North America Biomass Market Research Report By Feedstock (Food Crop, Non-Food Crop, Wood, Agricultural Residue, Municipal Solid Waste (MSW), Microalgae, Others), By Technology (Combined Heat and Power (CHP), Anaerobic Digestion and Feedstockification, Co-Firing, Landfill Feedstock), By Product (Biodiesel, Biomethanol, BioFeedstock, Others), By End Use (Industrial, Commercial, Residential) and By Regional (US, Canada) - Forecast to 2035.

North America Biomass Market Overview

The North America Biomass Market Size was estimated at 14.73 (USD Billion) in 2023. The North America Biomass Industry is expected to grow from 15.5(USD Billion) in 2024 to 27 (USD Billion) by 2035. The North America Biomass Market CAGR (growth rate) is expected to be around 5.175% during the forecast period (2025 - 2035).

Key North America Biomass Market Trends Highlighted

The North America Biomass Market is undergoing substantial changes as a result of the increasing emphasis on sustainable practices and renewable energy. The transition to cleaner energy sources is underscored by legislative support, particularly from federal and state administrations. For example, the Renewable Fuel Standard and other policies that promote the utilization of biomass have fostered expansion in this industry. Another significant market driver is the growing demand for alternative fuels to mitigate carbon emissions and improve energy security. Biomass energy is being recognized as a viable solution for reducing reliance on fossil fuels in light of the ambitious climate objectives set by the United States and Canada.

There are numerous opportunities for exploration, such as technological advancements that enhance the efficiency and cost-effectiveness of biomass conversion. New opportunities for organizations seeking to leverage biomass resources are presented by emerging innovations in bioenergy production processes, including anaerobic digestion and gasification. Additionally, the agricultural sector in North America provides an abundant supply of biomass feedstock that can be efficiently employed for energy production. Given that sustainability continues to be a top priority, there is potential for partnerships between energy producers and agricultural sectors to enhance waste-to-energy initiatives. In recent years, there has been an increasing interest in the integration of biomass with other renewable energy sources, which has led to the development of hybrid systems that improve performance and reliability.

The broader commitment to reducing greenhouse gas emissions is reflected in the expansion of biomass in transportation fuels and energy generation. Furthermore, the demand for biomass products across a variety of applications is being fueled by the increasing education of consumers about the advantages of biomass as a renewable resource through public awareness programs. In general, the North American biomass market is on the brink of expansion, propelled by the convergence of policies, technological innovations, and societal transformations toward sustainability.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

North America Biomass Market Drivers

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  Increasing Demand for Renewable Energy Sources

  
  

The growing preference for renewable energy sources is a key driver for the North America Biomass Market Industry. With governments in the United States and Canada setting aggressive targets for reducing carbon emissions, biomass has gained prominence as a viable alternative to fossil fuels. For instance, the U.S. Energy Information Administration states that renewable energy sources accounted for 20% of total U.S. electricity generation in 2020, with biomass contributing significant portions.

This rising demand is further reinforced by various state-level renewable portfolio standards, which require utilities to obtain a designated percentage of their energy from renewable sources, boosting the market's growth potential. Organizations like the Biomass Power Association have also been active in promoting biomass as a critical player in achieving these energy and environmental objectives, which adds to the industry's favorable outlook.

Government Incentives and Policies

Government incentives and supportive policies play a crucial role in driving the North America Biomass Market Industry forward. Various federal and state programs, including tax credits and grants, are designed to reduce costs associated with biomass production and utilization. For example, the U.S. Department of Agriculture provides financial assistance for biomass projects, which has stimulated growth in rural areas where biomass resources are abundant.

The implementation of policies such as the Farm Bill reinforces the development of bioenergy, including biomass, which is becoming increasingly vital for rural economic growth. According to the U.S. Department of Energy, biomass can contribute nearly 5% of total energy production by 2030, further highlighting the importance of these government initiatives in propelling the market.

