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Evaluation of improvements in end-conversion efficiency for bioenergy production

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Evaluation of improvements in end-conversion efficiency for bioenergy production ( evaluation-improvements-end-conversion-efficiency-bioenergy- )

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98 • In most countries, main driver is to get rid of manure (waste product); • Some country specific subsidies for non-manure digestion (Germany); • Mostly relative small scale due to logistical costs of manure transport, set up mostly connected to farmers or cooperation of farmers. Larger digesters still in rural areas, where manure becomes available; • Mostly production of heat and electricity even on small scale where electricity production is less economically favourable. Most of the time for own or local use; • Digestion mostly occurs in Netherlands, Belgium, Denmark and Germany due to surplus of manure and subsidies for electricity production from digestion; • Some initiatives in other countries (Spain, Italy) but only possible if cattle industries is somehow concentrated; • Connections with manure regulation (different per country) which complicates things; • Large improvements could be made in efficiency due to heat use, upscaling etc. but should not limit/discourage practice of digesting because of need to get rid of manure; Policy options: Bonus system for higher efficiency Digestion of manure does not have provision of bioenergy as sole purpose, but also has a goal towards waste treatment and prevention of methane emissions. Another typical aspect is that logistics are an important aspect in manure digestion, because of the high water content. This gives some limitations in moving to more centralised, large digesters and thus resulting effects of up scaling on conversion efficiency. Taking this into account, options 2b and 3 (penalizing and ban) are less suitable. Furthermore labelling might not generate suitable results due to the fact that digesters are not a consumer good. Therefore for manure digestion the most suitable policy option would be a bonus system (option 2a). 5.4.2 Screening of the policy options When the BTC’s are combined with the available policy options, the following options are relevant: Labelling, Minimum Efficiency Standard, Investment subsidy and Bonus system for efficiency improvement (options 1, 2a, 3 and 4 from Box 2). These policy options to improve end-conversion efficiency are screened on the following criteria: • Effectiveness - The extent to which options can be expected to achieve better end- conversion efficiency; • Efficiency - The extent to which better end-conversion efficiency can be achieved for a given level of resources/at least cost (cost-effectiveness); • Consistency - The extent to which the listed policy options are likely to conflict with policy structures and socio-economic developments; EVALUATION OF IMPROVEMENTS IN END-CONVERSION EFFICIENCY FOR BIOENERGY PRODUCTION

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Evaluation of improvements in end-conversion efficiency for bioenergy production

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