A rural energy economy with renewable liquid gas has big climate potential, says report

Much of the EU’s policy focus for decarbonisation has been on electrification, but this isn’t always an option for rural areas that are disconnected from the grid.

Ewa Abramiuk-Lété, general manager of Liquid Gas Europe, tells Euractiv that other technological solutions for decarbonization would be better suited for these types of areas – her association has a new report to make the point.

EV: What stood out the most from the ‘Outlook’ report findings?

E A-L: What stands out in the ‘Outlook’ is the scale of the opportunity. The report shows that Europe could produce up to 350 TWh of renewable liquid gases by 2050 — enough to replace nearly all of today’s liquid petroleum (LPG) consumption and, in doing so, achieve greenhouse gas emissions savings of over 80% compared to fossil LPG.

This represents a realistic, technology-ready pathway to decarbonising sectors and communities that often fall outside the mainstream energy transition narrative.

Moreover, these gases can be produced from sustainable feedstocks, such as advanced biofuels and waste streams, providing both climate benefits and energy security. They also utilise existing infrastructure and appliances in homes and industries, which helps reduce costs and makes the transition more accessible.

The key takeaway is that renewable liquid gases are a scalable, complementary route to climate neutrality that Europe cannot afford to overlook.

EV: How have rural communities been impacted by recent EU regulatory changes?

E A-L: EU climate policy rightly prioritises decarbonisation, and electrification will play a central role in achieving Europe’s net-zero objectives. However, recent regulatory proposals tend to lean heavily on electrification as the primary pathway — sometimes at the expense of other viable and complementary solutions.

In rural and off-grid areas, extending the electricity grid can be slow, expensive, and technically complex — and in some cases, simply unfeasible in the near term. Many households and small businesses in these regions currently rely on LPG for heating and hot water, and in the future, they could increasingly rely on renewable liquid gases as a cleaner, drop-in alternative.

Yet, EU policy discussions have too often overlooked renewable drop-in fuels such as bioLPG and renewable DME. This creates uncertainty for rural families, farmers, and small enterprises, and risks deepening the divide between urban and rural communities. A successful energy transition must be tailored, inclusive, and technology-neutral — not one-size-fits-all.

Renewable liquid gases can deliver immediate and substantial emissions reductions, using existing infrastructure and appliances — with no need for costly retrofits or delays. They help decarbonise hard-to-electrify areas while also alleviating pressure on the electricity grid by allowing infrastructure investments to focus on large-scale installations and industrial hubs, where electrification delivers the highest impact.

In doing so, they support grid stability, optimise resource allocation, and enable a more strategic roll-out of renewables across Europe.

A more balanced and integrated approach will be essential to ensuring that no region — and no citizen — is left behind in the transition.

EV: What is the potential to switch rural communities to renewable liquid gases?

E A-L: The potential is both immediate and far-reaching. One of the most significant advantages of renewable liquid gases is their compatibility with traditional LPG systems — they can be used in the same tanks, pipes, boilers, and stoves. This ensures a seamless and cost-effective transition, particularly for households or businesses that cannot afford to replace their entire energy systems.

The Outlook indicates that with the right enabling conditions — including investment support, policy recognition, and equitable treatment in EU and national frameworks — Europe could fully replace fossil LPG with renewable alternatives by 2050.

This is not just a climate victory; it also supports social and territorial equity. These fuels can ensure that rural citizens have access to cleaner, affordable, and reliable energy without being forced into expensive or unsuitable technologies.

Furthermore, since the existing infrastructure is already in place, the transition can begin immediately.

EV: Is there enough feedstock to achieve this goal?

E A-L: The simple answer is yes. The Outlook does not identify feedstock availability as a constraint to scaling up production.

On the contrary, it highlights a diverse and abundant range of sustainable feedstocks that can be harnessed across Europe — from waste and residues used to produce advanced bioLPG, to renewable hydrogen and captured CO₂ used to create e-fuels like renewable DME via Power-to-X technologies.

Crucially, renewable liquid gases do not depend on a single feedstock or technology. That diversity is a major advantage — it offers flexibility, resilience, and scalability, and allows production to be tailored to local conditions and resource availability.

However, to unlock this potential, the right policy framework is essential. That will mean recognising all viable renewable production pathways and creating long-term demand certainty through stable, supportive policy signals. With these conditions in place, renewable liquid gases can make a significant contribution to Europe’s climate and energy goals.

EV: What are the main obstacles to financing and scaling up?

E A-L: The technologies are already there — the main challenge now lies in the regulatory environment. As the Outlook clearly states, it’s about streamlining and aligning existing policies to enable investment and scale-up.

Today, various EU and national policies affect renewable liquid gases — from energy, climate, and industrial strategies to sustainability and taxation rules — but they are not always coordinated. This can lead to uncertainty or administrative complexity for producers and investors.

The Outlook calls for simplification and better alignment across different policy areas so that all renewable liquid gas production pathways — whether bio-based or synthetic — are treated consistently and fairly.

It also emphasises the need for clear, long-term signals to build market confidence and accelerate deployment. With the right adjustments, the sector is well-positioned to contribute meaningfully to Europe’s climate, energy security and industrial goals.

[Edited By Brian Maguire | Euractiv’s Advocacy Lab ]