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We owe it to our children to think outside the box on biogas

#3 of 6 articles from the Special Report: Money and Business Climate Solutions
A renewable natural gas upgrading system in London, Ont. Photo courtesy of StormFisher Hydrogen

Most Canadians support some form of action to tackle climate change and large investments and carbon levies to accomplish our climate-fighting goals. But when it comes to cutting greenhouse gas emissions, our best laid climate plans often fall short.

German Chancellor Olaf Scholz and Prime Minister Justin Trudeau met in Canada earlier this week to explore renewable energy production and trade to reduce Europe’s reliance on fossil fuels. Germany is especially reliant on importing energy from Russia, which invaded Ukraine six months ago, instigating a war that has shocked the world in its brutality. The bottom line is the need for green energy innovation and production on a global scale has never been more urgent.

Canada needs to cut our 2005 carbon emission levels by 40 per cent in eight years in order to meet our 2030 Emission Reduction Plan targets, and we don’t have a great track record of achieving the greenhouse gas (GHG) emission goals we set in the past.

Unfortunately, it’s not as simple as buying an electric vehicle or installing solar panels. Meeting our 2030 target will require innovation and purpose, especially from energy suppliers who can deliver emission reduction on a large scale.

We owe it to our children, who will pay the price for our failure in combating climate change, to think outside the box of conventional renewable energy such as solar, wind and hydro.

Opinion: Canadian energy innovators are adopting low- or no-carbon energy solutions. One generating excellent results is renewable natural gas #RNG, writes @bcmoffat. #NetZero #biomethane #compost #renewables

Every energy source has its drawbacks. Those associated with fossil fuels are obvious. Nuclear has negligible emissions, but is expensive and produces waste that is very challenging to manage. Wind and solar require considerable switching costs and are slow to scale up to the point that large energy consumers can rely on them.

There are several energy innovators in Canada making huge strides in adopting low- or no-carbon energy solutions by blending energy sources with the goal of helping large and small energy users achieve their 2030 goals. One solution that has generated excellent results is renewable natural gas (RNG).

Anaerobic digesters that convert organic waste into biogas are part of the biogas facility in London, Ont. Photo courtesy of StormFisher Hydrogen

RNG is extracted from the stuff we throw away into landfills. Food waste and other organic material can be processed into an energy source that performs like natural gas, but without releasing anywhere near the same level of carbon dioxide. StormFisher Hydrogen’s biogas production facility in London, Ont., is the largest in Canada, diverting waste from the surrounding area’s landfills and converting it into enough RNG to produce 2.85 MW of electricity to supply heavy power users every year.

There are other options, of course, like solar panels or energy-saving mechanical devices to shave off power consumption here and there. But with RNG, there is no need for any refits or building upgrades to process thermal needs, such as steam and heating, making it ideal for large energy users.

Companies that install heating, ventilation, air conditioning, mechanical, plumbing and electrical equipment in large buildings are taking GHG reduction seriously because their clients are demanding carbon-neutral engineering solutions. RNG is quickly becoming the platform to achieve this.

Construction is the third-largest carbon-emitting industry after oil and gas and transportation. Renewable natural gas can have a huge impact on cutting GHG emissions in this sector, according to building engineers. Since existing buildings and equipment are already capable of processing fossil-based natural gas, transitioning to RNG only requires flipping a switch. Owners and operators do not have to invest in millions of dollars in new equipment or retrofits.

Unlike solar panels and mechanical retrofits, there are no switching costs for new equipment.

The main challenge potential customers face is RNG is priced at a premium and is scarce. This is largely due to the lack of processing capacity and low awareness of biogas initiatives that will encourage more supply and bolster demand.

Federal climate change policymakers have a golden opportunity to make giant strides toward hitting our 2030 GHG reduction targets by encouraging biogas as part of the solution. To get there, Ottawa needs to clearly implement policies related to the decarbonization of the natural gas sector, such as a 15 per cent renewable gas blending mandate. Any delay risks failing to meet our 2030 emission reduction targets.

One way to raise awareness of RNG options for heavy power users is to clearly rate its very good emission performance based on its carbon intensity. For example, natural gas has a carbon intensity rating of approximately plus 60 gCO2e MJ, indicating a high level of GHG emission, while RNG has a carbon intensity that can be as low as minus 100 gCO2e MJ, according to data analyzed by the United States Environmental Protection Agency and the California Air Resources Board. (Carbon intensity is the measure of greenhouse gas (GHG) emissions associated with producing and consuming a transportation fuel. It is measured in grams of carbon dioxide equivalent per megajoule of energy.)

Due to the high price and shortage of RNG, customers should have a chance to merge the two sources and have their carbon emissions measured by a blended rating. For example, splitting your gas supply in half between natural gas and RNG would give customers a combined carbon-intensity rating of minus 20 gCO2e/MJ, enough to qualify as carbon-neutral for a carbon tax exemption. These are the kind of measures that will encourage the private sector to invest in biogas processing as a clean energy opportunity while diverting more waste from landfills and toward new environmentally safe uses.

Unfortunately, there are only eight years left to unlock the potential of renewable gases before we will be judged on whether we met our emission reduction targets. We are at the point where we just can’t afford to miss them anymore.

What we need now is a true partnership with federal and provincial governments to generate more biogas supply and innovation, and incentives for more large-scale energy users to adopt it.


Brandon Moffatt is co-founder at StormFisher Hydrogen with experience developing regulatory and industry policy in renewable energy. He has led the development, design and construction of several complex renewable gas production facilities across North America and has a detailed understanding of the commercial and operational aspects of power-to-hydrogen and power-to-gas projects. Brandon is also a board member of the Ontario Environment Industry Association, has an MBA from the Odette School of Business and holds a B.A.Sc. in environmental engineering from the University of Waterloo.

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