A new biogas plant is set to be completed in spring 2026 in the village of Tahula on Estonia’s largest island, Saaremaa. The facility’s purpose goes beyond renewable energy production: it aims to make better use of local resources and reduce reliance on imported energy. The Estonian Islands Energy Agency has played a significant role in preparing and developing the project, supporting the transition toward cleaner and more stable energy use across Estonian islands.
The Tahula biogas plant will use by-products from Saaremaa’s agricultural enterprises. These organic residues will be converted into biogas and further refined into biomethane. The resulting fuel can be used in transportation, industry, and district heating, thereby reducing dependence on imported fossil fuels.
A valuable by-product of the process is digestate ̶ a nutrient-rich material that farmers can use as fertilizer, reducing the need for synthetic fertilizers and helping maintain soil health.
Once completed, the plant will produce 58 GWh of biomethane annually, equivalent in energy content to approximately 5,300 tons of diesel fuel. Biomethane can be used both in vehicles and in the maritime sector. The plant will also generate 23.2 GWh of electricity and the same amount of heat ̶ enough to cover nearly 15% of the Saaremaa municipality’s electricity consumption and a quarter of its heat demand.
The Estonian Islands Energy Agency’s Contribution
The Estonian Islands Energy Agency has supported the project in three key roles:
1. Investment advisory
The agency assisted in identifying funding sources, resulting in the Environmental Investment Centre allocating €5 million to the project. The total cost of the biogas plant is approximately €14.5 million.
2. Public communication and engagement
As with many new infrastructure projects, the Tahula plant initially faced public concern. Residents expressed worries about potential odors, groundwater safety, and technological risks. The agency supported the developer in sharing fact-based information, clarifying safety aspects, and the measures taken to minimize risks. The goal was not to silence criticism but to ensure that any opinions or decisions were made based on accurate information.
3. Advising cross-utilization solutions
A biogas plant is more than an energy producer. The CO₂ generated during purification can serve as a raw material for producing new carbon-based products. Digestate can gain additional value when enriched with biochar. Excess heat from the plant can be used in nearby industrial and service processes.
The Estonian Islands Energy Agency has helped plan these cross-utilization opportunities and, together with developers, is seeking investors interested in advancing circular economy solutions.
The Estonian Islands Energy Agency (EISEA) is a social enterprise operating across the islands of Western Estonia ̶ Saaremaa, Hiiumaa, Muhu, Vormsi, Kihnu, and Ruhnu. Its mission is to support local governments, communities, and businesses in implementing projects that promote sustainable energy use and production while reducing carbon emissions. EISEA’s activities are funded by the European Union’s LIFE Programme.
Photo: Alar Truu





