Market-based operating mechanism for large-scale biogas plants in China

Market-based operating mechanism for large-scale biogas plants in China

In recent years, numerous large and medium-sized biogas energy projects have been springing up in rural China to keep pace with rapid new construction there.
Currently, a biogas plant tends to be operated by the people in the village or on the farm where it is located. There is often a lack of technical and operational expertise that leads to high operating costs, making it difficult to run the concern at a profit.

Purpose

To introduce a new market-based operating and service mechanism for large- and medium-sized biogas projects, and to draft a code for the design of them, so that biogas projects can run viably over the longer term.

Main activities and outputs

∙ Analyse the current operating status of large and medium-sized biogas projects in Beijing

∙ Study market-based management experiences for similar livestock farm biogas project in Europe, particularly Germany

∙ Design a market-based operation management model for biogas projects

∙ Draft the code for designing of large and medium-sized livestock farm biogas projects in Beijing

∙ Identify a biogas project operation company to operate the built projects in Beijing.

∙ Compile and conduct a training course for 20-40 biogas project managers as well as stakeholders on how to operate the facility, including a site visit.

∙ Hold a workshop to share experiences on actual market-based operations

Expected impacts

∙ Smooth and cost-effective operation of large and medium-sized biogas projects thanks to a well-established operation mechanism which ensures long-term viability.

∙ Lower operation costs and guaranteed performance will provide stronger incentive for future investment.

∙ Improved living environment for farmers and villagers while reducing living expenses

∙ Reduced use of fossil fuel and firewood, thus contributing to climate change mitigation and environmental conservation.

∙ Provides a new business model for Chinese environmental industry, expanding the sector in width and depth.

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