported €800 million worth of biomethane related technologies, a figure projected to grow as international demand for sustainable energy solutions increases. 

Role in Energy Security  

Biomethaneand RNG are crucial for reducing Italy's dependence on imported natural gas. The planned production of 10 bcm of RNG  by 2030 would replace nearly one-third of current natural gas imports. This shift not only enhances energy security but also insulates  thecountry from price volatility in global gas markets. 

Strategic investments in RNG infrastructure, such as injection points into the national gas grid, are accelerating this transition. As of  2023, Italy has over 50 RNG injection facilities, with plans to triple this number by 2027. These facilities enable seamless integration of  RNG into the existing gas network, ensuring reliable and efficient distribution. 

Challenges and Future Outlook  

Despite its potential, the biomethaneand RNG sector faces challenges, including high initial investment costs and regulatory barriers.  For example, the cost of constructing a biomethane plant ranges from €1.5 million to €4 million, depending on capacity. However,  government incentives, such as feed-in tariffs and grants under the EU Recovery and Resilience Facility, are mitigating these barriers. 

Looking forward, innovation in feedstock utilization and technological advancements will be key to scaling biomethane and RNG  production. Italy is exploring the use of non-food crops, algae, and industrial waste as alternative feedstocks, which could increase  production efficiency and sustainability. Additionally, pilot projects integrating RNG with hydrogen production are paving the way for  a future where renewable gases dominate Italy’s energy landscape. 

Conclusion  

Biomethaneand RNG are transforming Italy’s energy sector, offering a sustainable and economically viable solution to reduce natural  gas dependence. With plans to produce 10 bcm of RNG annually by 2030 and prevent millions of tons of CO₂ emissions, Italy is 

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setting a benchmark for renewable gas adoption in Europe. By addressing challenges and leveraging innovation, biomethane and  RNG will play a central role in Italy’s journey toward energy security, economic growth, and environmental sustainability.