Organic Biogas Market By Source (Poultry and livestock, Agriculture Waste, Landfill Gas, Others), By Application (Power Generation, Cooking, Combined Heat and Power, Clean Mobility): Global Opportunity Analysis and Industry Forecast, 2021-2031
The global organic biogas market size was valued at $10.7 billion in 2021 and is projected to reach $19.7 billion by 2031, with a CAGR of 6.4% from 2022 to 2031.
Biogas refers to a combination of gases formed through the anaerobic decomposition of organic matter such as plant residue, municipal waste, agricultural waste, and food waste. This gas consists of carbon dioxide, methane, and moisture, as well as a small amount of hydrogen sulfide. It is considered a renewable energy source, as it is dependent on organic waste for the generation of biogas. Biogas can be used directly for heating, boilers, chillers, and drying, or it can be converted to cleaner gas and utilized as a vehicle fuel or sold through natural gas pipelines. In addition, it can be burnt in an engine generator to generate energy, which can be used on the farm or sold to the grid. Another advantage of anaerobic digestion is the wide range of by-products that can be made from the solids in the digestate (digester effluent). Fertilizers, livestock bedding, and soil amendments are examples of products that can be utilized on the farm or marketed.
Anaerobic digestion further helps facilities diversify their revenue and enhance their resiliency to market volatility by maximizing the value of manure. Energy Information Administration (EIA) estimates that in 2020, 20 large dairies and livestock operations in the U.S. produced a total of about 173 million kWh (or 0.17 billion kWh) of electricity from biogas. Thus, multiple benefits associated with biogas derived from livestock manure notably contribute toward the growth of the overall market. The major driver of the global organic biogas market is due to growing adoption and popularity of renewable energy sources. The low production cost and production of organic fertilizer as a by-product could also be seen as a major market driver.
Biogas currently accounts for a very low amount of natural gas demand, but an increase in the number of government initiatives to encourage its use in natural gas networks and transportation decarbonization are expected to have a positive impact on the development of the market.Manure from cattle, buffaloes, pigs, poultry, and other animals is referred to as livestock manure. A 1,000-pound dairy cow produces 80 pounds of dung every day on average. Before being sprayed into fields, this manure is frequently held in holding tanks. Manure not only produces methane as it decomposes however it may also contribute to nutrient overload in streams. According to the Environmental Protection Agency (EPA), 8,241 animal biogas systems have the capacity to create approximately 13 million megawatt-hours of electricity per year. Agricultural wastes include stalks, straws, and plant trimmings. Some residues are left on the field to retain soil organic content and moisture as well as prevent erosion.
Higher agricultural yields, on the other hand, result in more residues, which can be removed sustainably. Sustainable harvest rates vary depending on the agricultural grown, soil type, and climate factors. The U.S. Department of Energy estimates that there are currently around 104 million tons of agricultural leftovers available for $60 per dry ton, based on sustainable increasing rates. Agricultural residues are usually co-digested with other organic waste, as their high lignin content makes them difficult to break down. The presence of the above-mentioned initiatives has driven market growth. North America also accounted for a significant share of the global market revenue in 2021. The organic biogas market in North America is experiencing enormous growth due to the presence of demand for liquid fuel in the transportation and power generation industry. The presence of an increase in awareness related to an eco-friendly economy has led to the utilization of waste resources in this region to generate power.
The presence of investments among the major companies to break through various technologies to commercialize the biogas production plants, thereby providing lucrative growth opportunities to North America. The above factors drive the growth of the organic biogas market in this region during this forecast period. On the other hand, the market in the Asia Pacific is estimated to register the fastest growth rate over the forecast period. The organic biogas market is segmented on the basis of source, application, and region. By source, the market is fragmented into poultry & livestock, agriculture waste, landfill gas, and others. Landfill gas segment is further classified into electricity, direct use, combined heat & power, and alternate fuels. Direct use segment is further categorized into boilers, direct thermal & leachate evaporation, and others.
In addition, by application, the market is segregated into power generation, cooking, combined heat & power, and clean mobility. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA. Presently, Europe accounts for the largest share of the market, followed by North America, Asia-Pacific, and LAMEA. The major companies profiled in this report include Air Liquide, Atlas Copco, Biofrigas Sweden AB, CarboTech, DGE GmbH, DMT Environmental Technology, Dreyer & Bosse (Wolf GmbH), EnviTec, Guild Associates Inc., and Xebec Adsorption.
Due to an increase in the demand for eco-friendly and the presence of abundant raw materials such as organic waste, deteriorating levels of petroleum reservoirs, increased awareness about the technical expertise related to the conversion process among the industrialists, and growth of the transportation sector in developing countries, such as India and China, drive the organic biogas market. The above-mentioned factors will have a positive impact on the demand for the organic biogas market.
Further, growth strategies such as expansion of storage capacities, acquisition, partnership, and research & innovation in the optimization, and improvement in the efficiency of the conversion of waste to biogas have led to attaining key developments in the global organic biogas market trends.
Key Benefits For Stakeholders
This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the organic biogas market analysis from 2021 to 2031 to identify the prevailing organic biogas market opportunities.
The market research is offered along with information related to key drivers, restraints, and opportunities.
Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
In-depth analysis of the organic biogas market segmentation assists to determine the prevailing market opportunities.
Major countries in each region are mapped according to their revenue contribution to the global market.
Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
The report includes the analysis of the regional as well as global organic biogas market trends, key players, market segments, application areas, and market growth strategies.
Key Market Segments
By Source
Poultry and livestock
Agriculture Waste
Landfill Gas
Application
Electricity
Direct Use
Combined Heat and Power
Alternate Fuels
Others
By Application
Cooking
Power Generation
Combined Heat and Power
Clean Mobility
By Region
North America
U.S.
Canada
Mexico
Europe
Germany
France
Italy
Spain
UK
Rest of Europe
Asia-Pacific
China
Japan
India
South Korea
Rest of Asia-Pacific
LAMEA
Brazil
Turkey
South Africa
Rest of LAMEA
Key Market Players
L'Air Liquide S.A.
Atlas Copco
Biofrigas Sweden AB
Carbotech
DGE GmbH
dmt environmental technology
Dreyer & Bosse (Wolf GmbH)
EnviTec
Guild Associates Inc.
Xebec Adsorption Inc.
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