Biogas Upgrading Equipment Market By Technology (Pressure Swing Adsorption, Membrane Separation, Water Scrubbing, Chemical Absorption, Cryogenic Separation); By End Use (Municipal Facilities, Agricultural Digesters, Industrial Plants, Landfills, Gas Grid Injection); By Capacity (Up to 500 Nm³/h, 501–1000 Nm³/h, Above 1000 Nm³/h); By Geography, Segment Revenue Estimation, Forecast, 2024–2030

1. Introduction and Strategic Context

The Global Biogas Upgrading Equipment Market will witness a strong CAGR of 10.7% , valued at USD 1.63 billion in 2024 , and projected to cross USD 3.02 billion by 2030 , confirms Strategic Market Research.

 

Biogas upgrading equipment plays a pivotal role in transforming raw biogas into biomethane — a cleaner, grid-injectable fuel comparable to natural gas. With global momentum building toward renewable energy, this niche but essential market is getting a serious push from policy, technology, and investment forces. Between 2024 and 2030, its relevance is no longer tied to small-scale waste recovery; it's becoming a central part of national energy strategies.

 

Governments in Europe, North America, and parts of Asia are accelerating decarbonization mandates. That’s opening up grant pipelines for municipal utilities, farm-based digesters, and industrial-scale biomethane producers to adopt or expand upgrading systems. At the same time, natural gas grid operators are under pressure to increase their share of renewable gas inputs — and biogas is currently the most viable solution.

 

The underlying driver? Raw biogas is only about 55–65% methane. It contains CO2, water vapor, hydrogen sulfide, and other impurities that limit its use. Upgrading equipment strips those out, delivering biomethane that meets pipeline standards or can be liquefied for mobility applications. Technologies like pressure swing adsorption (PSA), water scrubbing, membrane separation, and chemical absorption are being deployed at different scales — from rural cooperatives to city-wide biogas hubs.

 

Another dynamic shaping this market is waste valorization. Industries are no longer just treating waste as a cost center. Food processors, breweries, paper mills, and livestock farms are investing in closed-loop energy systems, and upgrading systems are at the core. That means equipment OEMs aren’t just targeting utilities anymore — they’re now selling into corporate ESG agendas.

 

Stakeholders are diverse. Equipment manufacturers are bundling upgrading units with monitoring systems. EPC contractors are designing modular plants that can be installed rapidly. Municipalities and wastewater authorities are integrating biogas into circular waste strategies. Investors , especially in Europe and the U.S., are lining up to fund biomethane projects as low-risk, policy-backed renewable assets.

To be honest, this market used to be dominated by a few European tech firms. But not anymore. With incentives rising and carbon pricing creeping up, the race to decarbonize gas grids has turned biogas upgrading from an afterthought into a frontline solution.

 

2. Market Segmentation and Forecast Scope

The biogas upgrading equipment market isn’t one-size-fits-all. Demand patterns vary based on project scale, feedstock type, regulatory environment, and end-use of the biomethane . To capture this complexity, the market is typically segmented along four key dimensions:

By Technology

• Pressure Swing Adsorption (PSA)

• Water Scrubbing

• Chemical Absorption

• Membrane Separation

• Cryogenic Separation

Among these, membrane separation is the fastest-growing sub-segment in 2024. It’s favored for its modularity, energy efficiency, and lower maintenance requirements — especially in small-to-mid scale installations. That said, PSA still holds the largest market share due to its reliability in high-capacity, industrial-scale applications.

 

By End Use

• Municipal & Wastewater Treatment Facilities

• Agricultural Digesters (Farms, Cooperatives)

• Industrial Plants (Food & Beverage, Paper, Chemical)

• Landfills & Waste Management Operators

• Gas Grid Injection Projects

Agricultural digesters are seeing the sharpest growth curve — especially in regions with livestock density and generous subsidies. But the biggest revenue still comes from municipal and industrial biogas projects , which demand higher-capacity, custom-engineered systems.

 

By Capacity

• Up to 500 Nm³/h

• 501–1000 Nm³/h

• Above 1000 Nm³/h

The up to 500 Nm³/h segment leads by volume in 2024, largely due to the surge in decentralized farm and community projects. However, the above 1000 Nm³/h category is growing rapidly, driven by Europe’s and China’s utility-scale biomethane goals.

 

By Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East & Africa

Europe continues to dominate in both installed capacity and policy support, but Asia Pacific is emerging as the most dynamic region in terms of project starts. China and India are aggressively pushing biogas as part of rural energy access and waste management plans.

 

3. Market Trends and Innovation Landscape

Biogas upgrading used to be a slow-moving, tech-heavy niche. Not anymore. The last few years have brought a wave of innovation — not just in purification hardware, but in how upgrading units are designed, deployed, and monetized. Here's what’s shaping the market through 2030.

