Apply for the Green Gas Support Scheme (GGSS)

The Green Gas Support Scheme () provides tariff support for plants producing biomethane via anaerobic digestion which is injected into the gas grid. Tariffs are calculated to compensate plants for the building of new infrastructure to produce biomethane and ongoing operation costs.

It is funded by the Green Gas Levy which is applied to all licenced fossil fuel gas suppliers.

The scheme follows the Non-Domestic Renewable Heat Incentive (RHI) Scheme which closed to new applicants on 31 March 2021.

The opened on 30 November 2021. It will be open to applications for 4 years.

Registered participants will receive tariff payments for 15 years.

How to apply

The opened to applications on 30 November 2021.

Read Ofgem's guidance for more information about the scheme administration and how to apply.

Tariffs and budget management

Two separate budget caps have been set for the scheme:

• the Applications Budget Cap (ABC): a cap against which applications to the scheme are checked to ensure that there is available budget based on their estimated production and resulting spend
• the Overall Scheme Expenditure Budget Cap (OSEB): set above the ABC, this cap directly correlates to levy collection

Visit the Green Gas Support Scheme budget management page for budget cap details.

Tariff review

The Annual Tariff Review is the primary mechanism to amend tariffs offered to new applicants. The review ensures the scheme continues to meet its objectives and consistently delivers value for money. The outcome of the Annual Tariff Review will be announced annually in the autumns of 2022, 2023 and 2024, with any change taking effect at least one month after the announcement.

The degression mechanism on the acts to prevent over-compensation where biomethane deployment is greater than anticipated. It will do so by automatically reducing the tariffs available for new applicants by 10%, if set expenditure thresholds within a quarter are expected to be exceeded.

Expected outcomes

The scheme will help decarbonise Great Britain's gas supplies by increasing the proportion of 'green' gas in the grid. During peak years of production, biomethane plants incentivised by the will produce enough green gas to heat around 200,000 homes. The is expected to contribute 3.7 million tons of CO2 equivalent of carbon savings over Carbon Budgets 4 and 5, and 8.2 million tons of CO2 equivalent of carbon savings over its lifetime. This is equivalent to taking approximately 3.6 million cars off the road for a year. We expect the to help support high quality jobs in the renewable energy sector, at a time when economic recovery is so important.

We consulted on the in our April 2020 Future Support for Low Carbon Heat consultation. We published the government response in March 2021 and the final stage Impact Assessment in September 2021.

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