Biomethane: Growth in Capacity and Equipment Revenues by 2033

The global biomethane market is poised for significant expansion, with production capacity and equipment revenues forecast to rise between now and 2033, particularly in Europe and North America.

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Biomethane, known as Renewable Natural Gas (RNG), is emerging as a key energy solution, particularly suited to sectors where options for reducing carbon emissions are limited.
Produced from biogas, derived from the decomposition of organic waste, biomethane can be injected directly into existing gas infrastructures, making its integration simple and efficient.
Energy policies in Europe and North America have encouraged greater adoption of this renewable energy source.
Incentive regulations in these regions have accelerated the pace of projects, leading to an increase in production capacity.
However, the availability of the raw materials needed for production remains a major challenge.
A steady supply of organic waste, often from seasonal agricultural cycles, is crucial to maintain continuous production.

Revenue forecasts for production equipment

Forecasts for the period 2024-2033 indicate strong growth not only in terms of production capacity, but also in revenues generated by the sale of equipment specifically for biomethane production.
This trend is particularly marked in regions where policies to support renewable energy are most developed, such as Europe and North America. The increase in demand for this equipment is directly linked to initiatives to strengthen the infrastructure needed to process and convert organic waste into biomethane.
Nevertheless, the viability of this growth will largely depend on producers’ ability to secure a steady flow of raw materials and optimize production technologies.
Competition for access to these natural resources is likely to intensify as new players enter the market, which could have an impact on production costs and project profitability.

Strategic Issues and Market Challenges

Players in the biomethane sector have to navigate in an increasingly competitive environment, where optimizing production processes and efficient resource management play a crucial role.
Producers’ flexibility in adapting to variations in feedstock supply, as well as their ability to innovate in purification technologies, will be decisive in maintaining their market position.
Forecasts for the next ten years point to a rapidly changing market, with considerable opportunities for those who manage to adapt to the growing demands for efficiency and sustainability.
Biomethane, with its potential to reduce greenhouse gas emissions, is fully in line with the energy strategy of many countries seeking to diversify their energy mix while meeting their climate targets.

Spain’s Solarig is allocating $415mn to build more than 20 biomethane units in Poland through its subsidiary Biorig, with an annual production target equivalent to the consumption of 400,000 households.
Tuas Power aims to eliminate coal in Singapore by converting its TMUC facility to biomass, marking a strategic shift in energy supply for Jurong Island’s industrial base.
The GPCU PB network, powered 95% by low-carbon sources, spans 13 km and serves 55 buildings, with total public and private funding of €22mn ($23.8mn).
Waga Energy has secured $180mn in senior debt over four years to develop its biomethane project portfolio at landfill sites in the United States.
Veolia launches a major project in Pozna aiming to fully replace coal with low-carbon local energy sources in district heating, with a first phase already operational showing 92% efficiency.
Veolia connects its Lapouyade site to RTE's secondary reserve using instant modulation technology, paving the way for rollout across 25 sites.
Erex will end the environmental assessment of a 300MW biomass project developed with ENEOS in Niigata due to rising costs and a weaker yen.
California-based start-up Erg Bio has closed a $6.5mn seed round to industrialise its Aspire™ technology, backed by Azolla Ventures, Chevron Technology Ventures, and Freeflow.
Haffner Energy presents the H6 generation, a biomass‑hydrogen system positioned as competitive against electrolysis, as the company seeks new investors amid financial pressure and a regulatory landscape focused on RFNBO.
Haffner Energy signs its first contract in the United States with OroCarbo to supply two SYNOCA® modules for an integrated biomethanol project scheduled for 2028 in California's Central Valley.
Argentina increased regulated prices for ethanol and biodiesel used in mandatory blending, directly impacting the local industry and domestic fuel market.
80 Mile PLC has completed the full acquisition of Ferrandina in Italy and signed three memorandums of understanding with major energy groups, securing the supply and processing of 120,000 tonnes of biofuels per year.
Fonds Bioénergie acquires a stake in Keridis BioEnergy to accelerate renewable natural gas production from agricultural and food residues across Québec.
The United States recorded a limited 3% increase in its annual biofuels production capacity in 2024, hindered by declining margins and the closure of several facilities.
Enilive aligns conversions in Italy, hubs in Asia and U.S. diversification, with rising HVO margins, integrated pretreatment and HVO/SAF offtakes tied to European requirements, supporting volumes, site utilization and operational guidance.
The Ille-et-Vilaine Departmental Energy Syndicate awarded ENGIE Solutions a €9.5mn ($10.01mn) contract to operate a 4.9 km heating network, scheduled for commissioning in 2027.
Vermont’s energy regulator authorises final review of a 2.2 MW project led by Clean Energy Technologies to convert agricultural waste into renewable electricity.
The increase in Brazil’s biodiesel blend mandate to 15% has reignited calls for stronger regulatory supervision as prices climb and budget constraints limit enforcement.
Waga Energy strengthens its presence in Brazil, betting on a rapidly structuring market where biomethane benefits from an incentive-based regulatory framework and strong industrial investment prospects.
John Cockerill and Axens launch NesaBTF, an industrial torrefaction technology designed to optimise biomass supply, with targeted ambitions in the growing sustainable aviation fuel market.

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