Abstract

Germany (DE) and China (CN) have different political approaches in supporting the biogas sector. Three German and three Chinese large-scale biogas plants (BGPs) were evaluated as part of a year-round monitoring program. Laboratory methods were utilized to analyze the chemical indicators. Results showed a stable anaerobic digestion process without system failures in all BGPs. The methane yield had a range of 0.23–0.35 m3CH4/kgODM for DE BGPs and 0.11–0.22 m3CH4/kgODM for CN BGPs, due to different substrates and working temperatures. Financial analyses indicated that DE BGPs are viable under their current feed-in tariffs contracts. Their financial internal rate of return (IRR) ranged between 8 and 22%. However, all CN BGPs had negative IRRs, indicating that they are financially unfeasible. Risk analyses illustrated that DE BGPs will face financial nonviability if benefits decrease by 9–33% or costs increase by 10–49%, or if a combined worse case (benefit decrease and cost increase) of 5–20% occurs. Incentives to BGP operations are particularly important in China, where the government should consider switching the construction-based subsidy to a performance-based subsidy system to motivate the operators. BGP monitoring is necessary to understand the performance, in addition to briefing policymakers in case a policy reform is needed.

Highlights

  • Biogas production is a uniquely flexible form of energy generation

  • Substrates and Their Characteristics in different Germany (DE) biogas plants (BGPs) In DE BGPs, all substrates were transported to plants from the field, and silage was made in the silos for daily feeding

  • The analyses indicated that DE2 and DE3 are financially viable as the Switching values (SV), which indicates that the percentage increase in costs or decrease in benefits required for a BGP to be financially inviable is in excess of 10%

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Summary

Introduction

Biogas production is a uniquely flexible form of energy generation. It can be used to generate baseload electricity, meet high demands, provide low-carbon heat, or be upgraded for use as a transport fuel [1]. Act (Act on Granting Priority to Renewable Energy Sources, known by its German acronym “EEG”) since 1 April 2000, in which the original legislation guarantees a grid connection for electricity from renewable sources and a governement-set feed-in-tariff for 20 years, has made a great contribution to the biogas sector development. With multiple amendments of the EEG, a tender system in response to market trends was established in the current EEG version from 2017, which will allow the German biogas sector to focus on market-driven electricity production [3,4,5]. Plants smaller than 75 kW can receive a fixed price up to 23.14 €ct/kWh (biogas from at least 80% manure) under the current EEG 2017

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