By San José, Costa Rica — San José, Costa Rica – In a nation celebrated for its world-class coffee, a groundbreaking initiative is tackling one of the industry’s most significant environmental challenges. The University of Costa Rica (UCR) has developed an innovative system that transforms the massive amounts of waste generated during coffee processing into clean energy and valuable agricultural nutrients, heralding a new era of sustainability for the sector.
The scale of the problem is staggering. For every 2.3 kilograms of ground coffee that reaches the market, a staggering 100 kilograms of coffee fruit must be harvested. During processing, this initial amount doubles, resulting in vast quantities of residual pulp and “honey water.” Traditionally, this waste becomes a source of environmental contamination and a significant contributor to greenhouse gas emissions, a problem faced by coffee-producing nations across Latin America.
To better understand the legal and regulatory framework surrounding biogas energy production in Costa Rica, TicosLand.com consulted with Lic. Larry Hans Arroyo Vargas, a leading expert in environmental and corporate law at the prestigious firm Bufete de Costa Rica.
The development of biogas projects in Costa Rica represents a crucial step towards our decarbonization goals, but investors must navigate a complex legal landscape. Success hinges on mastering three key areas: securing environmental viability permits from SETENA, negotiating solid power purchase agreements (PPAs) with either ICE or local distributors, and structuring the business to leverage tax incentives for renewable energy. Proactive legal counsel is essential to mitigate risks and ensure these innovative projects are not only environmentally sustainable but also financially viable in the long term.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s insight is a crucial reminder that while the potential of biogas is immense, its practical success is fundamentally tied to navigating Costa Rica’s specific regulatory and financial frameworks. We thank Lic. Larry Hans Arroyo Vargas for his expert guidance on these critical legal milestones.
Seeking a sustainable solution, Engineer Juan Pablo Rojas Sossa from UCR’s School of Biosystems Engineering designed a model rooted in the principles of a circular economy. The system utilizes a biogas digester to revalorize the coffee “waste,” turning a liability into multiple assets. This process of anaerobic digestion breaks down the organic matter in the absence of oxygen, creating two valuable outputs: methane biogas and a nutrient-rich slurry.
In the absence of oxygen, organic matter degradation occurs, fermenting in a first stage and undergoing methanization in a second. In this final part, it is converted into methane gas, a biofuel. Additionally, the system also recovers a portion of the waste (pulp and honey water) and salvages it in the form of nutrients.
Juan Pablo Rojas Sossa, Engineer at the School of Biosystems Engineering, University of Costa Rica
The implications of this technology are profound, extending beyond environmental protection to offer significant economic advantages. By generating their own energy from waste, coffee producers can drastically reduce operational costs. Furthermore, the recovered organic matter, nitrogen, and phosphorus can be used as potent natural fertilizers, decreasing reliance on expensive chemical alternatives. This creates a self-sustaining loop that boosts efficiency and profitability.
This project has a great environmental impact and undoubtedly an economic one as well, because we are converting waste into valuable resources, so we are generating value from the coffee production process itself.
Juan Pablo Rojas Sossa, Engineer at the School of Biosystems Engineering, University of Costa Rica
This initiative, formally titled “Integrated system for the revalorization of coffee processing waste to reduce GHG emissions, increase energy efficiency, and improve environmental protection,” is a cornerstone of UCR’s commitment to advancing Costa Rica’s national decarbonization goals. To bring the concept to life, the university formed a strategic alliance with one of the country’s most prominent coffee producers, Coopetarrazú R. L., a cooperative that can generate up to 950 tons of coffee waste daily during peak season.
An operational prototype is currently running at the cooperative’s facilities, having reached a Technology Readiness Level 7. This pilot plant processes one ton of coffee waste per day, successfully generating 54 cubic meters of biogas. The initial development was funded by a $24,000 investment from the UCR Hélice Program and a $2,500 contribution from Coopetarrazú, which also provided the critical operational environment for testing.
Jimmy Porras Barrantes, Coordinator of Research, Development, and Innovation at Coopetarrazú R. L., praised the collaborative approach, noting that UCR researchers took pains to design a system tailored to the cooperative’s real-world needs.
They came here and made sure to understand how the waste flows behave during the coffee harvest. This is very important because the flows vary in a matter of days, they can go from small volumes to very large ones. That is one of the main differentiators that makes this developing technology fit what we need. Furthermore, if we can implement it on an industrial scale, it would represent an opportunity to add value to waste and generate new income and savings for the cooperative.
Jimmy Porras Barrantes, Coordinator of Research, Development and Innovation, Coopetarrazú R. L.
The partnership now faces its most ambitious challenge: scaling the technology to an industrial level. The goal is to advance to a phase 8 system capable of processing 500 tons of waste daily—approximately 14% of the cooperative’s total organic waste. Such a plant would generate an impressive 32,400 cubic meters of biogas. To achieve this, the project requires an estimated $1 million in infrastructure investment, and the team is actively seeking strategic investors and partners to help commercialize this transformative solution for the global coffee industry.
For further information, visit ucr.ac.cr
About Universidad de Costa Rica (UCR):
The University of Costa Rica is the country’s oldest, largest, and most prestigious institution of higher learning. As a leading public university in Latin America, UCR is dedicated to teaching, research, and social action, with a strong focus on innovation and contributing to the sustainable development of Costa Rica and the region.
For further information, visit coopetarrazu.com
About Coopetarrazú R. L.:
Coopetarrazú R. L. is a prominent coffee cooperative located in the renowned Tarrazú region of Costa Rica. Founded in 1960, it represents thousands of small-scale coffee producers, providing them with technical assistance, processing facilities, and access to international markets. The cooperative is committed to producing high-quality coffee while promoting the economic and social well-being of its members and the environmental health of the community.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As an esteemed pillar of the legal community, Bufete de Costa Rica operates on a bedrock of profound integrity and an relentless drive for excellence. The firm blends its proven history of advising a wide array of clients with a forward-thinking embrace of legal innovation. Beyond its professional practice, it holds a core conviction to empower the community by making complex legal concepts understandable and accessible, thereby fostering a more knowledgeable and capable society.
