Fachagentur Nachwachsende Rohstoffe e.V. (FNR)
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Project profile: Biogas project

Project location

City: Gnidava

Region: Volyn Oblast

Country: Ukraine

Project concept

Construction and operation of a biogas plant in Gnidava facilitating the industrial scale production in the Western Ukraine

Key Elements

  1. Installation and operation of a 3,2 MWel biogas plant in Gnidava
  2. Conversion of the Biogas to electricity and its sale to the state enterprise Energorynok under the green tariff regulation
  3. Biomass input: sugar beet pulp and chicken manure

Fuel specification

  • waste products (pulp) of an adjacent sugar beet factory
  • chicken manure from agricultural holdings located at a distance of less than 60 km

Biogas production

Project consortium


The Project owner and operator will be West Ukrainian Gas Technologies Ltd. (WUGT). It was established in 2007 in Kamjanka Buzka (Lviv region), specifically for the purpose of biogas production in the Western Ukraine. WUGT holds an electricity production license and obtained the WEM (wholesale electricity market) membership, which are two necessary prerequisites for the sale of electricity applying the green tariff. The shareholders of WUGT have been involved in various fields of the Ukrainian natural gas market since 1999, including:

  • The extraction and sale of natural gas from their own wells,
  • The repair of the gas transporting system of Ukraine and
  • The development of biogas and bio-methane production projects. 

WUGT is developing a series of independent biogas-fuelled power projects across the Western Ukraine. The business model is based on the repetition of successful turn-key projects with installed capacity of 2.0 – 3.2 MWel. The first stage is the project in Gnidava with 3.2 MW. The mid-term goal is to build 8 – 12.8 MWel until the end of 2016.

OK-Interservice is a consulting company for Ukrainian companies in Germany and for German companies in Ukraine with comprehensive experience in the renewable energy sector. It was founded in 2009 in Hamburg, Germany.

Project status

Initial negotiations conducted with supplier of raw material. Appropriate equipment has been chosen. Financing options are being analysed. Letters of intent have been signed with local partners.

Expected sustainable results and solutions


  • Reduce soil and ground water contamination caused by the traditional storage of sugar beet pulp in lagoons
  • Provide renewable heat for the sugar factory
  • Use the digestate as a high value fertilizer by local farmers replacing the use of mineral fertilizers.
  • Reduce Greenhouse gas (GHG) emissions due to

    • the substitution of natural gas for the production of heat/electricity
    • the substitution of mineral fertilizers


  • Contribute to the ensuring of energy safety in the country
  • Use agribusiness residues in an economical way
  • Decrease utilisation of imported fossil fuels in Ukraine
  • Create new added value for the region through the establishment of a new business branch


  • Create new and technically challenging jobs for local people
  • Contribute to an effective awareness raising for sustainable resource management

Get to know more about the advantages of bioenergy in terms of sustainability.

BIO-PROM support for the pilot project

Comprehensive advice and tailored support services for

Technical issues

  • On-site analysis of the project conditions
  • Analysis and feedback on the chosen equipment and technology providers
  • Recommendation concerning improvement of the production efficiency
  • Elaboration of different utilisation pathways for the end products (biogas, thermal and electric power)
  • Support in the preparation of a comprehensive feasibility study for the project

Financing issues

  • Development of an Investment Project Overview for the preliminary decision-making of the financing institutes
  • Search for suitable financing instruments
  • Preparation of the investment proposal
  • Negotiation with financing institutions

NEWS about the project

Pilots in Ukraine: Working on site

To see pictures of the project, click here.