Biomass refers to biodegradable organic materials which are non-fossilized and originate from biological sources derived from plants, animals, and micro-organisms. Biomass includes wastes, residues, products, and byproducts from forest, agriculture, and related industries as well as biodegradable organic fractions of municipal and industrial wastes. Biomass in general refers to agriculture and wood wastes, waste from food processing industries, urban and industrial residues, short rotation woody crops, wood, sawdust, municipal solid waste (MSW), and a host of other materials. It can be used as a source of energy input for the provision of heat, electricity generation, and as a fuel in the transportation sector. Biomass is a carbon-neutral, environment-friendly and sustainable source of power generation with a significant potential to reduce reliance on fossil fuels.
Rapidly growing industrialization, and developing and emerging economies such as China, India, and Brazil are fueling the demand for energy. Biomass power generation is increasingly adopted across the globe to meet policy targets for reliable, affordable, and secure supply of energy in order to promote economic development and improve electricity access. Biomass power generation, unlike other alternative sources, can also provide base load power which is expected to foster additional growth in the biomass power generation market. Clean sources of renewable energy form a significant part of the solution to economic, climate, environmental, and security challenges posed by the utilization of fossil fuels.
Biomass used for power generation can provide a low-carbon and sustainable alternative to fossil fuels, while allowing local communities to use domestic biomass resources. The utilization of biomass resources for power generation forms an important part of the strategic initiatives by various governments and institutions. These initiatives aim to reorganize the national energy economies and augment the share of renewable energy in the overall power generation mix.
For this study, the biomass power generation market has been segmented on the basis of feedstock type and biomass power conversion technology. On the basis of feedstock type, the biomass power generation market has been segmented into woody biomass, agriculture & forest residues, biogas & energy crops, urban residues, and landfill gas feedstock. According to current estimates, woody biomass is the single largest feedstock for power generation through biomass and occupies the major market share globally in terms of utilization of feedstock by biomass power plants. Agriculture and forest residues are the second most preferred biomass feedstock across the globe. The use of agriculture and forest residues to produce biomass power offers significant opportunity for local and regional economies along with the potential to tap resources around the country.
Regulatory framework and government support in terms of government grants and funding programs that provide investment subsidies and tax benefits play a key role in encouraging power generating companies and utilities to switch to environment-friendly biomass for power generation. Many countries such as the U.S., U.K., and Germany provide a range of incentives and grants to encourage the development and use of biomass as a source of energy. Some countries including India, Indonesia, Australia, and Poland are proposing legislation to boost investments in biomass power generation.
Cost of electricity from biomass-fired power plants majorly depends on feedstock and capital costs. Biomass can compete with conventional power sources with the availability of low cost agricultural or forestry wastes and residues. Even in the regions where feedstock is expensive, the cost of electricity from biomass is still more competitive than that from coal-fired generation, making biomass ideal for off-grid power supply. Governments support the biomass power sector in the form of incentives that include feed-in tariffs, tax incentives, loan guarantees and public competitive bidding. The above factors are likely to fuel growth in the biomass power generation market.
Key participants in the global biomass power generation market include Alstom SA, Ameresco, Inc., DONG Energy A/S, Drax Group plc, Forth Energy Ltd., Helius Energy Plc, Enviva LP, MGT Power Ltd., The Babcock & Wilcox Company, and Vattenfall AB. The report provides an overview of these companies, followed by their financial overview, business strategies, and recent developments.
With technological advances and ongoing research and development (R&D) to commercialize the use of biomass for power generation, the biomass power generation market is anticipated to register higher growth in the next few years. Increasing utilization of biomass, including manure and plant materials, to generate electricity and produce biomass fuels for transportation can provide a low-carbon and sustainable alternative to fossil fuels. Both developing and developed economies are increasingly focusing on biomass for power generation in order to reduce greenhouse gas emissions. This is primarily since biomass is carbon-neutral. Biomass power generation produces as much carbon as the plants absorb from the atmosphere.
Power generation through biomass also provides significant benefits to local communities. Biomass is also expected to help a country phase out the use of coal for generating electricity. Biomass power makes productive utilization of wood manufacturing wastes, crop residues and the clean portion of urban wastes. Sustainable biomass resources and scales of operation can be identified by assessing the total biomass production in a particular region, while balancing energy and environmental tradeoffs.
The research study is designed to analyze the global biomass power generation market. The market is calculated in terms of installed capacity (MW), power generation (Million KWh), and revenue (USD Million). The market for biomass power generation, based on feedstock, has been segmented into woody biomass, agriculture & forest residues, biogas & energy crops, urban residues, and landfill gas feedstock. On the basis of technology, the biomass power generation market has been segmented into anaerobic digestion, combustion, gasification, co-firing & CHP, and landfill gas (LFG). The regional segments included in this study are North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
These regional segments are further divided into country-wise segments for the respective region. North America is further sub-segmented into the U.S. and Rest of North America; Europe is sub-segmented into Sweden, Finland, the U.K., Germany, Italy, and Rest of Europe; Asia Pacific is sub-segmented into China, India, Japan, and Rest of Asia Pacific; Middle East and Africa (MEA) is further sub-segmented into South Africa and Rest of MEA; and Latin America is sub-segmented into Brazil and Rest of Latin America.
The report provides a detailed growth forecast for the period 2014–2022 based on the historical years – 2012 and 2013. Projections have been provided for installed capacity (MW), power generation (Million KWh), and revenue (USD Million). The report includes the key market dynamics affecting the demand for biomass power generation feedstock and technologies. As a part of our market dynamics analysis, we have analyzed market drivers, market restraints, and market opportunities. A comprehensive competitive landscape, which includes company market share analysis and market attractiveness analysis, has also been provided in this report.
The report also provides a detailed industry analysis of the global biomass power generation market with the help of Porter’s Five Forces model. The Porter’s Five Forces analysis aids in understanding the five major forces that affect the industry structure and profitability of the global power generation technology market. The forces analyzed are the bargaining power of buyers, bargaining power of suppliers, threat from new entrants, threat from substitutes, and degree of competition.
The study also includes the value chain of the global biomass power generation market which provides a glimpse of procurement and logistics, biomass conversion techniques as well as interaction of suppliers and buyers with end-users. The company market share analysis has been done considering the biomass installed capacity, number of biomass power plants (installed and upcoming), revenues, and global penetration of key market players in the biomass industry. The market attractiveness analysis involves benchmarking and ranking each technology and region on the basis of numerous parameters. The parameters selected are likely to have a pronounced effect on the demand for each technology in the current scenario as well as in the near future.
Key participants in the global biomass power generation market include Alstom SA, Ameresco, Inc., DONG Energy A/S, Drax Group plc, Forth Energy Ltd., Helius Energy Plc, Enviva LP, MGT Power Ltd., The Babcock & Wilcox Company, and Vattenfall AB. This report provides an overview of these companies, followed by their financial revenues, business strategies, and recent developments.
Global Biomass Power Generation Market: Feedstock Segment Analysis
- Woody Biomass
- Agriculture & Forest Residues
- Biogas & Energy Crops
- Urban Residues
- Landfill Gas Feedstock
Global Biomass Power Generation Market: Technology Segment Analysis
- Anaerobic Digestion
- Co-firing & CHP
- Landfill Gas (LFG)
Global Biomass Power Generation Market: Regional Segment Analysis
- Rest of North America
- Rest of Europe
- Rest of Asia Pacific
Middle East and Africa (MEA)
- South Africa
- Rest of MEA
- Rest of Latin America