Axpo greenlights its first biomethane project in Italy

Switzerland-based Axpo announced on September 12 that it had approved its inaugural biomethane project in Italy. Located in the southern region of Basilicata, the new plant will generate approximately 45 GWh of renewable energy annually and is expected to commence operations by late 2025.

Situated in the municipality of Grottole, the facility will utilise agricultural waste from local farms to produce carbon-neutral green gas, which will be integrated into Italy’s national gas network.

The deal between Axpo and an Italian project developer was finalised in early September 2024, though the sale price remains undisclosed. A consortium of Italian companies led by Atzwanger and BiHcon has been selected for the engineering, procurement, and construction phases, with work set to start this month.

BiHcon will provide the technology for the anaerobic digestion process. The resulting biogas will be injected into Italy’s national gas distribution network, aiding the country’s energy needs and contributing to its decarbonisation goals.

Axpo, with extensive experience in operating biomass and biogas facilities, is a leader in Switzerland’s dry fermentation of organic waste, operating 15 biogas plants that produce renewable energy and nutrient-rich natural fertilisers. In Spain, Axpo’s Torre Santamaría dairy cattle farm uses livestock manure to generate biomethane, currently contributing 26 GWh annually to the gas grid, with plans to increase this to 115 GWh. In April 2024, Axpo also entered the Portuguese biomethane market with a 15 GWh project slated to start by the end of 2025.