Unlocking biomethane: Cadent introduces cost-sharing for network connections

Cadent has introduced a new cost-sharing model for biomethane network connections, aiming to reduce one of the biggest barriers facing developers, the high cost of reinforcing the gas network.

Supported by Ofgem, the approach moves away from the long-standing ‘first-connector pays’ model. Where network capacity is constrained, reinforcement costs can now be shared between multiple biomethane projects and, up to a defined cap, across the wider customer base. This new ‘clustering’ approach is designed to make connections more affordable and enable projects in the same area to progress together.

Biomethane already supplies around 7TWh of energy to the UK, with more than half connected through Cadent’s networks. Cadent is targeting significant growth, aiming to reach 20TWh across its networks by 2035, supporting decarbonisation of heat and energy resilience.

To support this shift, Cadent has opened an Entry Reinforcement Assessment Window until 6 March 2026, allowing developers to submit projects that may benefit from the new charging arrangements. Once the window closes, Cadent will assess opportunities for clustering and provide cost estimates, enabling developers to decide whether to proceed.

Howard Forster, Chief Operating Officer at Cadent, said:

Biomethane is one of the fastest, most cost-effective ways to decarbonise heat today.

By combining new charging rules with targeted network reinforcement, Cadent aims to unlock the next wave of biomethane growth across its networks.

Read more: Unlocking the potential: Cadent makes biomethane network connections more affordable