The pilot will design and test a simplified renewable gas registry, which will make renewable gas available to a small number of customers in early 2022.
GreenPower will administer the pilot, providing independent verification of the creation and use of renewable gas.
Jemena Executive General Manager of Energy Networks Shaun Reardon said the scheme will boost investment in gases like biomethane and hydrogen and make them available for local homes and businesses.
“In the short-term it will mean our customers can lower their carbon footprint without making any changes to the way they currently use their gas appliances.
“In the long-term it will ensure gas remains affordable through the decarbonisation of existing gas infrastructure without the need for building new alternative forms of energy infrastructure.”
Last week, Jemena called for the establishment of a Renewable Gas Target, which it said would help accelerate the development of renewable gases like the Renewable Energy Target had for renewable electricity technologies.
Mr Reardon said the certification scheme would be an important first step towards the Renewable Gas Target, as well as net-zero emissions in Australia by 2050.
A biomethane-to-grid project at Sydney Water’s Malabar Wastewater Treatment Plant co-funded by Jemena and the Australian Renewable Energy Agency will be the first application the pilot is applied to, and National GreenPower Steering Group Chair Tim Stock said this kind of energy source presented a major decarbonisation opportunity.
“Supporting renewable gas is an important step to help our industrial and manufacturing sectors decarbonise and give NSW consumers clean energy choices,” he said.
“This project aligns with our Net Zero Plan to drive a clean industrial revolution and deliver affordable energy options to consumers while helping our state achieve net zero emissions by 2050.”
GreenPower is managed by the NSW Government.
For more information visit the GreenPower website.