Repsol’s Board of Directors has approved a major investment in Ecoplant, a first-of-its-kind facility in Europe designed to transform urban waste into renewable fuels and circular products. This groundbreaking project will not only help reduce CO₂ emissions in the transport sector but also promote the circular economy, aligning with Repsol’s strategy for sustainable energy solutions.
A European First: Renewable Methanol from Waste
Located in Tarragona, Spain, the Ecoplant will receive an investment of over €800 million, making it Europe’s first plant to produce renewable and circular methanol from waste using gasification, the most advanced waste valorization technology. The facility is based on cutting-edge technology developed by Enerkem, a technology company in which Repsol is a partner.
This innovative process will give a second life to waste that would otherwise be incinerated or sent to landfills. The facility will process up to 400,000 tons of municipal solid waste per year, converting them into 240,000 tons of renewable fuels and circular products.
- Renewable methanol will be derived from organic waste.
- Circular products will be created from non-organic waste, such as non-recyclable plastics.
Job Creation & Economic Impact
The Ecoplant is expected to be operational by 2029, generating:
✔ 340 direct, indirect, and induced jobs upon startup.
✔ 2,800 jobs during the construction phase.
As part of Repsol’s Tarragona industrial complex, the Ecoplant will leverage existing infrastructure to accelerate the region’s transformation into a multi-energy hub. This investment underscores Repsol’s commitment to maintaining industrial employment in Spain and fostering regional economic growth.
Recognized by the European Union
The European Commission has selected the Ecoplant for funding under the Innovation Fund program, recognizing its high potential to reduce emissions and its unique status in Europe. The project is expected to cut greenhouse gas (GHG) emissions by 3.4 million tons of CO₂ over its first decade of operation.
A Key Solution for Transport Decarbonization
The European Union’s climate roadmap aims to cut the carbon intensity of maritime transport by:
✔ 40% by 2030 (compared to 2018 levels).
✔ 75% by 2050 (compared to 2020 levels).
To achieve these goals, renewable methanol—alongside renewable diesel from Repsol’s Cartagena plant—emerges as a key alternative fuel for the shipping industry. Compared to alternatives like renewable hydrogen, ammonia, or electrification, methanol is technologically mature and ready for large-scale implementation.
Beyond maritime transport, renewable methanol will also be used for:
✔ Road transport – as a raw material for renewable gasoline and diesel.
✔ Sustainable aviation fuel (SAF) – reducing emissions in the aviation sector.
✔ Chemical industries – for automotive, construction, healthcare, food, and electronics applications.
Global Methanol Demand & Repsol’s Growth Plans
According to IRENA and the Methanol Institute, global methanol demand is expected to quintuple by 2050, largely driven by its use in shipping, road transport, aviation, and chemicals.
Given the high potential of this waste valorization model, Repsol is evaluating the feasibility of replicating the project in other regions.
As part of its broader renewable energy vision, Repsol aims to:
✔ Produce 1.5 to 1.7 million tons of renewable fuels annually by 2027, rising to 2.7 million tons by 2030.
✔ Manufacture up to 105,000 tons of circular products per year by 2027, increasing to 200,000 tons by 2030.
Repsol: Leading the Iberian Peninsula’s Renewable Fuel Revolution
With the Ecoplant project, Repsol is cementing its leadership in renewable fuels and advancing its ambition to accelerate the energy transition while creating economic value.