Biomass Market By Type (Solid, Liquid, Gaseous) , By Technology (Combustion, Gasification, Anaerobic Digestion, Others) By Application (Power Generation, Heat Production, Biofuels, Combined Heat and Power (CHP)) By End-Use (Residential, Commercial, Industrial) : Global Opportunity Analysis and Industry Forecast, 2024-2033
Biomass Market
The biomass market was valued at $59.0 billion in 2023 and is projected to reach $121.0 billion by 2033, growing at a CAGR of 7.5% from 2024 to 2033.
Biomass is an organic renewable substance obtained from plants and animals. It is a versatile source for the generation of energy in the form of heat, electricity, or transportation fuel. The conversion of biomass into energy is accomplished through various processes such as direct combustion, biological conversion, chemical conversion, or thermochemical conversion.
Rise in concerns regarding climate change and increase in awareness about the harmful impact of fossil fuels are the major drivers of the biomass market. In addition, diverse benefits offered by the projects associated with biomass such as enhanced energy security, diversified supply of energy, and stimulation of rural economies propel the development of the market. A prominent trend dominating the biomass market currently is assimilation with other renewable resources for the generation of hybrid energy systems. The combination of biomass with other renewable energy resources such as wind or solar offers a highly environmentally beneficial alternative for electrification, particularly in small & rural areas.
However, the intermittent supply chain of biomass due to seasonal availability and high dependence on climate hampers the growth of the market. Furthermore, the initial capital investment required for the setup of biomass production infrastructure restrains the growth of the market in underserved areas. On the contrary, as the global energy sector aims to achieve net zero emission (NZE) by 2050, the biomass market is anticipated to witness several remunerative opportunities in coming years. Energy generated from biomass is gaining prominence in the global energy sector, with around 6% of the total supply in the form of bioenergy. The International Energy Agency suggests increasing bioenergy contribution by 8% by 2030 to achieve the NZE milestone. Hence, the biomass market is poised for a bright future with lucrative growth opportunities.
Segment ReviewThe biomass market is segmented into type, technology, application, end use, and region. On the basis of type, the market is divided into solid, liquid, and gaseous. As per technology, it is divided into combustion, gasification, anaerobic digestion, and others. By application, it is classified into power generation, heat production, biofuels, and combined heat & power (CHP). Depending on end use, it is categorized into residential, commercial, and industrial. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Key FindingsOn the basis of type, the solid segment is expected to dominate the market during the forecast period.
As per technology, the combustion segment is predicted to acquire a high stake in the market by 2033.
By application, the combined heat & power (CHP) segment is projected to be the highest shareholder throughout the forecast period.Depending on end use, the industrial segment is anticipated to account for a high market share during the forecast period.
Region wise, Asia-Pacific is expected to be the highest revenue generator by 2033.
Competition AnalysisThe major players of the global biomass market include Enviva, Drax Global, RWE, ANDRITZ, ENERGEX PELLET FUEL, INC., German Pellets GmbH, Viridis Energy Inc, Fram Fuels, Bioenergy International, and Verdo. These major players have adopted various key development strategies such as business expansion, new product launches, and partnerships, to strengthen their foothold in the competitive market.
Key Market SegmentsBy TypeSolid
Liquid
Gaseous
By TechnologyCombustion
Gasification
Anaerobic Digestion
Others
By ApplicationPower Generation
Heat Production
Biofuels
Combined Heat and Power (CHP)
By End-UseResidential
Commercial
Industrial
By RegionNorth America
U.S.
Canada
Mexico
Europe
France
Germany
Italy
Spain
UK
Rest of Europe
Asia-Pacific
China
Japan
India
South Korea
Australia
Rest of Asia-Pacific
LAMEA
Brazil
South Africa
Saudi Arabia
Rest of LAMEA
Key Market PlayersEnviva
Drax Global
RWE
ANDRITZ
ENERGEX PELLET FUEL, INC.
German Pellets GmbH
Viridis Energy Inc
Fram Fuels
Bioenergy International
Verdo