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Guideview > News >  Industry News  > BASF and ENGIE Sign Long-Term Biomethane Purchase Agreement

BASF and ENGIE Sign Long-Term Biomethane Purchase Agreement

BASF and ENGIE sign a 7-year Biomethane Purchase Agreement (BPA), enhancing sustainability in chemical production. Discover how biomethane reduces carbon footprint and expands BASF's product portfolio. GuideView1 MIN READJuly 8, 2024

BASF and ENGIE have entered into a significant 7-year Biomethane Purchase Agreement (BPA), marking a strategic move towards sustainability in chemical production. Under this agreement, ENGIE will supply BASF with 2.7 to 3.0 terawatt hours of biomethane throughout the duration of the contract.


 Biomethane Purchase


Highlights

BASF, in collaboration with ENGIE, will utilize biomethane as a renewable alternative to fossil raw materials at its Ludwigshafen and Antwerp facilities, aiming to reduce its Product Carbon Footprint (PCF) significantly. Certified under globally recognized schemes like REDcert2 and ISCC PLUS, the biomethane will be integrated into BASF's production processes, ensuring sustainable sourcing and lowered environmental impact.


Expansion of Product Portfolio

Through this agreement, BASF expands its product offerings with enhanced sustainability credentials, catering to industries such as automotive, packaging, and detergents. Products manufactured using biomethane will feature reduced or zero PCF, aligning with BASF's commitment to environmental stewardship and circular economy principles.


Strategic Partnership

Matthias Dohrn, Head of Global Procurement at BASF, emphasized the long-standing collaboration with ENGIE, highlighting the reliability and competitive pricing of biomethane supply as crucial factors in their sustainable transformation journey.

Edouard Neviaski, CEO of ENGIE's Business Entity ‘Global Energy Management & Sales’, underscored the partnership's role in advancing green chemistry. He outlined ENGIE's ambitious target to expand biomethane sales to 30 terawatt hours annually by 2030, contributing to Europe's broader energy goals.


About Biomethane

Biomethane, derived from organic waste through fermentation, offers a renewable alternative that significantly reduces greenhouse gas emissions compared to conventional fossil resources. Its adoption in industrial processes represents a critical step towards sustainable energy practices.


For more information on BASF and ENGIE's biomethane initiatives, visit their official websites.

  BASF          
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