Enjoy complimentary customisation on priority with our Enterprise License!
The biogas upgrading equipment market size is forecast to increase by USD 7.43 billion at a CAGR of 18.52% between 2023 and 2028. The market is driven by the increasing demand for cleaner fuel sources, particularly in the power generation, transportation, and marine industries. Biogas upgrading is essential to convert raw biogas into biomethane, which is compatible with Compressed Natural Gas (CNG) and can be used as a renewable alternative to fossil fuels. Technological advancements in cryogenic refining and methane enhancement techniques have improved the efficiency and cost-effectiveness of biogas upgrading. However, the high cost of production remains a significant challenge for market growth. In the US, the market is expected to grow due to the country's focus on renewable energy generation and the adoption of clean energy solutions. Key industries such as power generation, transportation, and marine are expected to drive market demand.
The market is a significant segment in the renewable energy industry, focusing on the conversion of raw biogas into high-value biomethane and separating carbon dioxide (CO2). This process is essential for various applications, including Compressed Natural Gas (CNG) fuel, marine industry, power generation, and bioenergy production. Biogas, primarily composed of methane (CH4) and CO2, is produced through anaerobic digestion of organic substrates, such as manure, sewage sludge, organic fractions from household waste, industrial waste, energy crops, and other renewable sources. The upgrading process involves removing CO2 to produce biomethane, which is an excellent alternative to crude oil-derived natural gas and a valuable feedstock for producing chemicals, fertilizers, and other industrial applications.
In the power generation industry, biomethane can be used as a fuel in combined heat and power (CHP) systems, providing both electricity and heat, while reducing greenhouse gas emissions. In the marine industry, biomethane can be used as a fuel for ships, helping to decrease reliance on gas imports and lower emissions. Biomethane can also be compressed and used as CNG for transportation fuel, providing a sustainable alternative to traditional fossil fuel sources. Additionally, biomethane can be converted into other biofuels, such as biodiesel and ethanol, expanding its applications and value. The water washing technique is a common method used in the biogas upgrading process to remove CO2.
This procedure involves passing the raw biogas through water, allowing CO2 to dissolve and be separated from the biomethane. The CO2-rich water is then sent to a gas separation unit, where CO2 is removed as a byproduct. Filter products, such as activated carbon and membrane filters, are essential in the biogas upgrading process to ensure the purity of biomethane and remove impurities, such as hydrogen sulfide and siloxanes. These filters help improve the overall efficiency and performance of the upgrading equipment. The market is expected to grow as the demand for renewable energy sources increases, and the need to reduce greenhouse gas emissions becomes more pressing.
The market will also benefit from the growing recognition of biomethane as a versatile and valuable energy source, with applications ranging from power generation and transportation to industrial processes and chemical production. In conclusion, the market plays a crucial role in the renewable energy sector by converting raw biogas into valuable biomethane and separating CO2. This process is essential for various applications, including power generation, transportation, and industrial processes, and helps reduce greenhouse gas emissions. The market is expected to grow as the demand for renewable energy sources increases and the need to reduce greenhouse gas emissions becomes more pressing.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD million" for the period 2024-2028, as well as historical data from 2017-2022 for the following segments.
The water scrubber segment is estimated to witness significant growth during the forecast period.Biogas upgrading equipment plays a crucial role in enhancing the quality of biomethane by removing impurities such as carbon dioxide (CO2) and hydrogen sulfide. One of the most common methods for CO2 removal is water scrubbing. In this process, water is utilized as a solvent to absorb CO2, leaving behind a gas stream enriched in methane. The methane content of the resulting biomethane is approximately 98%, making it suitable for various applications such as Compressed Natural Gas (CNG), power generation, and transportation industries. The marine industry also benefits from biomethane as a clean energy source. Water scrubbing is preferred due to its simplicity and commercial availability in various capacities, ranging from 0.2
to 0.46 kWh/Nm3. With a carbon slip of less than 2%, this process offers lower operating costs and consistent performance at any given flow rate. Cryogenic refining is another method used for biogas upgrading, which involves cooling the biogas to sub-zero temperatures to separate methane from CO2. Both water scrubbing and cryogenic refining contribute significantly to the renewable energy sector by providing clean energy generation options.
