Danish energy company GreenGo Energy has announced a fundamental change of course in the so-called Megaton concept. Where the original plan was aimed at the production of e-methanol via Power to X technologies based on renewable electricity and large-scale hydrogen production, the focus is now on biomethanol. This alternative can be realized faster and cheaper.
The switch from e-methanol to biomethanol is driven by new European regulations and changing market conditions. Initially, e-methanol, produced from electrolysis and green CO₂, was considered the sustainable fuel within the European framework. The European Union now also recognizes biomethanol, provided it is produced from certified biomass, as an advanced green fuel. Although biomethanol offers a slightly lower CO₂ reduction, it offers a faster and more economically viable path towards fossil-free transport.
GreenGo Energy announces that the original plan for an electrolysis capacity of 2 gigawatts, intended for the production of green hydrogen as a basis for e-methanol, will no longer be implemented. The required investments, grid connections and long lead times make this route less feasible in the short term.
“The market is changing rapidly, and we are changing with it,” says Anders Heine Jensen, Director Power to X and Megaton Projects at GreenGo Energy. “Biomethanol makes it possible to supply affordable green fuel via existing infrastructure.”
Less need for new solar and wind farms
The shift to biomethanol, which requires much less electricity than e-methanol, reduces the need for large-scale new solar and wind farms. GreenGo Energy has therefore decided not to resubmit most of the solar projects that have been in development in recent years. The exception is the wind project in Nørhede Hjortmose, which remains part of the Megaton concept.
Two already approved solar parks, in Nørhede Hjortmose and Gestenge, will be retained and could still play an important role. They previously experienced delays due to problems with the grid connection.
Collaboration with local biogas suppliers
In the new setup, biogas plays a central role. GreenGo Energy will work more closely with local biogas producers to use CO₂ and gas from organic waste and agricultural residues for the production of biomethanol. This will reduce the dependency on new power generation and give organic waste streams a useful application.
Oliver Vindex Nielsen, responsible for business development in Denmark, says: “We are making the Megaton concept more realistic. Biomethanol is a solution that can be applied immediately without having to wait for new infrastructure.”
European context: growing role for biomethanol
Within Europe, interest in biomethanol as a building block in the sustainability of transport and chemistry is growing. The fuel can be used in existing engines and ships, and also forms a valuable raw material for sustainable plastics and chemistry. According to recent market analyses, biomethanol can in the long term make a significant contribution to the replacement of fossil methanol, which Europe currently largely imports.
There are challenges. The availability of sustainable biomass is limited and subject to increasingly strict sustainability criteria. Transparent certification and technological innovation are needed to make biomethanol profitable on a large scale.
Local impact and appreciation
The change of course has implications for communities and landowners involved in the cancelled solar and wind projects. GreenGo Energy acknowledges this impact and expresses its appreciation for the partnership. Jacob Hänel Christensen, Director of Business Development, says: “We have had to make difficult choices, but we will continue to engage with local stakeholders as the Megaton concept evolves.”
With this new course, GreenGo Energy is responding to today's reality. The company is opting for feasibility and scalability, with biomethanol as an accelerator in the transition to sustainable energy.
Source: GreenGo Energy
