Ecotricity biogas plans for national grid

Online, January 18, 2010 (Newswire.com) - Ecotricity continues with its plans to establish itself as a green gas supplier as well as green electricity supplier. Next month, it assures that it will connect its first gas customer and begin delivering biogas before the end of the year.

After announcing the launch of its dual gas and electricity tariff late last year, Ecotricity is now in advanced discussions with a number of firms about delivering on its promise to provide customers with low carbon biogas made from organic material.

The main barrier to the realisation of the plan is achieving the quality standards that biogas will need to comply with if it is to be injected into the national grid. The guidance published by the Department of Energy and Climate Change late last year, sets out the legal, technical and regulatory requirements of injecting green gas into the national grid. There are some concerns that demanding gas quality requirements could put up the cost of injecting biogas.

National Grid, however, is currently engaged in a project with United Utilities that aims to inject biogas into the national grid from its waste water facilities in South Yorkshire. Confidence is growing that gas quality standards can be met at reasonable cost.

Ecotricity's plans to inject biogas into the national grid

Ecotricity has maintained talks with National Grid about its plans to inject biogas into the national grid. Econtricity's CEO, Dale Vince, said that the company has to get the right level of gas quality to make it economic. At the moment it is more economically viable to burn biogas onsite to generate green electricity than inject it.

Nation Grid confirmed that the company was "massively supportive" of plans from Ecotricity and others to get biogas injected into the national grid. Ecotricity's plans to supply customers with standard gas has prompted grumbles from some rivals, saying that it is launching a green gas tariff that will not provide biogas to customers for some time.

The CEO rejected the comments saying that Ecotricity's gas customers would help fund the development of new biogas sites and that the company would provide some biogas in the coming months by purchasing green gas supplies from the continent.

In the meantime, Ecotricity is expecting its new dual gas and electricity tariff to strengthen its appeal to both domestic and business customers. So far, its position as a supplier of just electricity was a barrier to people joining.