Biomass Power Market Size, Share, Growth, Trends, and Global Industry Analysis: By Feedstock (Agricultural Residues, Biogas, Landfill Biomass, Energy Crops, Industrial & Municipal Waste, Woody Biomass, Sewage Gas Others), By Technology (Combustion, Gasification, Anaerobic Digestion Others), By End User (Residential, Industrial, Commercial) and Region

Biomass Power Market size was valued at US$ 164.2 million in 2023 and growing at a CAGR of 6.7% from 2024-2030. To generate electricity or other forms of power, biomass fuel is a renewable energy source that is obtained from organic material, which is also sustainable and renewable. In biomass power plants, waste materials, such as wood waste, are burned to create steam, which powers a turbine to generate electricity or heat homes and businesses. Appreciatively, advances in combustion engineering and pollution control technology have made it such that the emissions produced by burning biomass in industrial facilities are lower than those created by using fossil fuels.

The key factors fueling the market growth are rising investments in renewable power generation capacity, energy security, technological advancements, waste management, and public awareness with demand driving demand for clean energy resources. For instance, the U.K. government announced in September 2021 a package worth $1.2 billion for private and public interest in India's green initiatives and sustainable power. In an attempt to get private finance for a fair framework in India, they have outlined a collaborative endeavor known as the Climate Finance Leadership Initiative (CFLI) India. These projects would help India reach its 2030 target of 450 GW of unending electricity. In this sense, the public authority's conjecture regarding sustainable power sources aids in the market's growth within the given time frame. However, high initial costs, feedstock availability, and consistency, land use and environmental concerns, technical challenges, and regulatory and policy uncertainty are the limiting factors for the market growth.

Furthermore, waste-to-energy potential, integration with other renewables, bioenergy with carbon capture and storage, and technological innovations are opportunities for the industry. In addition, market trends include decentralized energy generation, focus on sustainability, digital technology integration, and global collaboration.

Biomass Power Market Key Developments

• In March 2023, In Miyagi prefecture, Renova, a Japanese provider of renewable energy, started operating a 75 MW biomass-based power plant called Ishinomaki Hibarino. The plant produces about 530 GWh of power annually using wood pellets and palm kernel shells. Renova successfully began the power plant despite early setbacks, adding to Japan's green energy portfolio.
• In February 2024, the first biomass power plant to be built by Seiko Epson Corporation is scheduled to be built in Iida City, Nagano Prefecture, Japan. By 2026, the plant should be up and running, with the corporation concentrating on achieving its decarbonization targets by using renewable electricity and turning carbon negative.