Biomethane Market is Poised to be Worth US$ 5.5 Bn by 2026
Biomethane Market is an eco-friendly non-fossil source of energy. Biomethane is normally produced from biogas, which is derived from organic matter such as sewage, landfill, food waste, or distillery waste. This makes biomethane a renewable source of energy.
- Biomethane as a transport fuel
Shortage of conventional fossil fuels such as oil and natural gas and environmental degradation are major concerns worldwide. Production and use of renewable energy resources are likely to help overcome these issues. Biomethane, which is derived from biogas, can be used as vehicle fuel. Purified biomethane has the same properties as natural gas and it can function as a highly efficient and eco-friendly fuel for natural gas cars. Also, it can be injected into natural gas grids. Biomethane offers various environmental benefits when used as a transport fuel. It reduces the amount of CO2 emissions significantly. Biomethane is suitable for all engine types and all modes of transport.
- High initial investment and high installation and operating costs
The initial investment for establishing a biomethane plant is high. Certain countries provide financial assistance for construction of biomethane plants. However, financial assistance is also required for development and expansion of the plant. The process of procuring and storing feedstock is time-consuming and costly. Financial assistance is also required for collection, sorting, processing, supply, and distribution of feedstock; construction and operation of biomethane plants; and sale and distribution of biomethane. The output of biomethane needs to be sufficient and consistent to cover installation and operating costs.
The information Presented in this Review is Based on Press-Release by TMR
- Surge in demand for electricity
Surge in population across the globe, growth of the industrial sector, and rise in infrastructure development activities are boosting the demand for electricity. Electricity has facilitated functions such as interactions, industrial activities, and services. Demand for energy is increasing due to development of countries and rise in standards of living. Countries across the globe are increasing their electricity generation capacity by establishing new plants or increasing the capacity of existing plants to meet the rising demand for electricity. Companies are increasing the use of renewable sources of power generation, due to stringent government regulations on greenhouse gas (GHG) emissions.