Anaerobic Digestion Market Forecasts to 2030 – Global Analysis By Feedstock Type (Agricultural Residues, Sewage Waste and Other Feedstock Types), Capacity (Small-scale, Medium-scale and Large-scale), Offering, Digestion System, Application and By Geograph

Anaerobic Digestion Market Forecasts to 2030 – Global Analysis By Feedstock Type (Agricultural Residues, Sewage Waste and Other Feedstock Types), Capacity (Small-scale, Medium-scale and Large-scale), Offering, Digestion System, Application and By Geography


According to Stratistics MRC, the Global Anaerobic Digestion Market is accounted for $11.33 billion in 2024 and is expected to reach $23.34 billion by 2030 growing at a CAGR of 12.8% during the forecast period. Anaerobic digestion is a biological process where microorganisms break down organic matter in the absence of oxygen, producing biogas as a byproduct. This process occurs naturally in marshes, landfills, and the digestive systems of animals. In controlled environments, such as anaerobic digesters, it's harnessed to efficiently convert organic waste into valuable resources like biogas, which is primarily methane and carbon dioxide. The process also yields nutrient-rich digestate, which can be used as fertilizer.

According to the World Bank’s What A Waste 2.0 report, the world generates 2.01 billion tonnes of municipal solid waste yearly. Among that, nearly 33% of the waste is not managed in an environmentally safe manner. The report also estimates that global waste is projected to grow to 3.4 billion tonnes by 2050.

Market Dynamics:

Driver:

Feedstock availability

Feedstock availability is a crucial driver in the anaerobic digestion market, influencing its growth and sustainability. This driver focuses on the accessibility and abundance of organic materials suitable for anaerobic digestion processes, such as agricultural residues, food waste, and wastewater sludge. Regions with ample sources of these feedstocks tend to have more robust anaerobic digestion industries. Factors like agricultural practices, urbanization rates, and waste management policies impact feedstock availability. Increased awareness about environmental benefits and governmental support for renewable energy further drives efforts to secure diverse and consistent feedstock supplies for anaerobic digestion facilities.

Restraint:

Economic viability

The economic viability restriction is due to the challenges faced in making anaerobic digestion projects financially feasible. These constraints often stem from the high initial capital costs required for infrastructure setup, such as digesters and biogas purification systems. Additionally, fluctuations in feedstock availability and quality, as well as regulatory uncertainties, can affect profitability. Limited access to financing and insufficient revenue streams from biogas and digestate sales further compound the viability issue. Addressing these constraints securing long-term feedstock contracts, and implementing supportive policies and incentives to enhance revenue streams.

Opportunity:

Waste management solutions

The anaerobic digestion market presents a significant opportunity for waste management solutions due to its dual benefits of waste management and renewable energy generation. Anaerobic digestion utilizes organic waste to produce biogas, a renewable energy source, while also reducing greenhouse gas emissions. As environmental concerns grow and regulations tighten, the demand for sustainable waste management solutions like anaerobic digestion is on the rise. Additionally, government incentives and subsidies further bolster the attractiveness of this market. Waste Management Solutions can capitalize on this opportunity by investing in technological advancements, expanding infrastructure, and fostering partnerships to meet the increasing demand for eco-friendly waste management solutions.

Threat:

Competition from alternative technologies

Competition from alternative technologies poses a significant threat to the anaerobic digestion market. As sustainable energy solutions evolve, options like pyrolysis, gasification, and microbial fuel cells emerge as formidable contenders. These alternatives offer diverse benefits, such as higher energy efficiency, greater scalability, and broader feedstock compatibility. Moreover, they often require less initial investment and offer faster returns on investment compared to anaerobic digestion. Consequently, unless anaerobic digestion technology continues to innovate and address its limitations, such as long processing times and dependency on specific feedstocks, it risks losing market share to these alternative solutions.

Covid-19 Impact:

The COVID-19 pandemic significantly impacted the anaerobic digestion (AD) market in several ways. Lockdowns and restrictions disrupted waste supply chains, affecting feedstock availability for AD plants. Economic downturns also hindered investments in new AD projects, stalling market growth. Moreover, reduced energy demand during the pandemic decreased the incentive for biogas production, impacting AD profitability. However, increased focus on sustainability and renewable energy post-pandemic may drive renewed interest in AD as a viable waste management and energy generation solution.

