Ahead of key decisions on the third iteration of the EU’s Renewable Energy Directive (RED III) implementation, SEA-LNG urges a sufficiently long and inclusive consultation process to support long-term industrial confidence and investment.

Europe has a genuine opportunity to become a global leader in biomethane, e-methane and renewable methane pathways. Through initiatives such as RED III, the Sustainable Transport Investment Plan and the Maritime Industrial Strategy, the European Union has established an ambitious framework to strengthen competitiveness, energy security and industrial resilience as it advances decarbonisation.

Within the EU, there is consistent recognition of the role that biomethane can play in strengthening Europe’s energy security, industrial competitiveness, and resilience. This is reflected in recent comments made at the launch of the Biomethane Mechanism. The EU’s ambition to scale biomethane production to 35 bcm by 2030 amounts to a significant opportunity to support the development of competitive, integrated and innovative European markets for biomethane, e-methane and other renewable methane pathways.

As Europe moves from ambition to delivery, industry is already responding to the policy signals from the European Union. European shipowners account for a significant share of global orders for low- and zero-carbon fuel vessels, yet Europe currently represents only a relatively small share of projected global low- and zero-carbon fuel production capacity. This draws attention to the importance of implementation frameworks, which create long-term confidence for industry.

The decisions taken in the following months will be critical for investment, market development, fuel availability and industrial competitiveness for many years to come.

We encourage an extensive consultation process before final decisions are taken on the implementation of RED III and related measures affecting renewable fuel deployment and market development. Given the significance, complexity and major implications of the issues under consideration, we hope any consultation period will be sufficiently long to allow genuine, broad and constructive stakeholder participation.

Should consultation take place during the summer period, we hope this will be taken into account when considering both timing and duration to support broad and effective stakeholder participation. Such a process would also help provide the industry with the clarity, predictability and certainty required to support long-term investment and market development.

We are glad for the opportunity to contribute to this process and look forward to continued dialogue with policymakers and their Cabinets. We would also welcome the opportunity to meet to exchange views on how implementation can best support Europe’s objectives on competitiveness, energy security, industrial leadership, and decarbonisation.