Advancements in Biomass Conversion Technologies

Advancements in biomass conversion technologies are significantly enhancing the North America Biomass Market Industry. Innovative methods, such as gasification and anaerobic digestion, have improved the efficiency of converting biomass into energy. The U.S. Department of Energy's Biomass Program has funded numerous Research and Development projects aimed at optimizing these technologies, leading to an increase in the amount of energy that can be extracted from biomass resources.

The growth of technological innovations has been substantial; for instance, the conversion efficiency of biomass into energy has increased from 15% to over 80% in some applications. This technological progress not only enhances market competitiveness but also makes biomass a more attractive energy source for various applications.

Rising Environmental Awareness and Sustainability

The increasing awareness about environmental issues and the need for sustainable practices are propelling the North America Biomass Market Industry. Consumers and businesses are more inclined towards environmentally friendly alternatives, thereby driving the demand for green energy solutions like biomass. Reports indicate that nearly 70% of North American consumers are willing to pay a premium for sustainable products, according to findings from the Nielsen Sustainability Study.

This heightened focus on sustainability is prompting businesses to adopt biomass for energy needs in a bid to reduce their carbon footprint. Organizations such as the Canadian Biomass Association are working tirelessly to spread awareness and advocate for biomass use, aligning with the market's growth trajectory.

North America Biomass Market Segment Insights

Biomass Market Feedstock Insights

The Feedstock segment of the North America Biomass Market plays a crucial role in the overall dynamics of renewable energy production and sustainability. This segment encompasses various sources, including Food Crops, Non-Food Crops, Wood, Agricultural Residue, Municipal Solid Waste (MSW), Microalgae, and others, each contributing distinctly to the biomass ecosystem. Food Crops have gained prominence due to their dual functionality in energy production and food supply, leveraging existing agricultural practices. Non-food crops, while also valuable, focus on biomass production specifically for energy, utilizing lands that are not competing with food production, thus enhancing land use efficiency.

Wood remains a dominant feedstock due to its high energy yield and long history of use in biomass applications, playing a significant part in the lumber and forestry sectors. Agricultural Residue offers a sustainable resource by utilizing leftover materials from farming, effectively mitigating waste while contributing to energy needs. Municipal Solid Waste (MSW) represents a substantial potential source of biomass energy by converting urban waste into energy, addressing both energy production and waste management challenges. Microalgae stand out for their rapid growth and ability to absorb carbon dioxide, enhancing their importance in both biofuel production and carbon capture initiatives, while other sources continue to diversify the feedstock landscape.

Collectively, these Feedstock sources are integral to the North America Biomass Market revenue, driving growth and innovation while addressing environmental issues such as waste disposal and greenhouse gas emissions. Current trends are gravitating towards optimizing biomass resources and technologies, with increasing investments focusing on enhancing conversion efficiencies and integrating advanced biofuels into existing energy infrastructures. As various sectors within the Feedstock segment evolve, there exists potential for collaboration between agricultural, environmental, and energy stakeholders to transform the challenges posed by traditional energy sources into significant opportunities for sustainable development in North America.

This convergence of energy, agriculture, and waste management initiatives exemplifies a critical shift toward designing a resilient and equitable energy future. At the same time, the Feedstock segment continues to adapt to regulatory changes and emerging technologies that promote environmental sustainability.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Biomass Market Technology Insights

The North America Biomass Market within the Technology segment encompasses various innovative methods for converting biomass into usable energy. Among these, Combined Heat and Power (CHP) systems stand out for their efficiency in generating electricity and heat simultaneously, making them a preferred choice for industrial applications and improving energy overall efficiency. Anaerobic Digestion and Feedstockification technologies are gaining traction due to their ability to convert organic materials into biogas, which serves as a renewable energy source while also addressing waste management challenges.

Co-firing represents another significant approach, wherein biomass is used alongside fossil fuels in existing power plants, facilitating a smoother transition towards renewable energy while minimizing environmental impact. Furthermore, Landfill Feedstock technology aids in capturing methane emissions from landfills, thereby transforming waste into a valuable energy resource and minimizing greenhouse gas emissions. The growth drivers for these technologies include stringent environmental regulations, rising energy demands, and a greater focus on sustainable practices, positioning them as key players in reducing carbon footprints and achieving energy independence in North America.