The municipal waste segment is expected to be the largest during the forecast period

The municipal waste segment within the anaerobic digestion market has seen significant growth due to increasing awareness about environmental sustainability that has driven municipalities to seek eco-friendly waste management solutions. Anaerobic digestion provides a sustainable method to manage organic waste while generating renewable energy in the form of biogas. Additionally, advancements in anaerobic digestion technology have made it more efficient and cost-effective, further driving its adoption in municipal waste management. Furthermore, partnerships between municipalities and private sector players have facilitated the development of large-scale anaerobic digestion facilities to handle municipal waste effectively.

The electricity generation segment is expected to have the highest CAGR during the forecast period

The electricity generation segment within the anaerobic digestion market has experienced notable growth due to several factors. Anaerobic digestion facilities harness organic waste materials such as agricultural residues, food waste, and sewage sludge to produce biogas, primarily composed of methane. This biogas is then utilized in generators to produce electricity. The increasing focus on renewable energy sources and the need to reduce greenhouse gas emissions have propelled the demand for anaerobic digestion systems. Moreover, technological advancements have improved the efficiency and reliability of electricity generation from biogas. Government incentives and policies promoting renewable energy have also stimulated market growth.

Region with largest share:

The Asia-Pacific region has witnessed significant growth in the anaerobic digestion market due to several factors. Increasing awareness about environmental sustainability, coupled with stringent regulations on waste management and carbon emissions, has propelled the adoption of anaerobic digestion technologies. Governments across the region are incentivizing renewable energy projects, fostering a conducive environment for anaerobic digestion systems. Additionally, the abundance of organic waste sources, such as agricultural residues and municipal solid waste, further fuels market expansion. Technological advancements and investments in research and development are also driving efficiency improvements and lowering costs, making anaerobic digestion increasingly attractive in the region's energy landscape.

Region with highest CAGR:

In recent years, North America has witnessed significant growth in the anaerobic digestion market, driven by several factors. Increasing awareness about sustainable waste management practices, stringent environmental regulations, and rising demand for renewable energy sources have propelled the adoption of anaerobic digestion technologies across the region. Additionally, government incentives and subsidies aimed at promoting renewable energy projects have further stimulated market growth. This growth trend is expected to continue as North America prioritizes efforts towards reducing greenhouse gas emissions and achieving energy independence through innovative and eco-friendly solutions like anaerobic digestion.

Key players in the market

Some of the key players in Anaerobic Digestion market include AAT Abwasser- und Abfalltechnik GmbH, Agraferm GmbH, Agrinz Technologies GmbH, Biogen, BTS Biogas Srl/GmbH, Capstone Green Energy Corporation, ENGIE SA, EnviTec Biogas AG, Evoqua Water Technologies LLC, Hitachi Zosen Inova AG, Nature Energy, Renewi plc, Veolia Water Technologies UK and Zero Waste Energy, LLC.

Key Developments:

In May 2024, GTT Strategic Ventures and Engie New Ventures are dedicated to supporting sustainable technologies and innovative start-ups that help accelerate the energy transition. Established in 2017, CryoCollect specializes in the design and engineering of gas treatment, liquefaction, and separation technologies for gases such as biomethane, CO2, and hydrogen.

In February 2024, Aptar has entered into an enterprise agreement with Biogen Inc to operate and develop digital health solutions for neurological and rare diseases. As part of the agreement, Biogen will transfer ownership of select digital health solutions to Aptar Digital Health (Aptar). Through this collaboration, Aptar will provide a full range of capabilities including the product management, design, development and maintenance of software applications, secured cloud hosting, and customer and marketing support to Biogen.

