Life Beyond Tariffs
Andrew Parsons
Chief Revenue Officer, Bennamann
Andrew’s philosophy is simple: the customer’s success is the only metric that matters. By moving beyond traditional subsidies, he partners with AD operators to unlock the high-value revenues of a truly energy-independent future, driven by Bio-CNG.
Life Beyond Tariffs
Future-Proofing Your AD Plant with Bio-CNG
For over a decade, the roadmap for Anaerobic Digestion (AD) was clear: produce biogas, generate electricity, and rely on the stability of government-backed incentives. But as time passes, that roadmap is reaching a dead end.
For many small-to-medium AD operators, Renewables Obligation Certificates (ROCs), Feed-in tariffs (FITs), and the Renewable Heat Incentive (RHI) are the lifeblood of their business model. However, with many of these original 20-year contracts now expiring or entering their final phase, a “subsidy cliff” is fast approaching.
The Subsidy Cliff: Why the Old Model is Faltering
The ending of these tariffs isn’t just a minor administrative change; it’s a fundamental shift in how AD plants must survive. Without the guaranteed incomes, the traditional “CHP model” just does not stack up, especially when facing rising input costs and maintaining an ageing plant.
Industry experts have been waving the red flag for some time. Charlotte Morton, Chief Executive of the World Biogas Association has noted that the sector risks losing vital infrastructure if operators cannot find new, sustainable revenue streams that don’t rely on “meagre” or expiring incentives. Furthermore, the NFU has recently highlighted that without clear policy replacement, small-scale producers are being “left out in the cold” amidst soaring operational costs.
The New Energy Frontier: Bio-CNG
At Bennamann, we believe the end of a tariff shouldn’t mean the end of your plant. In fact, it’s an opportunity to pivot toward a valuable, high-demand product: Vehicle Grade Biomethane (Bio-CNG).
By upgrading your biogas rather than simply burning it for electricity, you unlock a high-value, low-carbon fuel that the transport and agricultural sectors are crying out for.
Bennamann’s CAPCH4 – biogas to Bio-CNG complete fuelling solution is a pioneering step towards energy independence and revenue security. It enables plant owners to produce their own fuel, consume what they want and generate revenue by selling the surplus, and trading Renewable Transport Fuel Certificates (RTFCs).
Taking Control of Your Energy Destiny
The era of “government-controlled” returns is ending, but the era of energy independence is just beginning. By upgrading biogas into Bio-CNG, small AD operators can move from being subsidy-dependent to becoming key players in the local clean energy revolution.
There is life beyond tariffs and it’s cleaner, profitable, and entirely in your hands.
Get in touch for an in-person site visit, and to find out how the Bennamann CAPCH4 solution can work for you.