Friday, June 6, 2008

Xuefei Chen

Both agricultural businesses and other small business in rural areas, known as micro-businesses, would be eligible for support.

According to sources from Swedish Biogas Unit, the proposal for special biogas support for the digestion of farmyard manure is based on the proposals presented in the "Bioenergy from agriculture - a growing resource" inquiry.

The inquiry was set up by the Swedish Government and mainly looked at how the support should be designed so that it is compatible with other rules and regulations applicable in this context. 

Support for production and refining of biogas
Under the proposal, support will be conditional on at least 50% of the material to be digested being farmyard manure. It is proposed that the support will amount to 30% of the total investment cost and will apply throughout the country.

It will also be possible for businesses to apply for support for more or less all the investments necessary at the production and refining stages, but there is a ceiling of EUR 200 000 per business. 

Reduction of greenhouse gas emission and increase of renewable energy
The Swedish Board of Agriculture proposes that SEK 40 million per year should be earmarked for biogas support over the period 2009-2013 from the existing budget in Axis 3 of the Rural Development Programme. A further SEK 100 million is to be added to the biogas support over the period 2009-2013 as a result of the changed priorities proposed by the European Commission in the Rural Development Programme. The reason to the special biogas support is the major benefit to the environment and the climate that can be achieved by producing biogas from manure.

While biogas production from manure means reduced greenhouse gas emissions from agriculture, there is also an increase in the supply of renewable energy, which can replace energy from fossil fuels. Manure-based biogas production is therefore often said to provide a "double climate benefit". 


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