Mr. P.J. McCarthy:

On behalf of RGFI, I thank the Cathaoirleach and the members for inviting us to the meeting to discuss the merits of biomethane. Renewable gas - biomethane - is produced from organic biodegradable materials such as slurry and crop residues when they are broken down in an oxygen-free environment such as an anaerobic digester. Anaerobic digestion, AD, is an important pillar technology of the Irish and European circular bioeconomy utilising natural resources. It mitigates greenhouse gas emissions, recycles nutrients in the form of organic fertilisers and supports mitigation measures to improve water and air quality, biodiversity and soil health.

As the national co-ordination body for biomethane, RGFI membership represents the full supply chain of renewable gas biomethane and includes academics, centres of excellence, AD operators, community organisations, farmers, shippers, suppliers and industrial consumers in the agrifood, beverage and transport sectors. At European level, RGFI is a very proactive member and on the board of the European Biogas Association, EBA, which is one of the key stakeholders in the biomethane industry partnership task force. This is a joint secretariat established by the Frans Timmermans cabinet and the EBA to deliver on the biomethane element of the REPowerEU strategy.

I am chair of the national associations platform, which co-ordinates and supports other member states in the establishment and implementation of national targets for biomethane in collaboration with the biomethane industry partnership task force. In this capacity, we are working closely with the Departments of the Environment, Climate and Communications and Agriculture, Food and the Marine, which are responsible for the development of the Irish national biomethane strategy.

It has been mentioned previously by colleagues that Ireland lags well behind other EU member states in not having policy and legislation to support the establishment of a scalable indigenous biomethane industry. The RGFI vision is for an agriculture-led, farm-based and scalable AD biomethane industry as a central enabler of the circular bioeconomy. With our grass-based agricultural systems and ready availability of sustainable forage as well as animal slurry feedstocks, Ireland is particularly suited to the production of sustainable biomethane and biofertiliser production and to pursue the bioeconomy opportunities and potential that are available. Recent research from Teagasc has confirmed the availability of 2 to 4 million tonnes of sustainable feedstock for AD biomethane and shows how a move to mixed species sward pastures and other sustainable forage can further improve the sustainability of renewable energy value and environmental benefits with approximately only 2% of land required for sustainable feedstock supply and in the region of 735,000 hectares of under-utilised permanent pasturelands available for use to grow incremental feedstocks to supply indigenous and sustainable AD biomethane and bioeconomy industries.

Momentum is now gathering in Ireland to embrace sustainable indigenous biomethane and biofertiliser production and use with strong consumer demand and collaboration from key consumer market segments of manufacturing and processing, which involves thermal demand, along with sustainable food production and transport. The most economical use of biomethane is in thermal demand and transport.

The legally binding framework is provided through the Climate Action Bill and Climate Action Plan 2023. With current Government policy support, we now have a strong opportunity to develop thriving indigenous biomethane and bioeconomy industries supporting energy security and, importantly, for Irish farmers, an opportunity to reduce agricultural emissions, support sustainable food production and help to secure the long-term economic, social and environmental sustainability of the sector.

Regarding the business cases for biomethane in Ireland, I refer the committee to the three most significant business cases and public consultations we have conducted in recent years. In 2019, we commissioned KPMG to conduct the first fully integrated business case on the establishment of policy and economic support for an indigenous Irish biomethane industry. KPMG undertook a full economic assessment in compliance with the requirements of the public spending code. The second deliverable was building on this fundamental piece of work around the integrated business case. In 2020, on behalf of the CEOs of the Project Clover collaboration, which includes Danone, Wyeth Nutrition, Tirlán, Dairygold, Carbery, Lakeland Dairies and Tipperary Co-op, we commissioned KPMG to examine the commercial proposition and environmental sustainability of agri-based biomethane and biofertiliser production. The KPMG Project Clover feasibility study concluded that sustainable agricultural feedstock-based AD biomethane can assist in decarbonising the supply chain; provide complementary technology to help to address issues of animal slurry management while producing organic fertilisers, displacing artificial fertilisers and improving water and air quality and soil structures; generate additional revenue streams to support on-farm sustainability without reducing the national herd or disrupting food production; support the commercial sustainability and competitiveness of the Irish food and drinks industry; and create and sustain 3,000 jobs across rural Ireland.

Last year, RGFI as partner and target country for the EU Horizon-funded Regatrace project in Ireland and having consulted key public and private stakeholders, published an agreed vision and road map for AD biomethane in Ireland and contributed to the "Beyond Energy - monetising the whole system of biomethane" 2023 report finding that for every €1 invested in AD biomethane, €1 is returned to the economy in a positive way.

Regatrace is informing REPowerEU on the capacity of EU member states to produce biomethane and address the energy security issues.

The RGFI vision strongly aligns with national and EU policy, including the EU Green Deal, the Farm to Fork Strategy, the CAP 2023 -2027 Strategic Plan, and the Climate Action Plan 2023. RGFI has developed a draft anaerobic digestion, AD, charter, building on the work we have done to date and incorporating the Paris Agreement in the recast renewable energy directive, RED II, which will underpin all developments to ensure the responsible delivery of environmental, economic and societal commitments and benefits that it can deliver. This approach also supports the national policy statement on the bioeconomy, biodiversity and carbon-neutral farming.

Today we are asking the committee to support the development of a scalable and sustainable indigenous biomethane industry which we believe will be beneficial to Irish farmers as they seek to meet the twin objectives of future-proofing the continued viability of family farms and maximising the environmental and social sustainability of the sector. The main barrier to the development and expansion of sustainable biomethane is cost. An enduring solution in supporting a robust AD biomethane industry is required. The RGFI is actively consulting the Government on both the renewable heat obligation, RHO, and the national biomethane strategy and in that context, we have a number of key requests. We call for capital funding of 50% in matching funding and additional capital support for the bioeconomy opportunities. We also want to see the speedy implementation of the RHO scheme and consultation on the optimum economic and environmentally beneficial structure for a national carbon-farming initiative to benefit farmers. As we are now on the cusp of the development of this sector in Ireland, we ask that members of this committee, as our public representatives, ensure that the Irish farmer is supported in availing of the opportunities presented by biomethane and the associated bioeconomy opportunities.