California Dairy Biogas Network Expands Operations
The new digesters convert dairy manure into renewable fuel for truck fleets.
Updated on Oct. 26, 2026 in Organic Food
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Aemetis has expanded its California dairy biogas network to 14 active digesters, which convert manure into renewable natural gas. This infrastructure aims to support sustainable fuel alternatives for local heavy-duty truck fleets.
Why it matters
By capturing emissions from dairy waste, this project provides a path to reduce the carbon footprint of agricultural byproducts. It also offers a potential alternative to conventional diesel fuel as the state works toward lower-emission transportation.
Aemetis now operates 14 dairy biogas digesters across 17 facilities, with plans to expand to 50 dairies total. While the system is designed for an annual production capacity of 600,000 MMBtu of renewable natural gas, the long-term efficiency of the full pipeline network remains under evaluation.
The players
Aemetis
A renewable energy company focused on developing biofuels and carbon-capture technologies for the agricultural and transport sectors.
PG&E
A major utility provider that manages the natural gas infrastructure used for distributing the captured biogas across the state.
The details
The process uses anaerobic digesters to capture methane from dairy manure, which is then transported through a 36-mile pipeline to a facility in Keyes, California. At this plant, the biogas is processed to meet utility standards before injection into the PG&E gas network. This captured methane serves as a fuel source, helping to lower the carbon intensity of regional energy supplies.
Timeline
July 2025: California LCFS credit prices were $42 per credit.
August 2026: Aemetis generated $22.8 million in Section 45Z tax credits.
October 2026: California LCFS credit prices reached approximately $90.
November 2026: RNG deliveries to truck fleets are scheduled to begin.
Health Landscape
This project integrates into the broader California Low Carbon Fuel Standard, which incentivizes the adoption of cleaner energy alternatives to diesel. It represents a push toward localized, circular energy production within the state's massive agricultural sector.
For readers interested in local environmental quality, this project highlights how waste management can reduce atmospheric methane. It is worth discussing with local public health officials how shifts in regional fuel sources may impact long-term air quality in your community.
The takeaway
Capturing methane from agricultural waste helps convert greenhouse gases into a usable, low-carbon fuel. Residents can monitor local air quality reports to observe how transitions away from traditional diesel affect the regional environment.
What happens next
Aemetis expects to open its first renewable natural gas fueling station in Keyes, California, in the coming weeks.
Further reading
Learn more about sustainable farming initiatives in California Organic Food.
Source note: This article includes information reported by Bioenergy Insight.
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Should states invest more in converting agricultural waste into renewable natural gas for transportation?
