Report: Biomethane can play key role in decarbonising Ireland’s electricity system
28 Aug 2026
Biomethane has the potential to support Ireland’s decarbonisation efforts while also powering a new homegrown industry, according to a study commissioned by SSE.
A sustainable alternative to traditional fossil fuels, the report from energy consultancy AFRY – Decarbonising Flexible Generation In Ireland - shows that biomethane is the most viable near-term solution for delivering the required low-carbon flexibility in Ireland’s electricity system.
In its Climate Action Plan, Government set out the need for at least 2GW of new gas generation by 2030 to meet rising electricity demand and ensure security of supply. One of the main challenges facing Government will be how to deliver new flexible power at scale while minimising the use of imported fossil fuels and managing affordability.
Progress has already been made with SSE currently in construction on two new flexible power stations in Ireland – a 300MW plant at the historic Tarbert site in Co. Kerry and a 170MW plant at Platin in Co. Meath, both of which can run on sustainable biofuels (HVO).
To meet climate targets, Government will need to consider further options to decarbonise power generation with the report considering the merits of a range of fuel types, including biomethane, HVO, hydrogen and ammonia. In addition to emissions reduction potential, it also examined the practical realities of deployment, including how quickly technologies could be scaled and how they could integrate with existing infrastructure.
When evaluated against those other potential decarbonisation solutions, biomethane emerges as the strongest option. Ireland has a target to produce 5.7TWh of biomethane by 2030, with a focus on decarbonising the heat sector, but deployment rates are currently far below the level required.
Delivering on biomethane’s potential within the power sector, while ensuring minimal impact on consumer bills, will require clear action from Government with a need to address existing constraints around production and the cost differential between biomethane and natural gas, to create a more supportive policy environment.
In its report, AFRY finds that even modest progress on biomethane production would provide enough supply to meet the fuel requirements of peaking plants which have low running hours and typically operate during periods of peak demand. It could be used in new peaking plants and also blended into existing assets on the system.
Helen Sanders, Head of Sustainability at SSE Thermal, said: “As Ireland rightly takes strides to deliver more renewable generation on the electricity system it can’t lose sight of the need for new flexible power to maintain system security during periods of low wind and high demand. Crucially, it needs to find a way to deliver that new flexible power without being overly reliant on fossil fuels – and this report shows that biomethane has the potential to play a key role in delivering that outcome.
“While there is no silver bullet, one of the major benefits of biomethane when compared to alternatives is that production could be located within Ireland’s borders, meaning there is a real opportunity for a homegrown industry to emerge with real economic benefit.
“As we continue to deliver new flexible generation in Ireland, SSE is committed to working with Government and industry partners to bring forward the required near-term solutions which can serve as important stepping stones as we look towards longer-term solutions including hydrogen.”
Ruth Young, a spokesperson for AFRY and co author of the report, said: “Biomethane’s relevance to Ireland lies not only in its potential contribution to decarbonisation, but also in its ability to support energy security through the development of a domestic renewable gas industry.
“It stands out because its benefits extend beyond reducing carbon emissions. Unlike some alternative fuels, biomethane offers the potential to make greater use of Ireland’s own resources, creating a domestic source of renewable gas while reducing reliance on imported fossil fuels.”
Read the full report: Decarbonising Flexible Generation In Ireland: The role of biomethane.