Under the scenario of an increasing sharing of renewable energy, Power to Gas technology may offer an effective and valuable solution for surplus energy management, accounting for a large and long-term chemical storage. In the present study an innovative Power to Synthetic Natural Gas (SNG) process has been described and investigated from a techno-economic and environmental point of view. The configuration is based on a methanation process, directly applied on flue gas stream thus acting both as a CO 2 capture and sequestration technology and as renewable energy storage mechanism. Reacting hydrogen is produced via water electrolysis powered by surplus of renewable energy, normally low-priced otherwise wasted. With a reference capacity factor around 4000 h/y, the resulting SNG cost is 0.34 €/Nm3 based on a carbon tax equal to 30 €/t CO 2 . The obtained results are attractive and consistent with the fact that future investment cost for water electrolysis is decreasing accordingly.