Technology adapted to local needs
Since its inception, Biokona’s main direction has been the construction of biogas plants and the provision of related technologies. Initially, based on the experience of foreign partner countries – Germany and the Netherlands – the business quickly felt the specific technological needs of Lithuanian customers. This required new, self-created solutions: most of the technologies developed in Western European countries were adapted to the processing of corn silage raw material, whereas in Lithuania the use of such raw material, according to Biokona’s experts, was and still is unprofitable in biogas plants.
Thus, first, the nature of the raw materials generated in the Lithuanian agricultural and manufacturing sectors was taken into account and, based on them, the technological solutions operating in the market began to be adapted, while at the same time improving them and even developing completely new technologies – this benefited greatly from analysis of the specifics and operational characteristics of already existing equipment.
“We design and manufacture modular equipment such as biomethane production modules, pumping stations, boiler rooms, collector units, cogeneration plants, steam generators, and water treatment modules. All this equipment and control systems are modular, i.e., fully complete solutions that are mechanically and functionally tested before going to the client. This allows us to optimise production processes and labour costs and ensures the smooth and fast installation of such equipment in the object,” says Gerardas Žukauskas, Director of Commerce at Biokona.
The global crisis called for mobilisation and opened up new opportunities
Biogas equipment developed and produced by Lithuanians has proven to be in demand not only in our own country but also abroad: Biokona currently sells its products in Spain, Slovakia, Estonia, Latvia, and Poland. The company’s customers are companies that invest in the use of renewable energy sources for energy production. Important partners include Modus Group, AUGA, Continental, and Kurana.
Interestingly, the global market shocks and developments in recent years, which initially created a few challenges in Biokona’s business-important sectors and supply chains, soon opened up new opportunities that the company used not only to expand production but also to optimise the capacity of its newly built plant – during the technical design, it was decided to increase both the production and administrative areas.
According to Gerardas Žukauskas, Biokona’s Director of Commerce, in the short term, inflation, the cost of materials and equipment, and the extension of delivery deadlines really posed huge challenges to the company’s projects, but compliance with commitments to customers remained a key priority: “With the help of our clients, we solved the challenges that arose, and we fulfilled our obligations. Of course, this required higher costs, team concentration, and great effort. But, in the long term, this crisis brought more certainty: all of Europe realised that we cannot rely on imported fuels from hostile countries, so we need to expand the Green Deal and provide ourselves with green energy. This is exactly what we help with by the construction of biogas plants and the production of biomethane, electricity generation equipment for the production of renewable energy from local, renewable, and waste sources.
Developing their own unique solutions tailored to the EU strategy
Biokona’s activities are not limited to modular equipment for biogas plants, but also solutions for other agro and energy sectors are being developed and produced: modular automated gas or liquid fuel boilers, water heating or steam boilers, gas compressor stations, water lift stations, modular refrigeration units, or modular dryers.
“We try to adapt our products to the EU strategy, which is based on ecology and circular economy principles in industry and agriculture. This is why we are involved not only in manufacturing but also in technology development processes,” says Gerardas Žukauskas, Director of Commerce.
In implementing innovations, they also cooperate with Lithuanian higher education institutions and institutes, as well as with technology development leaders of European partners. For example, experimental tests of biogas treatment technologies were carried out together with the Lithuanian Energy Institute; the production of equipment for the sterilisation of animal by-products and other waste from the food industry; a specific dryer with a capacity of 4 MW was produced and uses biogas or biomethane as fuel.
More than one and a half million euros for the new production base
After completion of the new factory, all this activity will move from the old Biokona premises to the planned new production base and offices in the territory of the Kaunas FEZ: the complex will consist of 600 sq. m. administrative premises and 900 sq. m. production premises.
The need for development was dictated by both growing production volumes and strategic plans of the company to expand to foreign markets and act as its technology leaders, which requires modern production facilities and high-quality working conditions for employees. The Kaunas FEZ territory was chosen due to its very convenient location, ready infrastructure and attractive business environment as well as economic conditions and preferences.
Currently, the company employs thirty employees, and half of them have higher technical education and extensive experience in the sector – technologists, project managers, production managers, operating managers, engineers, and designers. The rest of the team includes highly qualified welders, locksmiths, installers, who qualitatively perform module manufacturing and assembly works necessary for carrying out very complex works or creating the technology needed for a specific client.
“Our area is so niche that there are no trained professionals in the market. We are constantly looking for talented employees with similar backgrounds, whose adaptation and training can take between six months and two years,” note representatives of Biokona.
It is planned to invest €1.6 million in the construction of the new factory and office building. The factory is being built with room for future development, and currently, Biokona is investing in technology and distribution development in other countries.
“The Kaunas FEZ has become the home of manufacturing companies since its inception – it is no accident that producers make up most of the companies established here. It is even more encouraging that practically all of them are innovative, high-value-added, and R&D businesses. This is also in line with the goals set by the company managing the Kaunas FEZ – to bring together a strong business community in this territory, attracting the most vibrant Lithuanian companies and advanced foreign businesses,” says Vytautas Petružis, CEO of the company managing the Kaunas FEZ.
Currently, the Kaunas FEZ has attracted 54 foreign and Lithuanian capital investors operating in the service and manufacturing sectors, applying advanced technological solutions, and developing innovative products. Since the first investor in 2005 until today, the territory of Kaunas FEZ has created more than 9,100 jobs and attracted more than €1.35 billion in direct investment.