Traditional electricity generation techniques are lately facing a lot of backlash, the impact of which has been felt on biogas market size. Biogas being a renewable source of energy, has been gaining immense traction, owing to the increasing concerns subject to the robust increase in carbon emission content in the atmosphere. In order to combat the same, governments worldwide are also undertaking efforts to diversify the energy portfolio, which will augment biogas industry share in the years ahead.

The rising demand for highly efficient and well-planned waste management practices will also serve to increase the requirement of biogas plants and the like. Driven by the easy availability of feedstock, in tandem with a favorable regulatory spectrum, biogas market size is projected to cross USD 110 billion by 2025.

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Anaerobic process of manufacturing biogas to gain substantial traction

Anaerobic digestion process is likely to emerge as one of the most commonly used processes for biogas production. As per estimates, anaerobic biogas market size is anticipated to depict a commendable increase on account of the rising demand for efficient wet residual biomass treatment.

The anaerobic digestion biological process is essentially based on the conversion process of organic waste into methane through a biochemical procedure. The ability of the anaerobic process to use semi-solid AD residue like an organic fertilizer is likely to drive the segment growth.

Installation of biogas plants with a capacity of < 500 kW to garner momentum

Given the rising number of investments infused in small scale biogas plants to be set up in residential and commercial spaces, the deployment of < 500 kW biogas units is likely to depict an increase. The current inclination toward the decentralization of energy systems is also likely to propel the demand for biogas plants with the < 500 kW capacity.

Another important factor driving the demand for < 500 kW biogas industry is the shifting perception of the consumer toward energy efficiency.

Organic waste substrates to depict substantial rise in demand

The substrates used for biogas units mostly span energy crops, organic waste, sewage sludge, and more. Of these, organic waste is anticipated to garner substantial traction, given the rising importance being imparted to resource recovery practices. The increasing focus laid on biogas production upsurge by means of dependency on biodegradable waste on account of increasing waste generation will further augment organic waste biogas market outlook.

With a consistent increase in population worldwide, the accumulation of waste products has come to depict a major increase, which will further propel the demand for organic waste based biogas units.

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Pre-hydrolysis technology to exhibit robust demand

On the basis of technology, biogas market is categorized into ‘with pre-hydrolysis’ and ‘without pre-hydrolysis’. Most end-users however, prefer to favor the installation of the technology, owing to its enhanced features. Using pre-hydrolysis technology aids improved energy recovery, reduces the manufacturing of biosolids, and lowers costs overall.

Increasing demand for highly enhanced sludge stabilization measures will also provide an impetus to the installation of biogas units with pre-hydrolysis technology.

Commercial establishments likely to install biogas plants on a large scale

While residential establishments are quite responsive when it comes to biogas plant installation, it has been predicted that in the years to come, commercial sector may depict more of an inclination toward setting up biogas based units. As per estimates, biogas market size from commercial applications is expected to register a CAGR of 7% through 2025. This growth can be attributed to the high energy density and the convenient availability of feedstock, which have enabled the installation of biogas plants across retail stores, institutions, and hospitals.

The increasing preference toward biogas by commercial spaces can also be credited to the rising energy costs in tandem with the increasing implementation of environmental norms subject to RE utilization.

Europe to emerge as a pivotal investment destination through 2025

Europe is expected to crop up as the revenue pocket of choice for most stakeholders in biogas market. This can be attributed to the increasing number of investments being made toward modernizing sludge treatment and disposal systems.

Increasing awareness toward the significance of effective biological waste management and the importance of lowering carbon footprints will increase the demand for biogas units across European nations. Not to mention, the continent also boasts of lending substantial focus toward improving energy security alongside the increasing adoption of a supportive biogas development policy, which will further augment the regional industry expansion.

Some of the important companies partaking in biogas market share include BTS-biogas, ENGIE S.A., KOBIT GmbH, Scandinavian Biogas, WELTEC, Xergi A/S, PlanET Biogas, Agrinz, AB Holding, Gasum, Viessmann, BIO-EN Power, BDI, Agrivert Ltd, Envitech Biogas, IES Biogas, Zorg Biogas, and Agraferm.

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