Green gas blending duty for gas suppliers moves a step closer
The cabinet's plan to oblige gas suppliers to blend in green gas, aimed to take effect in 2027, would add about €15 a year, excluding VAT, to an average gas-heated household's bill in the first year, according to its calculations.
The cabinet has sent the detailed rules for a green gas blending obligation to the Raad van State, the advisory body on legislation. The Tweede Kamer, the lower house of parliament, has already approved the bill, which now goes to the Eerste Kamer, the Senate. Entry into force in 2027 is a step closer.
What changes for you
- Under the plan, energy companies would have to blend a set amount of green gas into supplies every year, with entry into force aimed for 2027.
- According to the government's calculations, extra costs are at most 1.5 cent per cubic metre of gas in the first year, rising to at most 9 cent in 2031.
- For an average gas-heated household, that would mean €15 a year excluding VAT in the first year.
Green gas is made from residual and waste streams and can replace natural gas one-to-one. The cabinet says it offers farms a chance to turn waste into green gas and cuts greenhouse gas emissions.
Each supplier's share depends on its market share in total gas deliveries to ETS2 sectors. The obligation rises from the equivalent of 0.63 megatonnes of CO₂ savings in 2027 to 2.85 megatonnes a year from 2031. It stays in force at least until the end of 2040.
Minister Van Veldhoven of Climate and Green Growth said: "Every cubic metre of gas we do not have to import from outside Europe reduces our dependence." She added that stimulating green gas production contributes to climate goals and that the government is working closely with the sector.
The Dutch Emissions Authority (NEa) gets a key role in implementation and supervision. To prevent fraud, registered green gas needs both guarantees of origin and proofs of sustainability. The NEa will publish information each year on available and registered green gas.
The obligation will be evaluated by 2029 at the latest. The review will cover cuts in CO2, methane and nitrogen emissions and the impact on households, businesses and the green gas sector. From entry into force, the government will also monitor whether encouraging green gas production through manure digestion has undesirable effects.
Eerste Kamer
The Senate, the upper house of the Dutch parliament. It cannot amend bills but can approve or reject them after the Tweede Kamer has passed them. Its 75 members are elected by the members of the provincial councils.
ETS2
The second EU emissions trading system, which puts a carbon price on fuels used in buildings and road transport, such as natural gas for heating and petrol and diesel. Fuel suppliers, not households, must hold allowances for the emissions from the fuel they sell. In this article, "ETS2 sectors" means those buildings and road transport sectors, and a gas supplier's share of gas delivered to them sets its blending duty.
Tweede Kamer
The House of Representatives, the lower and more powerful house of the Dutch parliament. Its 150 members are elected directly; it can amend bills and holds the cabinet to account.