The legislative proposal for the green gas blending obligation has been formally taken into consideration by the House of Representatives. The proposal and accompanying documents are now public, and the Committee on Climate and Green Growth has set the deadline for submitting the report for 2 July 2026. On 24 June, Members of Parliament already held a roundtable discussion with experts on the proposal. The proposer is the Minister of Climate and Green Growth.
The proposal obliges energy suppliers to supply an increasing share of gas from renewable sources to their customers starting in 2027. Green gas is produced from bio-based raw materials such as manure, organic waste, and residual streams from the food industry, and can replace natural gas in the grid after reprocessing. According to the explanatory memorandum, the consumption of green gas is to increase to approximately 840 million cubic meters per year from 2031 via a growth path. By comparison, current Dutch production amounts to approximately 300 million cubic meters per year.
From green gas unit to buy-out
The obligation will apply to energy suppliers that supply gas to customers within the new European Emissions Trading System (ETS2). This includes small consumers, larger connections not already covered by ETS1, and CNG filling stations. Each supplier will be subject to an annual obligation linked to its market share in gas supplies to that group.
To demonstrate compliance with the obligation, a new unit is being introduced: the green gas unit (GGE). A supplier obtains these units by registering renewable gas in a register that will be managed by the Dutch Emissions Authority. This includes Guarantees of Origin for the renewable source and sustainability certificates demonstrating that the gas meets the criteria of the European Renewable Energy Directive. Suppliers who do not have enough units can buy out their obligation in whole or in part via a buy-out.
Offer, costs, and the next steps
The target is expressed in avoided emissions and amounts to a 2,85 megaton CO2 chain emission reduction in 2031, which translates to approximately 0,8 billion cubic meters of green gas. Earlier this year, the Cabinet reduced the phase-out path by 25 percent and postponed the entry into force by one year, to the intended January 1, 2027, to give suppliers and the Dutch Emissions Authority time to prepare and to limit additional costs for end users.
Two recurring questions surround the proposal. The first is whether sufficient green gas will become available, and the second is who will bear the additional costs. Research by Guidehouse shows that, for the time being, supply is smaller than demand, with an estimated domestic potential of approximately 1,4 billion cubic meters in 2035. Imports of European green gas could supplement this. An earlier version of the bill was withdrawn in November 2025 following objections from the European Commission and subsequently resubmitted in an amended form. The written proceedings in the House of Representatives begin with the input of July 2. This will be followed by the report and the Cabinet's response, and ultimately the plenary debate. The further course through parliament will be covered in a later message.
Source: tweedekamer.nl
Photo: Roland Goovers