Modularity is Driving New Deployments

Traditional upgrading plants required long engineering cycles and large footprints. That’s changing. Vendors now offer containerized, plug-and-play systems that can be deployed in under six months. These are ideal for agricultural projects or industrial clients with limited real estate and time constraints.

One Dutch OEM recently launched a trailer-mounted PSA unit designed for seasonal use on dairy farms — effectively turning animal waste into an on-demand fuel asset.

 

Membrane Technology is Getting Smarter

Membrane-based upgrading systems are becoming more efficient and selective. New polymers allow higher methane recovery while resisting pressure cycling degradation. Some manufacturers are integrating multi-stage membranes with AI-supported flow control — reducing energy consumption and maximizing uptime.

Several pilot projects in Germany and Denmark are using AI-tuned membranes that adapt in real-time to feedstock variations — a big win for sites using mixed organic waste streams.

 

Carbon Capture Add-Ons Are Emerging

Here’s a subtle but important shift: CO2 from raw biogas is no longer seen as a waste stream. Some upgrading plants are now integrating carbon capture modules to liquefy or compress the removed CO2 for industrial reuse or storage. This opens up new revenue streams and aligns well with net-zero pledges.

In Sweden, a biomethane producer is now selling purified CO2 from its biogas plant to local greenhouses and beverage companies — a dual-use case with strong margins.

 

Digital Twins and Remote Monitoring

As upgrading units become more distributed, operations teams need better oversight. Vendors are embedding IoT sensors and digital twin platforms that allow real-time monitoring, predictive maintenance, and remote troubleshooting. This is especially useful for multi-site operators managing both upgrading and digestate handling.

Think of a food company running biogas systems at 20 processing plants — centralized dashboards and alert systems cut operational friction dramatically.

 

Financing and Service Models Are Evolving

Innovation isn’t just technical — it’s financial. We're seeing a rise in BOO (build-own-operate) and performance-based leasing models where project developers avoid large upfront CAPEX. Some equipment makers now offer long-term service contracts bundled with output guarantees, reducing risk for small-scale operators.

 

4. Competitive Intelligence and Benchmarking

The biogas upgrading equipment space may seem fragmented, but competition is intensifying fast — and it’s no longer just a European game. While Europe still leads in IP and installed base, new players from Asia and North America are scaling up aggressively. Let’s break down how the key vendors are positioning themselves in this race.

Greenlane Renewables (Canada)

A recognized leader in upgrading systems, Greenlane offers a full suite of technologies: water scrubbing, PSA, and membrane-based solutions. What sets them apart is their multi-tech approach — they tailor the solution to the feedstock and project scale, instead of pushing a single tech. They’ve secured contracts across Europe, North America, and Asia, often targeting public-private biomethane projects.

Their engineering focus and robust track record make them a preferred partner for municipalities and utility-backed ventures.

Air Liquide (France)

Air Liquide has a commanding presence, especially in large-scale membrane-based systems. With deep experience in gas separation and purification, they’ve turned biogas upgrading into a seamless extension of their industrial gas business. They also offer end-to-end EPC capabilities , often bundling upgrading with liquefaction for bio-LNG export.

Their strength? Global reach plus industrial-grade performance , ideal for megawatt-scale upgrading needs.

Xebec Adsorption (Canada)

Xebec focuses on PSA-based upgrading, with a growing emphasis on small-to-medium sized projects. The company recently restructured to sharpen focus on renewable gas technologies. Their Cleantech Service Network enables distributed service support — a key advantage in fragmented rural markets.

They're particularly strong in North American farm-based and landfill upgrading , where standardization and modularity matter more than bespoke engineering.

Carbotech Gas Systems (Germany)

A long-time specialist in PSA and membrane hybrid systems, Carbotech thrives on customization and precision engineering . They cater to complex biogas streams and high-purity requirements, especially in industrial installations or challenging feedstocks .

Carbotech often collaborates with EPCs and research institutions — giving them an edge in tech validation and compliance-driven markets like Germany, Austria, and Switzerland.

Bright Renewables (Netherlands)

Known for compact membrane units, Bright is targeting the agri -sector with smart, affordable systems for co-ops and mid-scale farms. Their control systems are intuitive, and their units require minimal operator training — a key benefit for non-technical users.

They’re winning in use cases where downtime is unacceptable and local technical talent is scarce.

Other Players to Watch

• Hitachi Zosen Inova is expanding from Japan into Europe and the Middle East with large-scale plants.

• Pentair Haffmans plays in CO2 recovery integration — targeting breweries and food processing sites.

• Malmberg Water (Sweden) remains strong in Scandinavian public sector tenders.

