Global Biogas Market Insights Forecasts to 2033

• The Global Biogas Market Size was Valued at USD 47.70 Billion in 2023
• The Market Size is Growing at a CAGR of 5.54% from 2023 to 2033
• The Worldwide Biogas Market Size is Expected to Reach USD 81.79 Billion by 2033
• Asia-Pacific is Expected to Grow the fastest during the forecast period.

The Biogas Market Size is Anticipated to Exceed USD 81.79 Billion by 2033, Growing at a CAGR of 5.54% from 2023 to 2033. 

The government initiatives and schemes that support clean energy sources can boost the market growth. 

BIOGAS MARKET REPORT OVERVIEW

The breakdown of organic materials, such as food scraps and animal manure, produces biogas which is an ecologically safe and renewable energy source. It is primarily composed of methane (50–70%) and carbon dioxide (30–50%). It also contains trace amounts of hydrogen, hydrogen sulfide, nitrogen, ammonia, and various other gases. Biogas is classified as a renewable energy source since it is made from organic matter such as agricultural waste, municipal solid waste, sewage, and food waste, all of which are continuously created by natural processes. Furthermore, the production of biogas does not deplete scarce resources, making it a renewable and environmentally benign energy source.

The increased emphasis on sustainable and renewable energy sources, as well as the shift toward cleaner alternatives to traditional fossil fuels, would help to expand the biogas industry overall. The implementation of supportive government regulations, large-scale investments by diverse firms around the world, and agreements to reduce greenhouse gas emissions would drive the company landscape. The transition from coal-based to greener energy sources is expected to increase demand for biogas for electricity generation over the forecast period. Furthermore, increased awareness of greenhouse gas emissions in the transportation industry, as well as the growing need to minimize reliance on fossil fuels, are expected to push up demand for biogas as a vehicle fuel.

The Union Government's GOBARdhan initiative, which aims to transform "Waste to Wealth" using a "Whole of Government" approach, has begun to stimulate investment and yield positive results by creating a nurturing ecosystem for Compressed Biogas (CBG)/Biogas through a slew of policy facilitators and attractive rewards.

Indore Smart City launched a one-of-a-kind project to establish two bio-methanation plants under the PPP model, with 15 TPD and 20 TPD capacity, at a cost of Rs 6.5 and 9 crores, respectively, using Rs 10 crore in Viability Gap Funding (VGF). The goal of installing these plants was to promote cleaner fuels in public transportation and reduce air pollution. Furthermore, the Canadian government has approved funding of around USD 116,800 for the Canadian Biogas Association (CBA) to boost sustainable agricultural growth.

Report Coverage

This research report categorizes the market for the global biogas market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the global biogas market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the global biogas market.

DRIVING FACTORS:

The rising focus on waste-to-renewable energy transformation is boosting market expansion.

The power sector relies on biogas as a primary source of electricity generation, which contributes to meeting the global objective of switching to clean energy. Furthermore, the current migration of people from rural to urban regions is producing a substantial growth in energy demand in major cities.

The Increasing concerns about the environment are expected to boost market growth.

The growing carbon and greenhouse gas emissions have caused alarm in several countries throughout the world. To address this, governments in various nations have taken a variety of initiatives, including expanding renewable energy in the energy mix, decarbonizing the automotive industry, and creating biogas. Biogas production reduces greenhouse gas emissions by trapping methane that would otherwise be discharged into the environment as biological waste. Furthermore, biogas generation stimulates the use of agricultural wastes and livestock dung as fuel, providing farmers with an extra cash stream while also reducing waste from farming activities.

RESTRAINING FACTORS

The large expenditures for biogas plant establishment could impede market growth.

Biogas plants demand significant capital commitment. The plant requires acres of land. Additionally, the costs of equipment, feedstock materials, engineering, and personnel are considerable. Purchasing, storing, and sorting feedstock is a difficult and expensive operation. Furthermore, the cost of plant operation as well as the sale and distribution of this gas is high. As a result, the substantial capital investment required to start up and operate plants might impede market expansion.

Market Segmentation

The biogas market share is classified into feedstock and application.

The organic residue & waste is having the biggest market share during the forecast period.

Based on feedstock, the biogas market is classified into organic residue & waste, municipal & sewage, agricultural waste, and others. The organic garbage produces methane when it decomposes. Methane is a potent greenhouse gas that traps heat in the atmosphere more efficiently than carbon dioxide. Organic waste can be collected and used to make biogas, a renewable form of energy, which reduces greenhouse gas emissions. The sources of organic residue which include biological sludge, municipal solid waste, agricultural residues, animal farm waste, and others are widely used in the production of biogas. The anaerobic digestion of organic waste provides a versatile energy source such as methane can be used to generate renewable heat, and electricity, helping to reduce greenhouse gas emissions and reduce climate change.