Feedstock Types Covered:
• Agricultural Residues
• Sewage Waste
• Municipal Waste
• Industrial Waste
• Organic Waste
• Other Feedstock Types

Capacities Covered:
• Small-scale
• Medium-scale
• Large-scale

Offerings Covered:
• Hardware
• Services
• Software
• Other Offerings

Digestion Systems Covered:
• Thermophilic Anaerobic Digestion
• Multi-Stage Anaerobic Digestion
• Mesophilic Anaerobic Digestion

Applications Covered:
• Electricity Generation
• Biofertilizer Production
• Biogas Production
• Heat Generation
• Other Applications

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements


1 Executive Summary
2 Preface
2.1 Abstract
2.2 Stake Holders
2.3 Research Scope
2.4 Research Methodology
2.4.1 Data Mining
2.4.2 Data Analysis
2.4.3 Data Validation
2.4.4 Research Approach
2.5 Research Sources
2.5.1 Primary Research Sources
2.5.2 Secondary Research Sources
2.5.3 Assumptions
3 Market Trend Analysis
3.1 Introduction
3.2 Drivers
3.3 Restraints
3.4 Opportunities
3.5 Threats
3.6 Application Analysis
3.7 Emerging Markets
3.8 Impact of Covid-19
4 Porters Five Force Analysis
4.1 Bargaining power of suppliers
4.2 Bargaining power of buyers
4.3 Threat of substitutes
4.4 Threat of new entrants
4.5 Competitive rivalry
5 Global Anaerobic Digestion Market, By Feedstock Type
5.1 Introduction
5.2 Agricultural Residues
5.3 Sewage Waste
5.4 Municipal Waste
5.5 Industrial Waste
5.6 Organic Waste
5.7 Other Feedstock Types
6 Global Anaerobic Digestion Market, By Capacity
6.1 Introduction
6.2 Small-scale
6.3 Medium-scale
6.4 Large-scale
7 Global Anaerobic Digestion Market, By Offering
7.1 Introduction
7.2 Hardware
7.2.1 Monitoring & Control Equipment
7.2.2 Feedstock Pre-processing Equipment
7.2.3 Digesters Tanks
7.2.4 Biogas Handling Equipment
7.2.5 Other Hardware
7.3 Services
7.3.1 Operations & Maintenance Services
7.3.2 Designing & Installation Services
7.4 Software
7.4.1 Data Management Software
7.4.2 Simulation Software
7.4.3 Energy Modeling Software
7.5 Other Offerings
8 Global Anaerobic Digestion Market, By Digestion System
8.1 Introduction
8.2 Thermophilic Anaerobic Digestion
8.3 Multi-Stage Anaerobic Digestion
8.4 Mesophilic Anaerobic Digestion
9 Global Anaerobic Digestion Market, By Application
9.1 Introduction
9.2 Electricity Generation
9.3 Biofertilizer Production
9.4 Biogas Production
9.5 Heat Generation
9.6 Other Applications
10 Global Anaerobic Digestion Market, By Geography
10.1 Introduction
10.2 North America
10.2.1 US
10.2.2 Canada
10.2.3 Mexico
10.3 Europe
10.3.1 Germany
10.3.2 UK
10.3.3 Italy
10.3.4 France
10.3.5 Spain
10.3.6 Rest of Europe
10.4 Asia Pacific
10.4.1 Japan
10.4.2 China
10.4.3 India
10.4.4 Australia
10.4.5 New Zealand
10.4.6 South Korea
10.4.7 Rest of Asia Pacific
10.5 South America
10.5.1 Argentina
10.5.2 Brazil
10.5.3 Chile
10.5.4 Rest of South America
10.6 Middle East & Africa
10.6.1 Saudi Arabia
10.6.2 UAE
10.6.3 Qatar
10.6.4 South Africa
10.6.5 Rest of Middle East & Africa
11 Key Developments
11.1 Agreements, Partnerships, Collaborations and Joint Ventures
11.2 Acquisitions & Mergers
11.3 New Product Launch
11.4 Expansions
11.5 Other Key Strategies
12 Company Profiling
12.1 AAT Abwasser- und Abfalltechnik GmbH
12.2 Agraferm GmbH
12.3 Agrinz Technologies GmbH
12.4 Biogen
12.5 BTS Biogas Srl/GmbH
12.6 Capstone Green Energy Corporation
12.7 ENGIE SA
12.8 EnviTec Biogas AG
12.9 Evoqua Water Technologies LLC
12.10 Hitachi Zosen Inova AG
12.11 Nature Energy
12.12 Renewi plc
12.13 Veolia Water Technologies UK
12.14 Zero Waste Energy, LLC