 

5. Regional Landscape and Adoption Outlook

Biogas upgrading isn’t growing evenly across the globe — the pace, policy support, and preferred technologies vary widely. Some regions are pushing utility-scale biomethane projects. Others are targeting farm-based energy security. Let’s break down where momentum is building and why.

Europe

Still the epicenter of biogas upgrading. Countries like Germany, France, the Netherlands, and Sweden have well-established feed-in tariffs, carbon pricing frameworks, and national biomethane targets. Europe also leads in grid injection infrastructure , making upgrading systems a critical requirement.

Notably, France has pledged to inject 20% renewable gas into its natural gas grid by 2030 — and it’s backing that with subsidies and clear interconnection guidelines. Germany, meanwhile, is adding carbon capture modules to many upgrading plants to further decarbonize supply chains.

In Europe, biomethane isn’t “alternative.” It’s becoming baseline policy.

 

North America

The U.S. and Canada are accelerating quickly, but in a different direction. Instead of grid injection, the real growth engine is RNG (renewable natural gas) for transport — especially for fleets seeking carbon credits.

California’s Low Carbon Fuel Standard (LCFS) has turned dairy-based biogas upgrading into a multi-billion-dollar opportunity. Dozens of new plants are being commissioned, often with membrane-based units for mobile fueling infrastructure or pipeline compression.

In Canada, provincial programs (especially in Quebec and British Columbia) are supporting small-to-mid scale upgrading tied to waste management goals.

The big shift? Biogas is being treated as a transportation fuel — not just a waste solution.

 

Asia Pacific

This is the highest-growth region, but also the most complex. China is investing heavily in biogas for rural electrification and manure management. India is ramping up the SATAT program (Sustainable Alternative Towards Affordable Transportation), aiming to build 5,000+ compressed biogas (CBG) plants by 2030.

That said, upgrading deployment is uneven. In many areas, raw biogas is still flared or used unrefined. As feed-in infrastructure improves and grid codes tighten, membrane and water scrubber units are becoming more common — especially for city and industrial digesters.

Japan and South Korea are also testing compact upgrading systems for food waste and sewage sludge — but adoption is still early-stage.

In Asia, growth depends on infrastructure readiness and operator training — but the potential volume is massive.

 

Latin America and the Middle East & Africa (LAMEA)

Adoption here is still early, but interest is growing. Brazil is the leader in Latin America, with landfill and sugarcane biogas upgrading projects supported by national energy companies. Chile and Colombia are piloting similar models with development bank support.

In the Middle East, UAE and Saudi Arabia are exploring waste-to-energy and gas diversification programs where biogas upgrading fits in. Africa is mostly in the pilot stage, with NGOs and multilateral agencies backing decentralized waste-to-fuel projects in Kenya, Rwanda, and Ghana.

This region’s growth depends less on hardware and more on financing partnerships and policy frameworks.

 

6. End-User Dynamics and Use Case

The end users of biogas upgrading equipment are more diverse than most would expect. It’s not just utilities and public waste authorities anymore. The market has expanded to include farmers, food processors, logistics providers, and even climate-focused investment funds. Each of these players brings different goals, constraints, and risk tolerances — and the equipment has to match that complexity.

Municipal Wastewater & Solid Waste Authorities

These are still the backbone of many upgrading installations, especially in Europe and North America. For them, the priority is regulatory compliance, energy self-sufficiency , and in some cases, revenue from gas injection or bio-CNG sales. They typically procure larger, custom-engineered systems — often bundled into full EPC contracts.

However, many municipalities are now under pressure to decarbonize faster . Upgrading systems tied to sewage treatment or organic waste diversion offer a quick win — turning methane liabilities into energy assets.

 

Agricultural Operators (Farms & Cooperatives)

This group is rising fast. Livestock farms, particularly in dairy and swine, are turning to biogas upgrading to monetize manure through LCFS programs or local power sales. These users tend to favor modular PSA or membrane systems — low-maintenance, easy-to-install, and scalable over time.

But here's the twist: farmers often lack in-house technical teams. So, vendors are offering “equipment + O&M bundle” models , where the technology is managed by remote support or local partners.

In places like Wisconsin and Bavaria, it’s common to see farmer cooperatives sharing an upgrading unit to serve multiple anaerobic digesters across a region.

 

Industrial Users (Food, Beverage, Paper, Chemicals)

Food processors and breweries generate high-quality organic waste — a prime feedstock for biogas. They’re increasingly installing digesters and upgrading units on-site to reduce energy costs and emissions. What they want is predictability : stable gas flow, minimal downtime, and compliance with ESG metrics.

Some are pairing upgrading systems with carbon offset programs or green gas certificates to boost their sustainability scorecards.

