Czech Industry Ministry launches first biomethane auction, targeting tens of millions of cubic metres a year

The Ministry of Industry and Trade (MPO) today announced its first auction for operational support for biomethane. It concerns production facilities that will be commissioned by the end of 2029 at the latest. The ministry reported this today on its website and in a press release. The Czech programme supporting the construction of biomethane plants, worth EUR 3.7 billion (CZK 90.2 billion), was approved by the European Commission in April.

The programme is intended to contribute to the transition to a net-zero economy. Sustainable biomethane can be used in transport, heating and industry. In the auction announced by the MPO today, the total auctioned energy volume has been set at 45 million cubic metres per year. Biomethane must be produced from biogas, including sewage sludge gas and landfill gas, and injected into the gas grid in Czechia. Interested parties may submit bids from 29 May to 31 July.

In recent weeks, the MPO has announced a call for an auction for mandatory biomethane purchase and published an information notice on planned auctions.

According to Industry Minister Karel Havlíček (ANO), the current instability in the Middle East shows how important it is to reduce dependence on fossil fuel imports. "Biomethane is one way of strengthening the Czech Republic's energy self-sufficiency and resilience to external shocks," Havlíček said.

Three new biomethane plants were established in Czechia last year. There are now 14 in the country, the CZ BIOM association said in a statement in January. Output from these plants also increased, rising by 9.5 million cubic metres year on year to a total of 17 million cubic metres of gas. Under current state plans, the Czech Republic aims to have around 100 biomethane plants by 2030, with production reaching up to 491 million cubic metres per year.