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Biomethane Market to Reach $56.64 Billion, at a 28.0% CAGR by 2030 | MarketsandMarkets™

Delray Beach, FL, July 29, 2026 (GLOBE NEWSWIRE) -- According to MarketsandMarkets, the global Biomethane Market size is projected to reach USD 56.64 billion by 2030 from USD 16.50 billion in 2025, at a CAGR of 28.0%. The biomethane market is driven by ambitious net-zero commitments, stricter controls on methane emissions, and the growing demand for better organic waste management. Policymakers are supporting renewable gas installation as a measure to reduce dependence on fossil fuels and to decarbonize hard-to-abate sectors like transportation and industrial heat.

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Biomethane Market Size, Share & Forecast:

  • 2025 Market Size: USD 16.50 billion
  • 2030 Projected Market Size: USD 56.64 billion
  • CAGR (2025-2030): 28.0%
  • Europe: Largest region in 2025
  • Leading segment by feedstock: Municipal waste
  • Fastest-growing segment by production process: Thermal gasification
  • Report scope: 170 market data tables, 60 figures, 280 pages
  • Major companies: Shell Biogas (UK), Gasum Ltd. (Finland), Air Liquide (France), BP p.l.c. (UK), OPAL Fuels (US), TotalEnergies (France), Chevron Corporation (US), ENGIE (France), and Veolia (France).

Why This Market Matters

Biomethane is emerging as a critical renewable energy source that supports global decarbonization goals by converting organic waste into clean fuel. Its compatibility with existing natural gas infrastructure, along with increasing government incentives and methane emission reduction policies, is accelerating adoption across transportation, industrial, and power generation sectors.

Market Overview

The global biomethane market is projected to grow from USD 16.50 billion in 2025 to USD 56.64 billion by 2030, registering a CAGR of 28.0% during the forecast period. Market growth is fueled by renewable energy targets, sustainable waste management initiatives, carbon pricing mechanisms, and rising investments in renewable gas infrastructure.

Analyst Perspective

The biomethane market is entering a high-growth phase as governments and industries prioritize low-carbon energy solutions. Advancements in biogas upgrading technologies, digital plant optimization, and biological methanation are improving production efficiency, while expanding waste-to-energy projects and renewable gas grid integration are creating significant long-term growth opportunities.

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Segment Analysis

Municipal waste by feedstock occupies the top position in the biomethane market and is increasing steadily due to urbanization and the accumulation of organic municipal waste. The combination of municipal solid waste, food waste, and wastewater sludge provides a systematic and large-scale feedstock supply, particularly in densely populated areas. Furthermore, strong governmental backing for waste-to-energy initiatives, landfill diversion targets, and stricter disposal regulations further facilitates the acceptance of biomethane from waste. The practice of converting municipal waste into biomethane not only helps cities reduce methane emissions but also enhances waste management effectiveness and supplies local energy with renewable gas.

Regional Analysis

Europe region is expected to be the largest biomethane market during the forecast period, which is supported by a very good regulatory framework and strong policy alignment with the climate neutrality goal. The region has advanced waste management, agricultural feedstocks easily available, and a natural gas infrastructure that is wide enough for the whole biomethane grid injection. European Union initiatives for the promotion of renewable gas, along with national incentive schemes, have caused large-scale project deployments to be accelerated. Participation from energy utilities, gas network operators, and agricultural cooperatives is the strongest factor in the market development. Besides, the increasing need for low-carbon fuels in transport and industrial heating, together with effective sustainability certification methods, has been a factor that contributed to Europe's being at the forefront of the global biomethane market.

Key Market Trends & Insights

  • Europe is estimated to account for the largest share of 41.3% in the global biomethane market for in 2024.
  • Asia Pacific is projected to be the fastest-growing biomethane market during the forecast period.
  • By feedstock, the others (Industrial Waste, Sewage Sludge, Wastewater, and Others) segment is projected to register the highest CAGR of 36.2% during the forecast period.
  • By end-use application, the transportation segment is expected to account for the largest share of the overall biomethane market in 2024.
  • By production process, the thermal gasification process is expected to register the highest CAGR during the forecast period.

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Competitive Landscape

Top companies in the global biomethane market include Shell Biogas (UK), Gasum Ltd. (Finland), Air Liquide (France), BP p.l.c. (UK), OPAL Fuels (US), Chevron Corporation (US), TotalEnergies (France), Veolia (France), Raízen (Brazil), Anaergia (Canada), EnviTec Biogas AG (Germany), Kinder Morgan (US), Ameresco (US), ENGIE (France), E.ON SE (Germany), Verbio SE (Germany), Waga Energy (France), Vanguard Renewables (US), Gothenburg Energy (Sweden), WELTEC BIOPOWER GmbH (Germany), PlanET Biogas Group (Germany), ETW Energietechnik GmbH (Germany), Clean Energy Fuels (US), EQTEC PLC (Ireland), GENeco (UK) among others.

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Report Code: EP 8864 | Published: 26 Jan 2026 | Report Pages: 280 | Market Data Tables: 170 | Figures: 60

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