The global biogas market size is calculated at USD 170.89 billion in 2025 and is forecasted to reach around USD 291.66 billion by 2034, accelerating at a CAGR of 4.33% from 2025 to 2034. The Europe biogas market size surpassed USD 67.66 billion in 2025 and is expanding at a CAGR of 4.40% during the forecast period. The market sizing and forecasts are revenue-based (USD Million/Billion), with 2024 as the base year.
The global biogas market size was accounted for USD 161.03 billion in 2024 and is anticipated to reach around USD 291.66 billion by 2034, growing at a CAGR of 4.33% from 2025 to 2034.
Integrating AI into maintenance can provide better maintenance and simplify the process. Integration of smart technology with biogas plant operation and biogas production process to better monitor and evaluate important ads such as total waste, non-convertible waste change, volatile organic compounds, chemical oxygen demand, pH, and temperature. The possibility of joint intelligence is presented with a visual representation of biogas plant operation and monitoring process and different equipment with advanced applications in automation and prediction. Prediction and optimization of biogas production from micro-AD plants based on a new design concept. AI-based models are generated from historical data of different systems and can be used for the immediate commercialization of AD plants leading to the growth of the biogas market.
The Europe biogas market size was evaluated at USD 63.75 billion in 2024 and is predicted to be worth around USD 115.61 billion by 2034, rising at a CAGR of 4.40% from 2025 to 2034.
Europe dominated the global biogas market with the largest market share of 39.59% in 2024. The factors such as surge in demand for biogas in diverse sectors and industries, innovation and technological developments, and growing investments in the energy sector is contributing to the market growth.
The European Green Deal aims to make the EU the world’s first climate-neutral region by 2050, reducing pollution and restoring healthy nature and ecosystems. As countries such as Italy and Germany have proven, biogas could be a companion to the decarbonization of the European economy and Europe’s energy transition. The Renewable Energy Sources Directive (“RED II”) includes an EU-wide legal renewable energy target of 32% renewable energy by 2030, with specific targets from the Ministry including increasing the share of renewables, with progress to be reviewed in 2023. The heating sector has seen an annual increase of 1.3%, leading to growth in the biogas market.
North America, on the other hand, is expected to develop at the fastest rate during the forecast period. The UK dominates the biogas market in Asia-Pacific region. The huge number of market players is operating in the region. The government of Europe is highly investing in the research and development activities for the development of the market. In addition, the private entities are taking initiatives for the growth of the biogas market in Asia-pacific region.
North America is becoming a growing biogas market as U.S. biogas producers learn that these plants are making a real impact nationwide. Biogas is produced by digesting and chemically treating organic matter, but this organic matter can be obtained in many ways. The U.S. manufactures products using detailed specifications, raw materials, and technological advances. Feedstocks, installation information, costs and efficiencies of different conversion devices, and studies on the limitations of pipeline-quality biogas production were used to calculate the energy costs of biogas plants operating on waste, manure, wastewater, and sewage, sludge, and biomass waste feedstocks, this cause growth of biogas market.
Report Coverage | Details |
Market Size by 2034 | USD 291.66 Billion |
Market Size in 2025 | USD 170.89 Billion |
Growth Rate from 2025 to 2034 | CAGR of 4.33% |
Largest Market | Europe |
Base Year | 2024 |
Forecast Period | 2025 to 2034 |
Segments Covered | Source, Feedstock, Application, Size, Technology, Region |
Regions Covered | North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa |
Furthermore, the growing demand and preference for clean energy and low-carbon electricity is boosting the expansion of the global biogas market. The regions such as Europe and North America have started using biogas for the production of electricity. The importance of biogas has been understood by every nation, which has created substantial impact on the development and growth of the global biogas market.
In addition, several countries are coming together and forming collaborations and signing agreements against the greenhouse gas emission and carbon emission. This factor is paving new way for the growth of the global biogas market at a rapid pace. The growing environmental concerns against harmful and toxic gases emissions are supporting the biogas market growth all around the world.
The global biogas market is highly uneven with the local players as well as major market players. The key market players are collaborating with government agencies for the growth of the biogas market. The main focus of the market players in the biogas market is to focus on expanding their business. This is possible due to the growing government initiatives and adoption of key marketing strategies. The major strategies adopted by market players are business expansion, collaboration, agreement, mergers, and acquisitions. Thus, all of these strategies helped firms to gain huge market share in energy sector as well as the global biogas market.
The municipal segment has held the biggest market share of 45% in 2024. The main source of biogas is municipal waste. The municipal waste includes newspapers, clothing, furniture, bottles, cans, food, and appliances. The municipal waste is also known as garbage that is collected from each and every individual of every locality. The wide range of waste is used for the production of biogas. The municipal waste is found abundantly, which is driving the growth of the segment.
The industrial segment is fastest growing segment during the forecast period. The factories and industries emit toxic gases and harmful waste in large amount. This waste and garbage are considered as industrial waste. Every year around 7.6 billion tons of industrial waste is produced in the U.S. The industrial waste is available on a large scale, which is supporting the growth of the global biogas market over the forecast period.
The electricity segment contributed the highest market share of 32% in 2024. The biogas helps in the production of electricity. The government of developed and developing countries is striving harder for electricity generation in rural areas. The surge in demand for power generation is resulting into the growth of the market for biogas. The country such as India uses biogas on a large scale for the generation of power and electricity.
The upgraded biogas segment is fastest growing segment of the biogas market in 2021. The biogas is converted into other gas such as biomethane with the removal of carbon dioxide and hydrogen from it. This creates premium or high quality of biogas which can be used in various industries and sectors. Thus, this is creating demand for biogas in the global market.
By Source
By Application
By Feedstock
By Size
By Technology
By Geography
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