Market Potential of Biomethane in South Korea

This study estimated domestically available energy amount of biomethane including landfill gas (LFG) as a transportation fuel by 2035. The amount of available energy that could be supplied was predicted through four stages of 'theoretical-', 'geographical-', 'technical-' and 'market potential' by considering geographical, technical, economic conditions, etc. Energy efficiency and added value of biomethane are largely influenced by the site conditions and the neighboring infrastructures. So, how much of the natural gas used in transportation could be substituted with biomethane was examined by setting limits to the amount of organic wastes generated within urban areas. As a result, the market potential of biomethane including landfill gas was approximately 331 x 10⁶ Nm³/yr, corresponding to 25% of the natural gas supply for transportation, which could be replaced by biomethane. Assuming that 2% of natural gas for transportation is replaced by biomethane, it corresponds to 29 x 10⁶ Nm³/yr (approximately 9% of market potential of biomethane). However, RFS annual mixing rate may be increased upon introduction and the growth rate of the natural gas supply for transport would be higher than that of market potential of biomethane calculated in this study. Therefore, it is vital to ensure a stable supply of biomethane, to improve efficiency in technical development and management, and to lay out specific quality requirements for promoting the use of biomethane as a transportation fuel for efficient implementation of RFS policy.