The BIOTUTO project has published a guidebook on biogas agreements to facilitate the negotiation process between farmers and biogas plants when drawing up agreements. The guidebook offers practical support to farm entrepreneurs and biogas companies and provides tips on issues that may be worth raising during contract negotiations.
The construction of large, centralised biogas plants promotes the transition to lower-emission energy production and reduces nutrient loading on the environment. In centralized plants, biomass is transported to the plants from several different sources, which increases the cost-effectiveness of operations. At the same time, biomass producers, such as farmers, have the opportunity to benefit financially from supplying biomass.
Biogas production is growing rapidly in Northern Ostrobothnia, and many farmers are interested in supplying feedstock for biogas plants. Suitable feedstock materials for biogas production include manure and grass biomass.
Support for the negotiation process
Even if there is interest, practical obstacles can stand in the way of implementation. Contract negotiations with a centralised biogas plant can seem challenging for farmers, especially when there is uncertainty about what should be included in the contract.
To support this phase, the BIOTUTO project (Cooperation to boost recycled nutrients and local bioenergy production) has produced a Biogas Agreement Guidebook, which aims to facilitate the negotiation process between farmers and centralized biogas plants. The manual is based on existing contract templates, discussions with stakeholders, and commonly used contract terms.
The purpose of the manual is to comprehensively cover the issues to be taken into account in contract negotiations and to serve as a guide and source of information when supplying feedstock for biogas production. The manual focuses on the contractual terms and conditions for the delivery of manure and biomass and the return of digestion residues, and it reviews the structure and terminology of the contract framework.
“The manual has generated a lot of interest and discussion so far,” says project manager Jari Vierimaa from Nivala-Haapajärven seutu NIHAK ry. “We have received praise for the fact that the handbook makes it easier for agricultural entrepreneurs to familiarise themselves with biogas agreements and provides tips on protecting their interests.”
Author: Project Manager Heidi Pasanen, University of Oulu, Kerttu Saalasti Institute (heidi.m.pasanen@oulu.fi). The original text was published on the website https://www.biotalous.fi/biokaasusopimusten-ohjekasikirja-viljelijoiden-ja-biokaasulaitosten-avuksi/.