Electricity-Related Options
LMOP is providing information on options that landfill owners and other owners of landfill gas (LFG) electricity projects may have when their power purchase agreement (PPA) is nearing expiration. In this context, a PPA is a contract between a renewable energy generator and purchaser that defines all the business terms of the agreement between the parties. This page provides options for continuing to generate electricity.
Back to Toolkit for Expiring LFG Electricity PPAs page.
On this page:
- Renegotiate existing power purchase agreement
- Develop new power purchase agreement
- Unbundle and sell electricity and credits separately
- Set up net metering agreement
- Explore "community" electricity project
- Generate electricity for microgrid energy storage
- Power a self-sustaining microgrid with data center
- Generate electricity for electric vehicles
- Capture waste heat
Review the basic criteria below for each option and select "Learn more" for those of interest to read about the potential benefits, pros and cons, economic considerations and other information.
Consider renegotiating existing PPA for electricity and renewable energy certificates (RECs)
This option may be worth considering if:
- Existing customer still has a demand for renewable electricity.
- Pricing is able to justify the operational costs of the electricity-generating equipment.
Learn more about renegotiating an existing PPA
Research other potential LFG electricity purchasers to develop new PPA for electricity and RECs
The entity able to purchase the power will vary depending on the regulation of a state's power market.
- In regulated states, power would need to be sold to a utility.
- In states with competitive power markets, power could be sold to a commercial or municipal customer or a wholesale electricity buyer.
Learn more about developing a new PPA
Unbundle the electricity and RECs and sell them separately
This option may be worth considering if:
- Power can be sold to a utility or local spot market in competitive power markets.
- Project is in an area where LFG RECs are eligible to be sold for compliance purposes under a state renewable portfolio standard.
- A voluntary purchaser is interested in purchasing unbundled RECs to meet their internal greenhouse gas reduction or renewable energy goals (in regulated or unregulated state).
Learn more about unbundling electricity and RECs
Set up net metering agreement to offset costs of other meters under common ownership
This option may be worth considering if:
- Landfill owner has multiple buildings with meters.
- Project is in a state with competitive electricity markets and aggregate net metering policies which include biogas (at least 17 states allow aggregate net metering).
Learn more about net metering agreements
Explore idea of a "community" LFG electricity project
This option may be worth considering if:
- State or utility allows shared renewables and "virtual net metering".
- These programs allow biogas as an eligible resource (at least 12 states and Washington, DC, have a utility program or state law that allows biogas under virtual net metering).
Learn more about community projects
Generate LFG electricity for microgrid energy storage
This option may be worth considering if:
- Project is in an area with favorable energy storage policies such as behind-the-meter storage or net metering for grids that are connected to larger grid systems.
Power a self-sustaining microgrid with an onsite data center
This option may be worth considering if:
- Landfill has an LFG flow rate of least 100 cubic feet per minute with as low as 35 percent methane content.
- Landfill is located in a rural area or has few end use options.
Learn more about microgrids with data centers
Generate LFG electricity for electric vehicles
This option may be worth considering if:
- Project is in an area with favorable low-carbon transportation fuel policies such as California's Low Carbon Fuel Standard and Oregon's Clean Fuels Program.
- If an energy storage component is included – project is in an area with favorable policies such as behind-the-meter storage or net metering for grids that connect to larger grids.
Learn more about electricity for electric vehicles
Capture waste heat from LFG electricity technology to make project more efficient and cost-effective
This option may be worth considering if:
- Onsite or adjacent demand for heat or steam exists.
- Waste heat can be captured from existing electricity-generating technology.
- For leachate evaporation – leachate disposal is unavailable or expensive.
Learn more about capturing waste heat