Mandatory blending pushes up costs food industry

The mandatory blending of green gas, currently being prepared by the government, aims to boost the production and use of green gas. This measure plays a crucial role in the energy transition but also leads to higher costs for households and businesses. For the food industry, a sector with specific energy needs, the effects are particularly noticeable.

Cost increases also affect food businesses

Research by CE Delft indicates that, by 2030, the average additional costs for the food industry will amount to a maximum of 0.2% of total operational costs. While this percentage may seem limited, the impact on profit margins could reach up to 4%. Companies with high gas consumption, such as bakeries, are disproportionately affected. On the other hand, butcheries with lower gas usage face a less significant rise.

Additionally, the extent to which businesses can pass these extra costs on to customers varies greatly. Factors such as competitive pressure and market position play a crucial role in this regard.

Alternatives remain essential

Alternative energy solutions, such as heat pumps, biomass boilers, or deep geothermal systems, may offer some companies a more attractive cost profile. These options can offset the additional costs of green gas, provided the necessary infrastructure and willingness to invest are in place. However, green gas remains an appealing interim solution, as it can be integrated into existing systems without significant modifications.

With the mandatory blending policy, the government takes an important step toward a sustainable energy supply. However, the food industry will need to carefully balance cost management and sustainability measures to maintain its competitive position.