Global Biogas Plant Market Trends, Forecast Report 2025-2037
Biogas Plant Market size is anticipated to expand from USD 4.36 billion to USD 13.21 billion, demonstrating a CAGR of around 8.9% throughout the forecast period, from 2025 to 2037. In the year 2025, the industry size of biogas plant is evaluated at USD 5 billion.
The market expansion can be attributed to the rising efforts to combat air pollution all across the world. According to the World Health Organization (WHO), in 2024 91% of the world's population resides in places where the air quality index exceeds the WHO guidelines. Additionally, many governments around the globe are trying to sequester carbon emissions. According to the World Nuclear Association in 2024, global emissions of CO2 from burning fossil fuels was 34 billion per year. As fossil fuels are limited in quantity and are widely consumed for various purposes, the emphasis is on alternative environment-friendly fuels. This is another factor considered to drive market in the upcoming years.
Biogas Plant Sector: Growth Drivers and Challenges
Growth Drivers
- Increasing awareness for inorganic fertilizer: The biofertilizer obtained from biogas technology has the potential to enhance crop production by following sustainable agriculture practices. According to Food and Agriculture Organization in 2022, the worldwide usage of inorganic fertilizer in agriculture was projected at 185 million tons.
- Target for greenhouse gas abetment and rising government investments: According to the United Nations in June 2024, 107 countries are responsible for 82% of worldwide GHG emissions. These countries have also adopted net-0 pledges and made national action plans. World Biogas Association suggests that 18-20% of global emissions can be reduced with the usage of biogas.
- The rising quest to curb carbon emissions is propelling the market expansion during 2025-2037.
Challenges
- High investment to establish plant: The amount of funds needed to determine construction expenses is very significant. A plant's construction costs cover labor, land, materials, engineering, and equipment. Numerous countries throughout the world have contributed financially to the construction of these institutions. The supply chain is also expensive and time-consuming since it involves gathering, sorting, processing, and distributing feedstock, operating and maintaining plants, and selling and distributing the gas generated.
Biogas Plant Market: Key Insights
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
8.9% |
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Base Year Market Size (2024) |
USD 4.36 billion |
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Forecast Year Market Size (2037) |
USD 13.21 billion |
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Regional Scope |
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Biogas Market Segmentation
Type (Small-Scale, Medium-to-Large Scale Digesters)
The biogas plant market from the small-scale segment is estimated to have significant growth. For instance, according to the Ministry of New and Renewable Energy in India, a total of 4.31 million family-type biogas plants have been set up in the country. Additionally, according to the International Energy Agency, in China, policies have supported the installation of household-scale digesters in rural areas to increase access to modern energy. Other than this, according to the American Biogas Council in 2023, almost 110 stand-alone systems were installed that digest food waste and 580 landfill gas projects. There was USD 1.8 billion of the budget was also infused for installing new projects.
Application (Electricity Generation, Biofuel, Heat Generation)
The electricity generation segment is poised to grow at the highest share by the end of 2037 due to rising demand for clean energy. According to the UN Climate Change Conference, by 2030, 7.1 TW of clean energy capacity will be required to generate electricity. In pursuit of this, various countries are installing biogas plants for electricity generation. According to the International Energy Agency, 18 GW of installed power generation currently operates on biogas worldwide.
Our in-depth analysis of the global biogas plant market includes the following segments:
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Type |
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Application |
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Feedstock |
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Customize this ReportBiogas Plant Industry - Regional Synopsis
APAC Market Forecast
The Asia Pacific biogas plant market is set to account for the largest revenue share of 30% by 2037, backed by ample availability of organic waste in countries, namely India, China, and Thailand, along with growing government initiatives. According to data published by ASEAN Connectivity, waste generated in Asia Pacific is anticipated to reach 1.1 trillion in 2030.
According to the Renewable Energy Institute in Japan, total power generation from bioenergy was 36.1 TWh in the year 2020. Additionally, in 2024, the government contributed USD 60 million to establish the 1st phase of the Japan Biodiversity Fund. Other than this, in a report published by Down to Earth in 2023, the government in India allocated USD 100 billion to install 500 compressed biogas plants. Furthermore, according to IEA Bioenergy China has more than 100,000 biogas plants at present
Europe Market Forecast
The European industry is predicted to gather the largest share by the end of 2037, ascribing to rising spending by key market players to build modern biogas production facilities in the region. According to the European Biogas Association, the number of biogas plants in Europe in 2021 was 1,023. It has been estimated that the total amount of biomass generated in Europe in 2024 was between 118 and 138 million tons of biowaste annually. Also, according to the Renewable Energy Agency, in 2022, biomass contributed to 7.7% of the Germany energy mix. Germany is home to 60% of Europe’s biogas plants.
Companies Dominating the Biogas Plants Landscape
- Ameresco Inc.
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicator
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysi
- Engie SA
- Air Liquide SA
- Gasum Oy
- EnviTec Biogas AG
- Future Biogas Limited
- AB HOLDING SPA
- IES BIOGAS S.r.l
- PlanET Biogas Global GmbH
- RENERGON International AG
The competitive landscape of the biogas plants market is rapidly evolving as established key players, automotive giants and new entrants are investing in establishing new biogas plants. Key players in the market are focused on developing new technologies and products catering to the stringent regulatory norms and consumer demand. These key players are adopting several strategies such as mergers and acquisitions, joint ventures, partnerships, and novel product launches to enhance their product base and strengthen their market position. Here are some key players operating in the global market:
In the News
- In October 2024, Suzuki Motor Corporation worked with the National Dairy Development Board to make biogas plants in cooperation with the dairy industry in India. The company agreed with 2 prominent dairy industry unions, Dudhsagar and Amul Dairy to set up new biogas plants.
- In April 2024, Air Liquide announced its biomethane capacities in the U.S. with 2 new production units. These units are located in Holland Township, Michigan, and Center Township, Pennsylvania. The plants will follow a circular economy strategy and contribute to the emergence of a low-carbon society.
Author Credits: Dhruv Bhatia
- Report ID: 3204
- Published Date: Jan 29, 2025
- Report Format: PDF, PPT
