Jemena and Valorify have signed a Memorandum of Understanding to assess the feasibility of injecting a biomethane into the NSW gas network.
Up to four petajoules of biomethane could be produced from a proposed plant in regional NSW, which is being developed by Valorify. This new supply will bolster the state’s gas network, which is currently connected to over 1.5 million homes and businesses.
Biomethane is a renewable gas created by processing biogas which is generated from decomposing organic waste. According to Jemena, it is completely interchangeable with natural gas and is, therefore, compatible with all existing gas network infrastructure, gas appliances used in homes and businesses today, and in industrial manufacturing processes.
Jemena managing director David Gillespie said Valorify’s proposed Riverina Bioenergy project could produce enough biomethane to meet the equivalent energy needs of over 50,000 household customers or over six per cent of current industrial demand.
“Valorify’s Riverina Bioenergy project will assist the decarbonisation of large gas users who produce many of the items we rely on everyday such as glass, medicines, and building materials,” he said.
“These gas users require high-heat loads for processes which cannot be electrified.
“Biomethane is identical to natural gas, which means we can avoid the need to upgrade infrastructure, reskill the workforce, retool industrial processes, or replace end-use appliances.”
The Riverina Biomethane project is expected to launch its first 2PJ scale module in 2027.