Shelby Bioenergy · October 2026 · Australia

Customer willingness to pay a green premium

Shelby has no verified Australian customer offers sufficient to nominate a dependable green premium. Willingness to pay should be assessed through long-term contracts, customer alternatives and certification needs, with uncontracted premiums treated as upside.

Shelby’s position, not adopted government policy or confirmation of lodgement. Historical evidence and policy-modelling assumptions are distinguished in the response.

Industrial customer and supply truck beside a renewable-gas plant
Conceptual illustration · not a project photograph or engineering design

The official consultation question

Q23 · §4.1(c) · paper page 25

Are you aware of what customers are willing to pay as a green premium for biomethane or other renewable gases? If so, please provide details between the levelised cost of production and customer willingness to pay.

Shelby’s response

Shelby does not currently have verified Australian customer offers sufficient to nominate a dependable green premium. International experience informs our view that willingness to pay must be assessed against the customer’s alternatives, emissions requirements, certification needs and willingness to enter a long-term contract.

Policy should help establish purchasing arrangements that bridge the gap between production costs and contracted customer revenue. Developers should be able to assess that support before investment. Gas prices, certificate income and co-product sales should be identified separately, with uncontracted premiums treated as potential upside.

Frequently asked questions

What is Shelby’s position on customer willingness to pay a green premium?

Shelby has no verified Australian customer offers sufficient to nominate a dependable green premium. Willingness to pay should be assessed through long-term contracts, customer alternatives and certification needs, with uncontracted premiums treated as upside.

What should a project team read alongside this answer?

Read the linked commercial guides and original question. Separate the response’s recommendations and illustrative assumptions from source-reported operating evidence.

Sources & References

  • Department of Climate Change, Energy, the Environment and Water, National Renewable Gas Policy consultation

    Publication: Date not verified

    Observation period: Not recorded

    Relevant page / section: Claim-level locator not yet verified

    Last link / title verification: 2026-10-11

    Publisher link checked; individual claims, costs and regulatory applicability still require review.

    Check scope and current applicability before relying on this reference.

  • Department of Climate Change, Energy, the Environment and Water, National Renewable Gas Policy consultation paper

    Publication: 2026-08

    Observation period: Australia; 2026 consultation

    Relevant page / section: Consultation questions; use answer-specific paper page and question reference

    Last link / title verification: 2026-10-11

    Publisher link checked; individual claims, costs and regulatory applicability still require review.

    Source for questions/context, not proof of an implemented support mechanism. Question text attribution: Commonwealth, CC BY 4.0, as noted in Shelby’s supplied consultation response.

  • Creative Commons, Attribution 4.0 International

    Publication: Date not verified

    Observation period: Not recorded

    Relevant page / section: Claim-level locator not yet verified

    Last link / title verification: 2026-10-11

    Publisher link checked; individual claims, costs and regulatory applicability still require review.

    Check scope and current applicability before relying on this reference.