Overall, the constant innovation within these technologies promises a robust future for the North America Biomass Market, leading to enhanced energy security and environmental sustainability.

Biomass Market Product Insights

The North America Biomass Market is characterized by a diverse range of products, primarily including Biodiesel, Biomethanol, BioFeedstock, and other emerging alternatives. Biodiesel holds a prominent position, driven by its sustainability and compatibility with existing diesel engines, gaining traction as a renewable energy source. Biomethanol is increasingly recognized for its utility in reducing greenhouse gas emissions and its potential in energy storage applications, emphasizing a shift towards cleaner fuels. BioFeedstock is critical as it provides the raw materials necessary for producing various biofuels, supporting agricultural sectors within North America.

The demand for alternative energy sources is bolstered by government initiatives aimed at enhancing energy independence and promoting environmental sustainability. Each of these product categories plays a significant role in the North America Biomass Market landscape, responding to an increasing need for renewable energy solutions while addressing challenges such as resource availability and market integration.

Biomass Market End-Use Insights

The North America Biomass Market is divided into various segments based on end use, which includes Industrial, Commercial, and Residential applications. The Industrial segment plays a critical role in the adoption of biomass energy, primarily driven by the need for eco-friendly energy solutions and stringent regulations on fossil fuels. This sector is focused on using biomass for power generation and heating processes, which significantly reduces carbon footprints and operational costs. In the Commercial segment, businesses leverage biomass to enhance sustainability efforts and meet growing consumer demands for environmentally responsible practices.

Biomass is becoming an essential energy source for facilities like restaurants, hotels, and supermarkets, promoting energy independence and resilience against fluctuating energy prices. The Residential segment emphasizes the rising popularity of biomass for heating and cooking, particularly in rural and suburban areas where conventional energy may be less accessible or more expensive. The growth of biomass technologies, such as pellet stoves, showcases their practicality and effectiveness as an energy solution in homes. Overall, the North America Biomass Market segmentation highlights substantial opportunities and growth factors that drive the adoption of biomass across diverse applications.

Biomass Market Regional Insights

The North America Biomass Market is experiencing significant growth, driven by an increasing demand for sustainable energy sources and efficient waste management practices. The regional segmentation of the market focuses on major players in the United States and Canada, where renewable energy initiatives are robust. The US dominates this market, reflecting strong policies supporting biomass utilization in sectors such as transportation and heating, contributing to a notable share of the overall market. Meanwhile, Canada emphasizes its vast forest resources, which are pivotal for biomass production, thus enhancing its position in this segment.

However, challenges such as feedstock availability and rising competition from other renewable resources also exist. Despite these hurdles, the North America Biomass Market demonstrates potential through government incentives and public awareness campaigns, with a focus on converting agricultural and forest residues into valuable energy resources. This regional landscape suggests a promising outlook for biomass energy as both the US and Canada continue to innovate and expand their functionalities and applications in the biomass sector.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

North America Biomass Market Key Players and Competitive Insights

The North America Biomass Market is characterized by a growing interest in sustainable energy solutions as stakeholders look to reduce greenhouse gas emissions and minimize reliance on fossil fuels. This market is marked by a diverse competitive landscape including varying players ranging from established energy companies to innovative startups. The increasing demand for renewable energy sources, coupled with government regulations promoting biomass utilization, creates a dynamic environment for competition. Key market participants continually strive to enhance their technological capabilities, develop strategic partnerships, and innovate product offerings in order to maintain a competitive edge. The emphasis on sustainability drives companies to invest in research and development while forming strategic alliances with industry partners to expand their market reach.

Maine Energy has established a strong foothold in the North American biomass sector, leveraging its expertise in converting waste materials into renewable energy. The company has effectively positioned itself through strategic operations and a commitment to sustainable practices, capitalizing on the region’s abundant biomass resources. Maine Energy’s strengths lie in its operational efficiency, innovative technologies, and strong relationships with local suppliers. By focusing on delivering consistent energy while adhering to environmental regulations, the company has become a trusted player in the market. Its ability to navigate regulatory landscapes and secure long-term contracts further enhances its overall market presence, allowing Maine Energy to thrive in a competitive sector that requires both reliability and compliance.

