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São Paulo launches €2 million biomethane project

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Presidente Prudente, in the state of São Paulo, has begun work on Brazil’s first urban biomethane gas distribution network.

With an investment of R$12 million (approximately €2 million), the city is pioneering the use of this renewable fuel for residential and commercial supply, positioning itself at the forefront of the country’s clean energy transition.

The project is being led by Nécta Gás Natural and includes the installation of a 40-kilometre pipeline that will serve around 5,000 residents and 58 businesses. The biomethane will be sourced from the Cocal Plant in the nearby city of Narandiba.

Guilherme Piai, São Paulo’s Secretary of Agriculture and Supply, praised the initiative, stating: “With this pioneering project in Presidente Prudente, São Paulo reinforces its commitment to sustainability and the energy transition. This marks a significant step forward, and we hope it encourages wider adoption of renewable energy across the state and Brazil.”

The initiative is seen as a key development in Brazil’s efforts to reduce its greenhouse gas emissions. According to a 2024 study by FIESP and the São Paulo State Government, scaling up biomethane production could cut the state’s emissions by 16% and supply up to 40% of its natural gas demand. It is also projected to create as many as 20,000 jobs.

The project is part of a broader drive in São Paulo to integrate cleaner fuels into its energy mix. Through initiatives such as the Cana IAC Programme – which has supported sugarcane crop improvement for over three decades – the state has long leveraged sugarcane residues like bagasse, straw, and vinasse to produce biogas, now being converted into biomethane.

On 4 August Necta Gás Natural said the project has reached 50% completion, with 20 0f the 41 kilometres of new pipelines laid.

The company's goal is to complete the installation of the entire structure by the end of 2025, with the first customer connections scheduled to begin gradually from September.






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