June 23, 2024
Biogas Market

The Global Biogas Market Is Driven By Increasing Adoption Of Renewable Energy Sources

Biogas is produced through the process of anaerobic digestion of organic matter such as food waste, agricultural residue, sewage sludge, etc. and is composed primarily of methane and carbon dioxide. Biogas can be used as natural gas for heating, cooking and power production. It is carbon neutral and a sustainable source of renewable energy. Several countries across the globe are transitioning from fossil fuels toward renewable sources of energy to reduce greenhouse gas emissions. The increasing need for cleaner and sustainable energy sources along with favorable government policies and incentives promoting renewable energy are driving the adoption of biogas.

The global Biogas Market is estimated to be valued at US$ 65.5 Mn in 2023 and is expected to exhibit a CAGR of 6.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the key trends in the biogas market is the increasing focus on expansion and diversification of feedstock for biogas production. Traditionally, agricultural waste and waste from livestock farms have been the major feedstock for biogas production. However, to scale up production, newer feedstock such as food waste, sewage sludge, industrial waste etc. are being explored. Several biogas plants across Europe and North America are now accepting food waste directly from households, restaurants, and food processing units. This is helping divert more organic waste from landfills to biogas production facilities. Diversification of feedstock ensures continuous and stable supply of raw materials for biogas plants.

Porter’s Analysis

Threat of new entrants: The biogas market has moderate barriers to entry due to high capital requirements for infrastructure installation and need for technical expertise.

Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes like natural gas and other renewable sources.

Bargaining power of suppliers: Suppliers have low bargaining power due to availability of alternative raw material sources for biogas production.

Threat of new substitutes: Threat from substitutes is low as biogas offers advantages over substitutes in terms of being carbon neutral and sustainable.

Competitive rivalry: The global biogas market is moderately competitive due to presence of numerous regional and international players.

Key Takeaways

The Global Biogas Market Demand  is expected to witness high growth over the forecast period.

Regional analysis: Asia Pacific region holds the largest share of the global biogas market and is expected to maintain its dominance during the forecast period. China accounts for over half of the total biogas production in Asia Pacific due to presence of largest livestock population and various government schemes promoting biogas production from animal waste. India is also a major market and fastest growing nation due to rapid infrastructure development for rural electrification using biogas.

Key players: Key players operating in the biogas market are Aeolos Wind Energy Ltd, BORNAY, Braun Windturbinen GmbH, Britwind, EasyWind GmbH, Endurance Wind Power, ENESSERE S.r.l., Fortis Wind BV, iQron GmbH, PSW-Energiesysteme GmbH, Ryse Energy, SD Wind Energy Limited, TUGE Energia, Wind Energy Solutions B.V., and XZERES Wind Europe Ltd. ENESSERE S.r.l. and BORNAY are market leaders based in Asia Pacific region.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it