How the growth of bio-LNG can support the European lower-carbon energy mix
Explore the sustainable and operational benefits that are helping to expand bio-LNG’s role in heavy-duty road transport’s energy transition.
Key takeaways
The act of reusing or recycling material is becoming increasingly important for industries as they work towards a net-zero emissions future – particularly those that are difficult to electrify and must, therefore, explore other transitional, lower-carbon solutions.
For LNG vehicles, LNG and bio-LNG can act as a viable alternative to conventional diesel, helping road freight to reduce emissions by emitting less lifecycle CO2e1 emissions.
Shell is actively supporting the expansion of a European LNG network, having established more than 65 LNG sites across eight countries in Europe and is equipped to cater for bio-LNG fuel usage2.
By working across the bio-LNG value chain with collaborators to produce, supply, and distribute bio-LNG to dedicated customers in Germany, Shell BioLNG blend offers a 100% reduction in CO2e1 life-cycle emissions, compared to B7 diesel (depending on the engine type)3,4,5,6 today.
The challenge
Many industries – particularly those that are difficult to electrify, such as the heavy-duty road transport sector– are increasingly having to explore a mosaic of fuel solutions to meet their net-zero ambitions. What’s more, for operators in the commercial road transport sector, fuel not only represents a considerable financial outlay but sits at the heart of their operational success.
Any alternative fuel solution must, therefore, be able to contribute to lower-carbon emissions without jeopardising operational performance – a difficult task given the high energy density and resulting performance qualities of conventional diesel.
The solution
Ask any experienced gardener and they will tell you that there’s no such thing as waste. Even the earliest civilisations used composting to recycle old organic material to give life to new. Today, given the urgent need to reduce society’s collective carbon footprint, any practice that can help to reduce both waste and emissions should be considered, and the bio version of liquified natural gas (LNG) is a prime example of the potential this approach can have.
Made from biomethane, bio-LNG has an important role to play in helping heavy-duty fleets to accelerate their decarbonisation journeys. It provides trucks with the high energy density benefit they are used to from using conventional diesel, while helping them to emit fewer emissions.
Bio-LNG blend: From basics to benefit
Bio-LNG production can work in a similar way to the composting process, since feedstocks such as organic waste can anaerobically digested to form biogas – a mix of biomethane, carbon dioxide, water and other trace gases. After removing these by products, the remaining biomethane can be liquified to create bio-LNG – which can either be used neat or mixed with LNG to create a bio-LNG blend.
Today, bio-LNG blend has been proven to be one viable alternative to diesel – helping road freight reach net zero while protecting business growth. In fact, bio-LNG can go one step further – it can promote sustainable growth by supporting the sector on its journey in three distinct ways.
Why bio-LNG offers an effective route to emissions reduction
Continuing with the gardening theme, there are valuable learnings to take onboard around composting and how it recycles organic waste. Bio-LNG production works in a similar way, with feedstocks (including organic waste) broken down by microorganisms in a process known as anaerobic digestion. This produces a biogas – a mix of biomethane, CO2, water and other trace gases. And, once the other elements have been removed, the biomethane (also known as renewable natural gas or RNG) can be liquified to create bio-LNG. This can then either be used neat or mixed with LNG to create a bio-LNG blend.
A bio-LNG blend is proven to be a viable alternative to diesel for fleets operating LNG vehicles, offering businesses a route to net-zero while driving growth. In fact, bio-LNG can go one step further, supporting the sector on its journey in three distinct ways:
1. Bio-LNG can help fleets reduce their emissions today
LNG already offers the opportunity to reduce heavy-duty fleet emissions. For example, Shell LNG can help fleets to emit less lifecycle CO2e emissions by up to 18% compared to B7 diesel (depending on engine type).1,7 Bio-LNG can help to even further reduce emissions. In Europe, Shell BioLNG strives to use biomethane produced from 100% renewable feedstocks8,9,10,11 like manure, agricultural waste and food waste, making it a more sustainable option for fleets looking to decarbonise their operations today.
2. Bio-LNG is a drop-in solution for existing LNG vehicles
Fleet managers can be hesitant to consider bio-LNG as a solution, with many believing that it will require expensive upgrades to their vehicles and infrastructure. They also worry that on-the-go infrastructure won’t be ready for them to use, creating another barrier to adoption.
However, for fleets that already operate LNG vehicles, it’s easy to make the switch to bio-LNG and immediately reduce lifecycle CO2e emissions. Because the chemical properties of bio-LNG are similar to those of LNG, it can be used without the need to change the LNG vehicle or the infrastructure to refuel them1,16,17.
3. Bio-LNG can support operational efficiency
Another concern for fleet managers is how lower-carbon fuels like bio-LNG might affect their operations. But, as highlighted above, the chemical composition of bio-LNG is similar to that of LNG, providing equivalent driving range, engine power and performance when compared diesel-fuelled, heavy-duty vehicles13.
So, by using bio-LNG, LNG fleets can deliver emission reductions without negatively affecting their operational efficiency. Drivers can complete their routes as usual (depending on the availability of refuelling stations along the way) and fleet managers can take a concrete step towards their sustainability goals. Plus, it avoids the need for additional resources to manage bio-LNG within the fleet’s fuel mix.
How Shell is supporting the scaling of bio-LNG
But these benefits are of no use unless they can be scaled at a more commercial level, which is why infrastructure growth is so critical if bio-LNG is to fulfil its potential as a solution to support commercial road transport’s continuing energy transition. By 2030, NGVA Europe predicts that 280,000 LNG trucks will be on the road, accounting for at least 25% of the EU truck market14. With the increase in demand for vehicles, infrastructure will expand in turn.
