The Department for Economy (“DfE”) and the Department of Agriculture, Environment and Rural Affairs (“DAERA”) have published a joint consultation on a Biomethane Strategy and Policy Framework for Northern Ireland. The consultation seeks stakeholder views on the policy measures required to develop a sustainable biomethane sector in Northern Ireland.
Key takeaways
- Biomethane should be developed, not solely as an energy solution, but as part of an integrated strategy addressing energy security, agricultural sustainability and resilience, rural economic development, nutrient management and decarbonisation
- The consultation recognises substantial opportunities for biomethane but makes clear that future support must deliver wider environmental benefits
- For developers, investors, gas network operators and agri-food businesses, the consultation is an important indication of the direction of future renewable gas policy in Northern Ireland
Northern Ireland’s biomethane potential
Northern Ireland is considered well placed to develop a biomethane sector due to its strong agri-food sector and existing anaerobic digestion expertise (with more than 80 anaerobic digestion plants already successfully operating across the region). Research cited in the consultation suggests that agricultural and organic feedstocks could potentially supply more than 80% of current gas distribution network demand if developed strategically near existing gas infrastructure.
Developing the biomethane industry could support the decarbonisation of heat whilst creating new revenue streams for farmers and supporting improved waste and nutrient management. The consultation also highlights the role biomethane can play in supporting a more circular economy through the conversion of organic waste streams into renewable energy and valuable nutrient products.
An additional benefit of biomethane is its contribution to energy security. As Northern Ireland’s current energy system is reliant on imported fossil fuels, producing renewable gas locally can displace imported natural gas and reduce exposure to international price volatility and geopolitical uncertainty.
Nutrient management and environmental safeguards are a central theme
A key feature of the consultation is the link between biomethane production and nutrient management given that Northern Ireland faces a significant surplus of nutrients, particularly phosphorus, which has contributed to water quality problems and eutrophication in rivers, lakes and especially Lough Neagh.
Minister Archibald and Minister Muir have stressed that the expansion of the anaerobic digestion sector must be guided by strong environmental principles.
Key policy areas under consideration
While neighbouring jurisdictions have introduced support mechanisms for renewable gas, Northern Ireland does not currently have a dedicated framework capable of providing the same level of financial certainty for large-scale deployment. The consultation states that the preferred position of DfE is to utilise existing Annually Managed Expenditure (AME) funding until 2035 to provide a capped p/kWh subsidy.
The consultation also seeks stakeholder views on the following key policy measures that may be required to support the development of a sustainable local biomethane sector:
- Gas network connection arrangements
- Biomethane certification and sustainability standards
- Nutrient management requirements
Next steps
The consultation runs from 20 October 2026 until 15 December 2026, after which DfE and DAERA will consider responses and develop final policy positions for the future biomethane strategy and policy framework.
Given the strategic importance of biomethane for energy, agriculture and environmental policy, many stakeholders will be keen to see the strategy finalised during the current Assembly mandate in order to provide policy certainty for future investment.
