Title:
New Value for Biofuels - Monetizing Low Emissions via GHG Quota in Germany Exemplified by Biomethane
Author(s):
Etzold, H., Dögnitz, N.
Document(s):
Paper
Slide presentation
Abstract:
Germany's greenhouse gas quota system, aimed at achieving climate targets in the transport sector, has had a significant impact on the fuel market. The complexity of the system creates uncertainty, making quota prices difficult to determine. However, it incentivises the production of biofuels. Economic factors drive the choice of different fuel options, leading to competition based on GHG abatement costs. Waste and residues are attractive for the production of low-emission advanced biofuels. Despite the volatility of quota prices, GHG quota trading has been profitable for advanced biomethane producers. A model has been developed to better understand the impact on the fuel market and to determine the evolution of the quota price until 2030. This model can assess the impact of policy changes on the quota and provide information on the future economic viability of biofuel producers.
Keywords:
certificate trading, economics, emissions trading, modelling, transport sector, biomethane
Topic:
Biomass, Bio-based Products and Bioenergy Integration
Subtopic:
Market implementation, investments & financing
Event:
32nd European Biomass Conference and Exhibition
Session:
3CO.9.2
Pages:
403 - 405
ISBN:
978-88-89407-24-0
Paper DOI:
10.5071/32ndEUBCE2024-3CO.9.2
Price:
FREE
