Green Energy

EnviTec commits €100 million for German biomethane expansion

German biogas conglomerate EnviTec Biogas AG has announced plans to invest around €100 million between 2026 and 2029 as part of its strategic shift towards biomethane production, marking a significant step in its long-term growth and energy transition roadmap. The announcement was made during the company’s Annual General Meeting, where leadership highlighted the importance of strengthening its biomethane portfolio amid evolving regulatory and market conditions.

The planned investment will be directed towards converting existing biogas plants into biomethane facilities, alongside the construction and upgrading of Renewable Energy Act (EEG) plants. The move is aimed at expanding the company’s Own Plant Operation segment and gradually transitioning from electricity generation to gas upgrading.

By 2031, EnviTec intends to significantly increase the share of biomethane in its overall output, positioning itself as a key player in Europe’s green gas market.

The investment decision comes despite a challenging fiscal year in 2025, during which the company reported a decline in earnings due to regulatory changes, including the abolition of double counting for greenhouse gas quotas. However, the company maintained stable operational performance and improved total output, reflecting the resilience of its business model.

In the first quarter of 2026, EnviTec recorded total output of €92.4 million, up from €85.3 million in the same period last year, although earnings before taxes dropped to €4.1 million. The company expects these short-term pressures to ease as market conditions stabilise and investments begin to yield results.

A key boost to its outlook has been the company’s recent success in securing EEG follow-up subsidies for a portion of its power portfolio, ensuring long-term operational stability and predictable revenue streams. These subsidies provide planning certainty for up to 20 years for new plants and 12 years for existing ones.

Looking ahead, EnviTec projects total output of €330 million to €370 million in 2026, with earnings expected to recover from 2027 onwards. The €100 million investment is expected to play a central role in driving this recovery, reinforcing the company’s transition towards sustainable energy solutions and strengthening its position in the growing biomethane market.

Subhash Yadav

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