Groundbreaking for Südzucker’s On-Site Biomethane Plant

With a ceremonial groundbreaking, Südzucker AG has started construction of its new Bio Energy Hub at the Chemical and Industrial Park Zeitz-Tröglitz in Saxony-Anhalt. From autumn 2027, a state-of-the-art biomethane plant will go into operation there, converting by-products from sugar production into energy. The goal of the project is to gradually shift the site’s energy supply from fossil to renewable sources.

The plant will process pressed sugar beet pulp — a by-product of sugar production — into biomethane. Thanks to its chemical similarity to fossil natural gas, the biomethane can be used within existing gas infrastructure for heat and power generation. The new Bio Energy Hub will cover an area of around 15 hectares and, according to the company, will be the second-largest facility of its kind within the Südzucker Group.

Südzucker sees the investment as a key component of its sustainability strategy “Growing in Balance.” “Our new biomethane plant is a central element in reducing greenhouse gas emissions and will enable us to gradually cut the use of fossil fuels,” said Frank Kiesewetter, Chief Operating Officer of the Sugar Division.

The project has also received positive feedback at the state level. Saxony-Anhalt’s Minister of Economic Affairs, Sven Schulze, emphasized the importance of the project for regional industrial development during the groundbreaking ceremony. The investment, he said, will help secure jobs and create new opportunities for a climate-friendly industry.

Construction of the biomethane plant is part of a climate protection agreement that Südzucker signed in 2024 with the then Federal Ministry for Economic Affairs and Climate Action, with funding of up to €227.5 million. In addition to biomethane production, the agreement also supports the integration of heat pumps and the conversion of a lime kiln to gas firing.

With this project, Südzucker aims to demonstrate how large industrial operations can integrate renewable gases into existing processes. The commissioning of the facility is scheduled for autumn 2027.