Shell, for instance, currently has over 65 LNG sites across eight countries in Europe, with more than 150 countries currently accepting the Shell LNG Card2. In the Netherlands, Shell BioLNG blend offers an average 30% less life cycle CO2e emissions compared to B7 diesel1,3,4.
Beyond the Dutch market, Shell now offers Shell BioLNG blend to the German network as of 2024. This involved constructing a bio-LNG liquefaction plant at the Shell Energy and Chemicals Park, Rheinland. Recently opened, the plant will produce 100,000 tonnes of bio-LNG per year 15, helping to reduce carbon emissions caused by the long-distance haulage of 4,000 to 5,000 LNG trucks15. And, for dedicated customers in Germany, this means that Shell BioLNG blend offers a 100% reduction in CO2e1 life-cycle emissions compared to B7 diesel3,4,5,6.
To increase production and supply of Shell BioLNG to these networks, Shell acquired the largest producer of renewable natural gas (RNG) in Europe – Nature Energy – in 2023. This included its portfolio of 14 operating plants and associated feedstock supply and infrastructure; pipeline of growth projects; and in-house expertise in the design, construction and operation of innovative and differentiated RNG plant technology. All of which points towards continuing growth of the lower-carbon fuels supply.
A shared decarbonisation vision
Much of this growth, however, relies on strong industry collaboration – which is why Shell continues to work closely with companies like Nordsol and Renewi to provide innovative solutions for the production and distribution of Shell BioLNG. The three businesses have collaborated since 2020 to support the circular economy of turning organic waste into a sustainable fuel for long-haul transport. Renewi manages the waste-to-biogas process, Nordsol converts it into bio-LNG, and Shell ensures widespread distribution through its extensive fuelling network.
While Shell BioLNG is already making an impact in terms of decarbonising road transport, this is only the beginning, with further development of the supply chain still to come.
To learn more about how Shell BioLNG can provide both the sustainable and operational benefits for your fleet, visit: /business-customers/shell-commercial-road-transport/sustainability/lng-and-biolng.html
Disclaimers:
1 CO₂e (CO₂ equivalent) refers to CO₂, CH₄, N₂O.
2 Shell. “Shell LNG and Shell BioLNG”. 2024.
3 Bio-LNG used for Shell BioLNG Blend is ISCC certified and comes from renewable waste and residue feedstocks, described in Annex IX-A, RED II.
4 The reduced CO₂e emissions are calculated by comparing to a GHG baseline intensity of 90 gCO₂e/MJ on a Well-to-Wheel basis, which is representative of a European Union market B7 diesel. The carbon intensity of the B7 diesel is calculated by Shell using emission factors from the JEC Well-to-Tank report v5 and Shell internal studies.
5 The carbon intensity of the bio-LNG fraction of the blend is calculated as per REDII, including avoided emissions. Shell BioLNG Blend is not a zero-emission fuel, because there are emissions along the full life cycle of the fuel. The net effect is that, over the whole life cycle of fuel production and use, Shell BioLNG Blend emits 100% less CO₂e emissions compared to market typical fuel, B7 diesel in Europe.
6 To achieve the above provided 100% CO₂e reduction, the sustainability characteristics (including the feedstock and its associated CI value) are attributed accordingly.
7 The reduced GHG emissions are calculated by comparing the LNG Well-to-Wheel emissions for the High-Pressure Direct Injection (HPDI) engine from the “Greenhouse Gas Intensity of Natural Gas” study by Thinkstep for NGVA Europe (2017). This was compared to a GHG baseline intensity of 90 gCO₂e/MJ on a Well-to-Wheel basis, which is representative of a European Union market B7 diesel. The carbon intensity of the B7 diesel is calculated by Shell using emission factors from the JEC Well-to-Tank report v5. (European Commission, Joint Research Centre, Prussi, M., Yugo, M., De Prada, L., et al., JEC well-to-tank report V5: JEC well-to-wheels analysis: well-to-wheels analysis of future automotive fuels and powertrains in the European context, Publications Office, 2020, ).
8 As defined by the UN Universal Declaration of Human Rights and the International Labour Organization Declaration on Fundamental Principles and Rights at Work.
9 ISO/TS 34700:2016 for animal welfare management for animals bred or kept for the production of food or feed (e.g. National FARM Animal Care for US dairy farms) or equivalent.
10 For the purposes of Shell's purchasing policy, high carbon stock areas will be defined as areas which were primary forests and/or peatland in January 2008.
11 World Conservation Union IUCN areas (categories I-VI), Wetlands of International Importance under Ramsar Convention, Natura 2000 sites, Important Bird Areas, UNESCO Biosphere Reserves. Feedstock for new projects must meet the requirements of the Respecting Nature commitments in terms of net-zero deforestation and critical habitats.
12 Shell BioLNG comes from waste and residue, non-food and feed feedstocks following the EU’s guidelines (REDII) described in Annex IX-A described in the REV list: .
13 Based on OEM Data. Applies to all LNG ICE road engines.
14 Gas Infrastructure Europe. "Fuelling clean mobility with bio-LNG: Market developments and policy implications of using bio-LNG in transport". February 2022.
15 Shell. “.” 2024.
16 As outlined in the European Biomethane Association Biomethane Factsheet, that after biogas upgrading, biomethane is predominantly methane (>96% by mass). As the chemical composition and energy content of biomethane are similar to natural gas, it can likewise be used in the same way as vehicle fuel. . Always consult your equipment manufacturer’s manual for guidance before making any fuel changes.
17 Shell BioLNG comes from allocated waste and residue, non-food and feed feedstocks following the EU’s guidelines (REDII).
Shell. “Cautionary Note”.&Բ;2024.