List of Tables
Table 1 Global Anaerobic Digestion Market Outlook, By Region (2022-2030) ($MN)
Table 2 Global Anaerobic Digestion Market Outlook, By Feedstock Type (2022-2030) ($MN)
Table 3 Global Anaerobic Digestion Market Outlook, By Agricultural Residues (2022-2030) ($MN)
Table 4 Global Anaerobic Digestion Market Outlook, By Sewage Waste (2022-2030) ($MN)
Table 5 Global Anaerobic Digestion Market Outlook, By Municipal Waste (2022-2030) ($MN)
Table 6 Global Anaerobic Digestion Market Outlook, By Industrial Waste (2022-2030) ($MN)
Table 7 Global Anaerobic Digestion Market Outlook, By Organic Waste (2022-2030) ($MN)
Table 8 Global Anaerobic Digestion Market Outlook, By Other Feedstock Types (2022-2030) ($MN)
Table 9 Global Anaerobic Digestion Market Outlook, By Capacity (2022-2030) ($MN)
Table 10 Global Anaerobic Digestion Market Outlook, By Small-scale (2022-2030) ($MN)
Table 11 Global Anaerobic Digestion Market Outlook, By Medium-scale (2022-2030) ($MN)
Table 12 Global Anaerobic Digestion Market Outlook, By Large-scale (2022-2030) ($MN)
Table 13 Global Anaerobic Digestion Market Outlook, By Offering (2022-2030) ($MN)
Table 14 Global Anaerobic Digestion Market Outlook, By Hardware (2022-2030) ($MN)
Table 15 Global Anaerobic Digestion Market Outlook, By Monitoring & Control Equipment (2022-2030) ($MN)
Table 16 Global Anaerobic Digestion Market Outlook, By Feedstock Pre-processing Equipment (2022-2030) ($MN)
Table 17 Global Anaerobic Digestion Market Outlook, By Digesters Tanks (2022-2030) ($MN)
Table 18 Global Anaerobic Digestion Market Outlook, By Biogas Handling Equipment (2022-2030) ($MN)
Table 19 Global Anaerobic Digestion Market Outlook, By Other Hardware (2022-2030) ($MN)
Table 20 Global Anaerobic Digestion Market Outlook, By Services (2022-2030) ($MN)
Table 21 Global Anaerobic Digestion Market Outlook, By Operations & Maintenance Services (2022-2030) ($MN)
Table 22 Global Anaerobic Digestion Market Outlook, By Designing & Installation Services (2022-2030) ($MN)
Table 23 Global Anaerobic Digestion Market Outlook, By Software (2022-2030) ($MN)
Table 24 Global Anaerobic Digestion Market Outlook, By Data Management Software (2022-2030) ($MN)
Table 25 Global Anaerobic Digestion Market Outlook, By Simulation Software (2022-2030) ($MN)
Table 26 Global Anaerobic Digestion Market Outlook, By Energy Modeling Software (2022-2030) ($MN)
Table 27 Global Anaerobic Digestion Market Outlook, By Other Offerings (2022-2030) ($MN)
Table 28 Global Anaerobic Digestion Market Outlook, By Digestion System (2022-2030) ($MN)
Table 29 Global Anaerobic Digestion Market Outlook, By Thermophilic Anaerobic Digestion (2022-2030) ($MN)
Table 30 Global Anaerobic Digestion Market Outlook, By Multi-Stage Anaerobic Digestion (2022-2030) ($MN)
Table 31 Global Anaerobic Digestion Market Outlook, By Mesophilic Anaerobic Digestion (2022-2030) ($MN)
Table 32 Global Anaerobic Digestion Market Outlook, By Application (2022-2030) ($MN)
Table 33 Global Anaerobic Digestion Market Outlook, By Electricity Generation (2022-2030) ($MN)
Table 34 Global Anaerobic Digestion Market Outlook, By Biofertilizer Production (2022-2030) ($MN)
Table 35 Global Anaerobic Digestion Market Outlook, By Biogas Production (2022-2030) ($MN)
Table 36 Global Anaerobic Digestion Market Outlook, By Heat Generation (2022-2030) ($MN)
Table 37 Global Anaerobic Digestion Market Outlook, By Other Applications (2022-2030) ($MN)
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.

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