Price of methane increased in Iceland

During the week-end of the 21st of July 2012 methane price in Iceland for vehicle fuel increased by 18 ISK/Nm3.

Before this change the price was set at 131ISK/Nm3. It is therefore now at 149 ISK/Nm3. The contract between N1, the distributor, and SORPA bs. , the producer has newly changed.

The main reason explained by SORPA is the financing of new projects in order to increase the biogas production capacity. Price of methane was underestimate and now that demand has increased more investments need to be done in order to fulfill it. SORPA is planing to increase the number of boreholes and the capacity of its compressors through the production and distribution chain.

We hope that the increase in price will be use for the development of methane as fuel and not repel costumers to make the switch from fossil fuel to clean biofuels. We recall that N1 is the only dealer for methane and SORPA the only producer for now. 

 

  N1

 

  

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