 

Landfill Operators

Landfills generate biogas continuously — but with wide variation in quality. These operators often adopt robust PSA or hybrid systems that can handle fluctuating feedstocks . Many U.S. landfill projects are tied to RNG sales for heavy transport fleets , particularly in states with aggressive clean fuel standards.

The complexity here lies in integration: gas capture, compression, upgrading, and injection all have to align with aging landfill infrastructure.

 

Gas Grid Operators & Fuel Distributors

This segment is newer, but critical. Utilities and clean fuel distributors are starting to own or co-finance upgrading infrastructure as part of decarbonization mandates. They need high-purity biomethane , injected at scale, with reliable uptime and grid compliance.

These projects often involve multi-vendor integration — digesters from one supplier, upgrading from another, and control systems from a third. Coordination and technical support are key.

 

Use Case Spotlight

A major cheese producer in Northern Italy faced rising energy costs and stricter EU methane regulations. Their solution? Install an anaerobic digester and modular membrane upgrading unit directly on-site. The purified biomethane was injected into the regional gas grid under Italy’s FIT program, while the residual CO2 was captured and sold to a beverage bottler nearby. The project paid back in 4.5 years — and the company now uses the model in its other production facilities across Europe.

It wasn’t just about clean energy — it was a business case wrapped in a sustainability ribbon.

 

7. Recent Developments + Opportunities & Restraints

Recent Developments (Last 2 Years)

1. Greenlane Renewables (2024 ) Launched its “Cascade Membrane” upgrading system — a modular unit that uses a three-stage membrane configuration to optimize methane recovery. The system targets decentralized farms and small industrial users.

2. Bright Renewables (2023 ) Partnered with an agricultural co-op in France to deploy 10+ mobile membrane upgrading units under a shared-ownership model. The project was partially funded by France’s Renewable Gas Subsidy Program.

3. Xebec Adsorption (2024 ) Opened a new biogas upgrading technology center in Texas focused on R&D for variable-load PSA systems and integrated IoT platforms. The facility aims to support rural North American RNG developers.

4. Air Liquide (2023 ) Commissioned a 5000 Nm³/h biomethane plant in Italy with integrated CO2 liquefaction — the largest of its kind in southern Europe. The captured CO2 will supply regional industrial users.

5. Hitachi Zosen Inova (2023–2024 ) Expanded into the Middle East by securing an EPC contract for a landfill gas upgrading facility in Abu Dhabi, designed to supply biomethane to commercial bus fleets.

 

Key Opportunities

1. Expansion in Developing Economies As rural electrification and clean cooking goals rise in India, Southeast Asia, and parts of Africa, there's huge untapped potential for compact biogas upgrading linked to waste recovery and agri -resilience programs.

2. Transport Decarbonization via Bio-CNG and RNG Incentives for renewable transport fuels — especially under California’s LCFS, Germany’s mobility mandates, and India’s SATAT program — are catalyzing demand for upgrading systems that meet fuel-grade specs.

3. Circular CO2 Valorization A new opportunity is brewing: selling purified CO2 from upgrading plants to food, agriculture, and industrial users. This helps plant operators generate an entirely new revenue stream while boosting their sustainability KPIs.

 

Key Restraints

1. High Capital Costs Upgrading systems — especially PSA or cryogenic — are still expensive upfront. Many small farms or municipalities struggle to secure financing, even with subsidies. This delays adoption despite demand.

2. Skill Gaps and Maintenance Complexity In emerging markets and remote sites, technical workforce limitations are a real hurdle. Without proper training and after-sales support, even top-tier systems risk underperformance or shutdowns.

 

7.1. Report Coverage Table

Report Attribute	Details
Forecast Period	2024 – 2030
Market Size Value in 2024	USD 1.63 Billion
Revenue Forecast in 2030	USD 3.02 Billion
Overall Growth Rate	CAGR of 10.7% (2024 – 2030)
Base Year for Estimation	2024
Historical Data	2019 – 2023
Unit	USD Million, CAGR (2024 – 2030)
Segmentation	By Technology, End Use, Capacity, Geography
By Technology	PSA, Membrane Separation, Water Scrubbing, Chemical Absorption, Cryogenic
By End Use	Municipal Facilities, Agriculture, Industrial, Landfill, Gas Grid Projects
By Capacity	Up to 500 Nm³/h, 501–1000 Nm³/h, Above 1000 Nm³/h
By Region	North America, Europe, Asia-Pacific, Latin America, Middle East & Africa
Country Scope	U.S., Canada, Germany, France, China, India, Brazil, UAE, etc.
Market Drivers	- Push for renewable gas in energy mix - Policy mandates and subsidies - Rising carbon offset and RNG credit prices
Customization Option	Available upon request