PepsiCo sees the benefits of biomethane

Et Story

In January 2026, PepsiCo and Engie signed a biomethane purchase agreement (BPA) a first for the UK food and drinks industry.

The BPA will see PepsiCo purchase 60 GWh of new biomethane generation annually from Engie’s new biomethane plant currently under construction in the North of England. The deal will see an investment of £70mn into the local economy alone, with the plant expected to come online in 2027.

The deal will reduce PepsiCo UK’s carbon emissions by 11,000 tonnes a year, equivalent to the gas consumption of 5,000 homes.

The deal recognises the potential biomethane has to decarbonise industry quickly in the UK, and shows the level of demand that already exists for further biomethane production.

Northern Ireland has a unique opportunity to become a leader in biomethane supply, if the industry receives the right level of support to develop, providing good green jobs, investment into the rural west and helping to decarbonise homes and industry.

Read more about our greener future here.