Get a glance at the market share of various segments Request Free Sample
The Water scrubber segment accounted for USD 1339 million in 2017 and showed a gradual increase during the forecast period.
Europe is estimated to contribute 39% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
For more insights on the market share of various regions Request Free Sample
Biogas upgrading technology plays a significant role in the production of high-quality biomethane, a form of bioenergy, which is becoming increasingly important in Europe as the region strives to meet its ambitious goal of accounting for 20% of total final energy consumption from renewable sources by 2030. Biomethane, derived from biogas through upgrading processes such as methane enrichment and cryogenic refinement, is gaining popularity due to the targets set by various European countries. For instance, Sweden aims to replace all fossil fuels in transportation with biomethane by 2030, while Denmark targets 2,0 PJ biomethane production by the same year. The Netherlands had set a target of 670 million m3 of biomethane consumption in 2020, and Germany planned to replace 6% of its national gas consumption and 10% by 2030.
With Germany heavily reliant on oil and gas imports due to its limited reserves, the adoption of biomethane as a cleaner alternative offers significant potential for carbon reduction and the reduction of greenhouse gas emissions. The use of biomethane in compressed natural gas (CNG) vehicles is also gaining traction as an eco-friendly alternative to traditional fossil fuels. Filter products, such as those used in the biogas upgrading process, are essential in ensuring the purity and quality of biomethane, making it a viable and competitive alternative to natural gas.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Need for cleaner fuel is the key driver of the market. Biogas is a renewable energy source derived from biodegradable materials and waste products. The quality of this fuel is determined by the methane concentration it contains. Biogas with a high methane content is cleaner and more effective for various applications, such as electricity generation and Combined Heat and Power (CHP) engines. However, the biogas available often has a low methane content, necessitating upgrading processes. The increasing levels of greenhouse gas (GHG) emissions and the need to diversify energy sources have fueled the demand for cleaner and more efficient alternative fuels, including biogas, biodiesel, and ethanol. Biogas upgrading equipment is essential for enhancing the methane content and improving the overall quality of biogas.
Agricultural wastes, cellulosic biomass, and other organic materials are common feedstocks for biogas production. These materials consist of complex structures, such as lignin, cellulose, and hemicelluloses, which require breaking down to release the trapped methane. Nitrogen and carbon present in these feedstocks can also impact the biogas upgrading process. The shift towards renewable energy sources and the reduction of reliance on fossil fuels are significant trends driving the market. This market caters to various industries, including agriculture, wastewater treatment, and food processing, among others. The efficient and cost-effective upgrading of biogas is crucial for its widespread adoption as a clean and sustainable energy source.
Technological advancements is the upcoming trend in the market. Biogas upgrading equipment is gaining traction in the US market as governments and businesses seek to reduce reliance on conventional fuel sources and embrace renewable energy alternatives. Landfills and agricultural waste are becoming prime sources for biogas upgradation, offering potential for natural gas replacement and reduced methane emissions. Technological advancements are driving the development of new upgrading techniques, such as cryogenic upgrading and in-situ methane enrichment. These methods aim to increase energy intensity in upgraded biogas to near 100%, while minimizing methane slip. Companies are utilizing hydrolyzers and the Schmack pre-treatment process, or specialized BIOFerm fermentation, to convert dry feedstocks into gaseous fuels.
The growing demand for renewable fuels and the potential for ecosystem preservation are fueling investments in this nascent stage industry. Despite increasing natural gas prices and renewable fuel quotes, the benefits of biogas upgrading are compelling for both environmental and economic reasons.
