Oil Shock in the Gulf: Why the Iran War Is a Wake-Up Call for Biogas

Energy Iran War Biogas
Recent insights from the Anaerobic Digestion & Bioresources Association (ADBA) highlight a growing reality: biogas is no longer just part of the energy transition - it is becoming central to national security, food resilience, and economic stability.

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Recent insights from the Anaerobic Digestion & Bioresources Association (ADBA) highlight a growing reality: biogas is no longer just part of the energy transition – it is becoming central to national security, food resilience, and economic stability.

With escalating tensions around the Gulf and disruption to key shipping routes such as the Strait of Hormuz, global energy markets are once again under pressure. Oil and gas price volatility is already feeding through into agriculture, with farmers bracing for rising fuel and fertiliser costs. This is not a new story – but it is a recurring and intensifying one.

When Energy Becomes a Food Issue

As ADBA rightly points out, modern food systems are tightly coupled to fossil energy:

Natural gas → ammonia → fertiliser → crop yields → food prices → stability

When gas prices spike, fertiliser costs follow almost immediately, and the consequences ripple through supply chains, driving inflation and placing pressure on both farmers and consumers.

The UK government has recognised this risk. In its report “Global Biodiversity Loss, Ecosystem Collapse and National Security”, produced with input from the Joint Intelligence Committee, food systems and fertiliser supply are now firmly viewed through a national security lens.

Europe is Moving – the UK is Behind

Across Europe, biomethane production is rapidly scaling:

 

  • France now has hundreds of injection sites producing tens of TWhs of renewable gas.
  • Ireland has tripled its mandated production target.
  • The EU aims to reach 35 billion cubic meters of biomethane by 2030.

 

By contrast, the UK still has significant untapped potential: only 2.5% of domestic organic farm waste is currently used for biomethane production, with 11 TWh from 130 plants, compared to potential outputs of 30 TWh by 2030 and over 120 TWh by 2050. Scaling domestic biomethane could reduce import dependency from 61% in 2025 to 23% by 2050, strengthen energy resilience, and deliver lower-cost, domestic back-up power when renewables are constrained.

This is where Carbogenics comes in. As an established provider of CreChar, a functional biochar that enhances anaerobic digestion, we are uniquely positioned to help the UK catch up with Europe, unlocking the full value of domestic feedstocks while boosting biogas yields and fertiliser independence.

Biogas as Strategic Infrastructure

Biogas addresses multiple systemic risks:

 

  • Energy security: domestic, decentralised gas production
  • Fertiliser independence: digestate as a local nutrient source
  • Waste management: valorising agricultural and industrial residues
  • Farm resilience: diversified income and reduced input costs

 

In short, biogas transforms farms from price takers into resource producers, offering both economic and strategic benefits.

From Risk to Opportunity

For farmers, the message is clear: preparation beats panic. Short-term supply shocks may be manageable, but prolonged instability embeds higher costs into the system. Already, reports of fuel being ordered without fixed pricing reflect the level of market uncertainty.

Biogas offers a pathway to futureproof farm operations:

  • Reduce reliance on imported fertilisers
  • Generate on-site energy
  • Unlock value from agricultural and industrial residues
  • Support compliance with emerging carbon and biodiversity frameworks
  • Alternative Feedstocks for a Circular Future

 

The future of biogas must go beyond dedicated energy crops. Waste-derived feedstocks – including agricultural residues, food waste, and industrial by-products – strengthen sustainability and avoid land-use conflicts.

Innovations like CreChar play a pivotal role here. By enhancing digester performance, increasing biogas yields, and improving digestate quality, Carbogenics enables operators to maximise resilience, reduce costs, and achieve environmental compliance.

A Defining Moment for the Sector

The convergence of geopolitical instability, energy insecurity, and agricultural pressure is not temporary – it is structural. Biogas sits at the intersection of these challenges, and the UK has an urgent opportunity to follow Europe’s lead.

As highlighted by ADBA and other trade bodies, now is the time for governments and industry to accelerate deployment and investment. Failure to act risks leaving economies exposed to exactly the kinds of shocks we are now experiencing.

Looking Ahead

We will have a stand at the World Biogas Expo 2026, where global challenges and farming resilience will be high on the agenda. Come and chat with us!

For forward-thinking operators, the question is no longer whether to invest in resilience – but how quickly it can be achieved.

Biogas is not just part of the solution – it is a cornerstone of a more secure, self-sufficient future. With CreChar and Carbogenics’ expertise, the UK can catch up with Europe, transform its waste into energy, and safeguard both farms and food systems.

Get a tailored CreChar® solution

For further information on Crechar® and other services from Carbogenics please contact: 

Lidia headshot

Lidia Krzynowek

(COO and Co-Founder) lidia.krzynowek@carbogenics.com

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