What Fueled The Previous Growth In The Anaerobic Digestion Market?
The anaerobic digestion market has seen considerable growth due to a variety of factors.
• The market size for anaerobic digestion has experienced significant growth in the past few years. It is projected to expand from $11.65 billion in 2024 to $12.79 billion in 2025, with a compound annual growth rate (CAGR) of 9.7%.
Factors such as energy demand and diversification, waste management rules, concerns about the environment, governmental incentives and subsidies, and enhanced availability of feedstock have contributed to the growth during the historical period.
What Can Be Expected from the Anaerobic Digestion Market Size Evolve over the Forecast Period?
The anaerobic digestion market is expected to maintain its strong growth trajectory in upcoming years.
• Expectations for the anaerobic digestion market suggest a significant swell in size over the forthcoming years. The projected growth implies the market will reach a value of $18.32 $ billion in 2029, with a compound annual growth rate (CAGR) of 9.4%.
The predicted expansion within the period of forecast can be linked to factors such as circular economy strategies, increasing consumer calls for sustainability, a rising demand for renewable natural gas, amplified energy security and diversification, and increased consciousness around methane emission reduction. Some of the prominent trends for the forecast period comprise of convergence with other renewable technologies, advancement in process optimization, improvement in feedstock diversity, decentralization and community-oriented systems, and the merging of cutting-edge pretreatment methods.
Which Key Drivers Are Propelling The Anaerobic Digestion Market's Growth?
The uptick in the demand for renewable natural gas (RNG) is projected to fuel the expansion of the anaerobic digestion market. RNG is methane generated from organic materials like food waste, agricultural waste, or wastewater through procedures like anaerobic digestion or gasification. The rising demand for RNG can be attributed to its role in mitigating greenhouse gas emissions, coupled with the backing it gets from government incentives that encourage sustainable energy resources. Anaerobic digestion is crucial for RNG since it converts organic trash into methane that is then purified and upgraded to yield a clean, renewable energy resource. In the context of the United States, the U.S. Energy Information Administration, a government agency, reported that natural gas consumption in August 2024 is expected to increase by approximately 1% over the preceding year, averaging 90 billion cubic feet (Bcf) of natural gas daily (Bcf/d). Consequently, the escalating demand for renewable natural gas is stimulating the anaerobic digestion market.
How Is The Anaerobic Digestion Market segmented?
The anaerobic digestionmarket covered in this report is segmented –
1) By Feedstock Type: Organic Waste, Agricultural Residues, Wastewater Sludge, Energy Crops
2) By Digestion System: Mesophilic Anaerobic Digestion, Thermophilic Anaerobic Digestion, Multi-Stage Anaerobic Digestion
3) By Application: Residential, Commercial, Industrial
4) By End-Use: Power Generation, Transportation Fuel, Fertilizer Production, Other End-Uses
Subsegments:
1) By Organic Waste: Food Waste, Yard Waste, Municipal Solid Waste, Agricultural Residues
2) By Agricultural Residues: Crop Residues, Livestock Manure, Other Agricultural By-products
3) By Wastewater Sludge: Primary Sludge, Secondary Sludge
4) By Energy Crops: Dedicated Energy Crops, Intercropped Energy Crops, Cover Crops
Pre-Book The Anaerobic Digestion Global Market Report 2025 Report For Swift Delivery And Comprehensive Insights:
What New Trends Are Influencing The Anaerobic Digestion Market?
Leading firms in the anaerobic digestion industry are making strategic investments in inventive technologies such as anaerobic digester plants in an attempt to improve the efficiency of converting waste into energy and increase methane output. These facilities use specialized methods to break down organic refuse without using oxygen, generating energy-rich biogas and digestate for use as fertilizer. For example, Evergreen Environmental Inc., an American company specializing in industrial hygiene and safety management consulting, inaugurated an innovative anaerobic digester plant in Oshawa, Ontario in July 2022. The main aim of this plant is to transform organic waste into usable fertilizer and renewable natural gas using anaerobic digestion. The plant, which is capable of handling up to 200,000 metric tons of organic waste annually, offers a solution to the area's waste management problems by diverting refuse from landfills and shrinking the environmental footprint of organic refuse decomposition. The digester incorporates state-of-the-art technology that has previously been successful in other Ontario localities and is forecasted to be fully functional by 2025. The result will be nutrient-dense fertilizer and renewable natural gas, benefiting the local farming, business, and residential communities.
Who Are the Key Players In The Anaerobic Digestion Market?
Major companies operating in the anaerobic digestion market are:
• ENGIE Group
• Viessmann Climate Solutions SE
• Gasum Oy
• Ameresco Inc.
• EnviTec Biogas AG
• Bioenergy Devco
• AB HOLDING SPA
• Adnams plc
• Capstone Green Energy Corporation
• WELTEC BIOPOWER GMBH
• BDI-BioEnergy International GmbH
• Scandinavian Biogas Fuels International AB
• Clarke Energy.
• PlanET Biogastechnik GmbH
• Xergi A/S
• Schmack Biogas GmbH
• Agrinz Technologies GmbH.
• Northern Biogas
• Bright Biomethane
• Agraferm GmbH
• AAT Abwasser- und Abfalltechnik GmbH
• Biogest AG
What Is The Most Dominant Region In The Anaerobic Digestion Market?
North America was the largest region in the anaerobic digestion market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the anaerobic digestion market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