High cost of production is a key challenge affecting the market growth. The biogas upgrading process is essential to enhance the quality of raw biogas, which contains a significant amount of carbon dioxide. Biogas is produced through the anaerobic digestion of various organic substrates, including manure, sewage sludge, organic fractions from household and industrial waste, energy crops, and other renewable energy sources. The upgrading process aims to reduce the carbon dioxide content and increase the methane concentration to meet the standard of natural gas. The expensive nature of biogas upgrading necessitates optimization to ensure high efficiency and lower energy consumption. Minimizing methane emissions is crucial since methane has a higher greenhouse gas impact, approximately 23 times greater than carbon dioxide.
Effective biogas upgrading contributes to reducing the overall carbon footprint and enhancing the value of biogas as a vehicle fuel and renewable energy source.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
2G Energy AG - The company provides top-tier biogas upgrading equipment, including Agenitor and Avus, for optimizing biogas quality in North America. Our offerings enhance biomethane production, ensuring compliance with natural gas standards and maximizing energy efficiency. These advanced solutions contribute significantly to the growing renewable energy sector, promoting sustainable energy production and reducing greenhouse gas emissions.
The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
Biogas upgrading equipment plays a crucial role in enhancing the quality of biogas by increasing the methane content and reducing the amount of impurities such as carbon dioxide. This process is essential for converting biogas into biomethane, which can be used as a renewable alternative to compressed natural gas (CNG) in various industries, including marine and power generation. The biogas upgrading technology also helps in reducing greenhouse gas emissions, making it an eco-friendly solution for clean energy generation. The process of biogas upgrading involves cryogenic refining, methane enhancement, and carbon reduction procedures. This includes the use of ecological lungs, such as water scrubbers and chemical scrubbers, to remove impurities.
Pressure swing adsorption and membrane technologies are commonly used for biogas upgrading. Industrial wastewater, landfill gas, agricultural wastes, and organic substrates such as manure, sewage sludge, and energy crops are some of the sources for biogas production. Biogas upgrading is also important for the production of bioenergy from cellulosic biomass, including lignin, cellulose, and hemicelluloses. The transportation industry, agriculture sector, and power generation industry are some of the major consumers of biomethane. Biomethane can be used as a vehicle fuel, replacing conventional fuel sources and reducing methane emissions. The use of biogas upgrading equipment is also important for natural gas replacement, energy consumption reduction, and ecosystem deterioration prevention.
The nascent stage of biogas upgrading technology offers significant potential for growth, with increasing natural gas prices and renewable fuel quotes driving demand. However, the technology is still in its infancy compared to conventional fuel sources and faces challenges such as high capital costs and complex implementation.
|
Market Scope |
|
|
Report Coverage |
Details |
|
Page number |
161 |
|
Base year |
2023 |
|
Historic period |
2017-2022 |
|
Forecast period |
2024-2028 |
|
Growth momentum & CAGR |
Accelerate at a CAGR of 18.52% |
|
Market growth 2024-2028 |
USD 7434.8 million |
|
Market structure |
Fragmented |
|
YoY growth 2023-2024(%) |
15.18 |
|
Regional analysis |
Europe, North America, APAC, South America, and Middle East and Africa |
|
Performing market contribution |
Europe at 39% |
|
Key countries |
US, Germany, China, UK, and Italy |
|
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
|
Key companies profiled |
2G Energy AG, AAT Abwasser und Abfalltechnik GmbH, Air Liquide SA, Atlas Copco AB, Bright Renewables B.V., Carbotech Gas Systems GmbH, Condorchem Envitech SL, DMT International, DP CleanTech Co. Ltd., DVO Inc., Greenlane Renewables Inc., HAASE Umwelttechnik GmbH, Jog Waste to Energy Pvt. Ltd., MalmbergGruppen AB, Nacelle Logistics LLC, NeoZeo AB, Pentair Plc, Veolia Environnement SA, and Xebec Adsorption Inc. |
|
Market dynamics |
Parent market analysis, market growth inducers and obstacles, market forecast, fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, market condition analysis for the forecast period |
|
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Technology
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Opportunity/Restraints
10 Competitive Landscape
11 Competitive Analysis
12 Appendix
Get the report (PDF) sent to your email within minutes.
Get lifetime access to our
Technavio Insights
Quick Report Overview:
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.
