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    Finland's Ponsse signs biogas deal

Summary

Ponsse plans to switch to biogas from liquefied petroleum gas at its Vierema factory. [Image: Ponsse]

by: Shardul Sharma

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Europe, Natural Gas & LNG News, Topics, Finland, News By Country

Finland's Ponsse signs biogas deal

Finnish machine manufacturer Ponsse has signed an agreement with Viereman Lampo ja Vesi for supply of biogas at its factory in Vierema, Ponsse said on May 13.

This agreement supports Ponsse's goal of achieving carbon neutrality at the Vierema factory by 2025. The biogas plant in Vierema, which began operations earlier this year, supplies liquefied and pressurised biogas for industrial and transport use.

Currently, Ponsse uses approximately 70,000 kg (900 MWh) of liquefied petroleum gas annually for its surface treatment processes, contributing to over 90% of the factory's carbon footprint. By transitioning to biogas from a local terminal, Ponsse expects to reduce its carbon footprint by around 215 tonnes of CO₂-equivalent. 

In parallel, the municipality of Vierema is constructing a raw gas pipeline to local farms, which will facilitate the use of biogas. Ponsse's connection to this pipeline and necessary factory modifications are set for completion during the summer and early autumn.

Mika Suomalainen, mayor of Vierema, said that using biogas not only shifts local industries and logistics partners from fossil gas to biogas but also enhances the municipality's energy security and replaces heavy fuel oil in reserve power generation.

Currently, Vierema procures liquefied biogas from the Nordic energy company Gasum, ensuring a reliable biogas supply. As local biogas production scales up, dependence on locally produced biogas will increase.

Biogas is generated through anaerobic digestion at various facilities, including effluent treatment plants, farms, and landfill sites, using organic materials such as biowaste, industrial side streams, sludge, manure, and field biomass. The byproduct of this process is nutrient-rich material that can be used as recycled fertilizer.