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Biomethane
A guide to biomethane production, certification and use for businesses, fuel suppliers, shipping companies and producers in the UK and Europe.
A comprehensive guide to biomethane for UK and European businesses
Biomethane is a renewable gas made from organic materials such as food waste, agricultural residues and manure. As it is chemically equivalent to natural gas, it can be used in existing gas infrastructure and equipment, offering a practical route to reducing the emissions associated with gas consumption across industry, heat and transport.
On-site gas combustion counts towards a business’s Scope 1 emissions, so for many organisations biomethane represents the next step in decarbonisation once electricity supply has been addressed.
Businesses can source biomethane in two ways. The first is through certificates that verify the renewable origin of gas consumed from the grid. The second is through physical supply contracts that deliver biomethane alongside its certification and sustainability documentation.
This guide explains how biomethane is produced and certified, where it can be sourced, and how to select the right procurement route.
Who uses biomethane?
Biomethane is bought and sold by a range of organisations across the UK and Europe, each with different reporting or compliance needs:
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Corporates and industrial users:
evidencing renewable gas use and reducing Scope 1 emissions from on-site gas consumption.
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Road transport fuel suppliers:
certified biomethane for Bio-CNG and Bio-LNG, supporting RTFO compliance.
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Shipping companies, LNG bunkering suppliers and FuelEU Maritime obligated parties:
certified Bio-LNG and Proof of Sustainability to meet FuelEU Maritime and EU ETS requirements.
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Biomethane producers:
selling physical gas, RGGOs and Proof of Sustainability.
What is biomethane?
Biomethane is a renewable gas made by upgrading biogas, which is produced when organic matter breaks down without oxygen in a process known as anaerobic digestion. Once upgraded to meet gas network quality standards, biomethane is interchangeable with natural gas. It can be injected into the gas grid, or compressed or liquefied for use as a transport fuel. Biomethane is also known as renewable natural gas (RNG).
How is biomethane produced?
Biomethane production follows four main stages:
1. Feedstock collection
Organic materials, including food waste, manure, slurry, crop residues and energy crops, are delivered to an anaerobic digestion (AD) plant.
RGGOs provide independent evidence that biomethane has entered the gas network and that its environmental value has been allocated to the certificate holder.
Businesses typically use them to:
Reporting requirements for renewable gas continue to evolve, so it’s important to check that any claims made using RGGOs align with the standards and reporting requirements relevant to your business.
RGGO vs REGO: What's the difference?
Buyers often ask how Renewable Gas Guarantee of Origin certificates (RGGOs) differ from Renewable Energy Guarantees of Origin (REGOs).
Renewable Gas Guarantee of Origin certificates
Renewable Gas Guarantees of Origin are certificates issued for green gas , one per kilowatt hour (kWh) of green gas produced.
See our RGGO solution
Renewable Energy Guarantees of Origin certificates
Renewable Energy Guarantees of Origin are certificates issued for electricity , one See our RGGO solution per megawatt hour (MWh) of renewable electricity generated.
See our REGO solution-
What RGGOs track:
Renewable gas, typically biomethane, produced and injected into the gas network.
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What REGOs track:
Renewable electricity from wind, solar, hydro or renewable biomass.
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RGGO certificate unit:
1 RGGO = 1 kWh of green gas produced.
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REGO certificate unit
1 REGO = 1 MWh of eligible renewable electricity output.
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Typical RGGO journey
Food or farm waste → anaerobic digestion → biomethane → gas grid → customer allocation.
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Typical REGO journey
Wind or solar generator → electricity grid → supplier or customer fuel-mix disclosure.
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RGGO in use
The certificate is allocated to a gas consumer and cancelled to help prevent double counting.
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REGO in use
The certificate is used by a supplier to evidence the renewable share of the electricity it sells.
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RGGO issuing body
Usually issued through the Green Gas Certification Scheme (GGCS).
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REGO issuing body
Administered by Ofgem.
RGGOs have no set price. Prices move with the renewable gas market, and individual pricing is shaped by supply, demand, and the terms of the contract.
Availability follows the volume of biomethane metered into the grid. A certificate’s value then depends on its feedstock and any attached sustainability documentation.
Demand comes from energy suppliers backing green gas tariffs or qualifying for Green Gas Levy exemption and from corporates evidencing renewable gas use in their reporting, with both drawing on the same pool of supply.
The volume purchased and the duration of the agreement both affect pricing, as does timing, with demand building ahead of reporting deadlines.
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Frequently asked questions
Are RGGOs the same as green gas certificates?
Yes. Renewable Gas Guarantee of Origin is the formal name, and green gas certificates or biomethane certificates are the terms more commonly used in the market. They refer to the same instrument.
What is the Green Gas Certification Scheme?
The GGCS is the UK body responsible for issuing and administering RGGOs. Producers register their injected output, certificates are issued against verified meter readings, and the registry records every transfer until a certificate is cancelled.
What happens when an RGGO is cancelled?
Cancellation retires the certificate against a specific claim. Once cancelled it cannot be transferred or used again, which is what prevents the same renewable gas being claimed by more than one party.
What is the difference between an RGGO and a Proof of Sustainability?
An RGGO verifies that green gas was produced and injected into the grid. A Proof of Sustainability (PoS) verifies that the biomethane meets sustainability and greenhouse gas criteria under a voluntary certification scheme. Producers can link the two, recording a PoS reference against the certificate.