The electricity generation segment is most dominating over the forecast period.

Based on application, the biogas market is classified into electricity generation, heating, combined heat and power, and others. Biogas is an important source of electricity generation in the power sector, helping to achieve the worldwide goals of the clean energy transition. Biogas-powered energy generation is a well-established technology that is being widely adopted around the world. CHP engines are frequently utilized for electricity generation, heat recovery, and utilization. Furthermore, developing regions such as Asia-Pacific, South America, and Africa are formulating plans and strategies to enhance the use of biogas in their energy-generating portfolio. For instance, Ghana's new 400kW plant has been turned on at Gyankobaa in Atwima Nwabiagya South Municipality, Ashanti. The 400-kilowatt production plant, known as the Hybrid-PV-Biogas-Pyrolysis-Plant, would turn 12 tonnes of garbage into bio-fertilizer and energy each day, allowing local farmers to obtain organic manure.

Regional Segment Analysis of the Global Biogas Market

• North America (U.S., Canada, Mexico) 
• Europe (Germany, France, U.K., Italy, Spain, Rest of Europe)
• Asia-Pacific (China, Japan, India, Rest of APAC)
• South America (Brazil and the Rest of South America) 
• The Middle East and Africa (UAE, South Africa, Rest of MEA)

Europe has the biggest share of the biogas market throughout the forecast period.

The expansion of the biogas business in Europe is linked to technological breakthroughs and significant expenditures in the refinery industry. Furthermore, these companies are proactively planning to increase their share of feedstock in the upcoming years. The rise of Italy's biogas business is being driven by government measures targeted at decarbonization. In several major nations such as Germany, Italy, and France, biogas expansion has been largely driven by the agricultural industry, and biogas is primarily used for heat and electricity production, whereas in Sweden, Switzerland, and Finland, the majority of production is based on waste from municipalities streams such as sewage and organic waste.

The Asia-Pacific is the fastest growing region during the projected timeframe.

This is attributed to rapid industrial expansion, increased consumer interest in biogas, and high project investment prices. Furthermore, China's biogas market dominated the market, while India's biogas market was the fastest-growing in the Asia-Pacific region. Developing economies, such as India and China, are enacting strict rules to reduce their carbon footprint, which is a key factor driving biogas market expansion. According to the Indian ministry, 1.45 lakh metric tons of trash are generated each day in India. Only 53% of waste was handled under the Prime Minister's flagship program, the Swachh Bharat mission. The center’s goal is to achieve 100% scientific solid waste management and eliminate open defecation in the country.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the global biogas market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Agraferm Technologies AG
• BDI - Bioenergy International GmbH
• Gasum Oy
• PlanET Biogas Global GmbH
• Xergi A/S
• AB Holding SpA
• ENGIE
• IES Biogas
• CH4 Biogas
• Krieg & Fischer Ingenieure GmbH
• Zorg Biogas AG
• BIO-EN Power Inc.
• OKOBIT GmbH
• Agrivert Ltd.
• EnviTec Biogas AG
• MAKEEN Energy
• Anaergia
• Scandinavian Biogas Fuels International
• Viessmann
• Agrinz Technologies GmbH
• WELTEC BIOPOWER
• BTS-biogas
• Others

Key Market Developments

• In May 2022, Enertech Fuel Solutions announced plans to invest INR 600 crore in its compressed biogas (CBG) business. The investment in the CBG industry is scheduled to be made next year across India.

• In January 2022, BioConstruct stated that it had inked a power purchase agreement (PPA) with Next Kraftwerke, a Cologne-based electricity trading company in Germany. According to the deal, Next Kraftwerke will market 40,000 MWh of biogas electricity in the first quarter of 2022. BioConstruct generates electricity at its biogas plants and clients' facilities. The fixed-price PPA covers 86 biogas CHPs.

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Market Segment

This study forecasts revenue at global, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the global biogas market based on the below-mentioned segments: 

Global Biogas Market, By Feedstock

• Organic Residue & Waste
• Municipal & Sewage
• Agricultural Waste
• Others

Global Biogas Market, By Application

• Electricity Generation
• Heating
• Combined Heat and Power
• Others

Global Biogas Market, By Regional

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Uk
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of the Middle East & Africa