AquaInvest focuses on integrating aquaculture and biomass energy, thus creating a unique dual offering in the North American biomass landscape. The company specializes in the development and deployment of biomass systems that utilize organic materials from aquaculture processes as a renewable energy source. AquaInvest’s strengths include its pioneering technologies that aim to optimize energy production from eco-friendly sources while promoting sustainable practices within the aquaculture industry. The company has demonstrated an ability to expand its market presence through strategic mergers and acquisitions, which have fortified its capabilities and broadened its service offerings. By constantly innovating and investing in research to enhance its product efficiency, AquaInvest remains competitive in a rapidly evolving market, positioning itself as a valuable player dedicated to combining biodiverse ecosystem management with energy production solutions in the North American region.

Key Companies in the North America Biomass Market Include

• Maine Energy


• AquaInvest


• Abengoa Bioenergy


• American Vanguard Corporation


• TreeZero


• NOVA Biosciences


• Rentech Inc.


• Green Plains


• Westervelt Company


• Drax Group


• Enviva Holdings


• BioEnergy DevCo


• Paracker Resources


• Renewable Energy Group


• Pinnacle Renewable Energy

North America Biomass Market Industry Developments

Recent developments in the North America Biomass Market have shown a steady growth trajectory, driven by increasing demand for renewable energy sources. Companies like Enviva Holdings and Drax Group are expanding their production capabilities to meet the rising consumption of biomass in energy generation. In a notable merger, Abengoa Bioenergy acquired a minority stake in a new project initiative in September 2023, aiming to enhance its strategic positioning in the market. The ongoing focus on sustainability has led to companies such as Green Plains and Renewable Energy Group promoting biomass as a viable alternative to fossil fuels. In the last few years, initiatives like Maine Energy launching innovative biomass conversion technologies in early 2022 and Pinnacle Renewable Energy’s expansion plan announced in mid-2021 have contributed to evolving industry dynamics. Furthermore, growth in environmental regulations by North American governments is propelling investments into biomass solutions, which is essential for achieving climate goals. As the paradigm shifts toward greener practices, the biomass sector is poised for substantial expansion, reflected in the rising market valuation of key players like TreeZero and NOVA Biosciences, bolstering confidence in the industry’s prospects.

Biomass Market Segmentation Insights

Biomass Market Feedstock Outlook

• Food Crop


• Non-Food Crop


• Wood


• Agricultural Residue


• Municipal Solid Waste (MSW)


• Microalgae


• Others

Biomass Market Technology Outlook

• Combined Heat and Power (CHP)


• Anaerobic Digestion and Feedstockification


• Co-Firing


• Landfill Feedstock

Biomass Market Product Outlook

• Biodiesel


• Biomethanol


• BioFeedstock


• Others

Biomass Market End-Use Outlook

• Industrial


• Commercial


• Residential

Biomass Market Regional Outlook

• US


• Canada

Report Attribute/Metric	Details
Market Size 2023	14.73(USD Billion)
Market Size 2024	15.5(USD Billion)
Market Size 2035	27.0(USD Billion)
Compound Annual Growth Rate (CAGR)	5.175% (2025 - 2035)
Report Coverage	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Base Year	2024
Market Forecast Period	2025 - 2035
Historical Data	2019 - 2024
Market Forecast Units	USD Billion
Key Companies Profiled	Maine Energy, AquaInvest, Abengoa Bioenergy, American Vanguard Corporation, TreeZero, NOVA Biosciences, Rentech Inc., Green Plains, Westervelt Company, Drax Group, Enviva Holdings, BioEnergy DevCo, Paracker Resources, Renewable Energy Group, Pinnacle Renewable Energy
Segments Covered	Feedstock, Technology, Product, End Use, Regional
Key Market Opportunities	Rising demand for renewable energy, Government incentives for biomass projects, Advancements in biomass technology, Growing interest in waste-to-energy solutions, Expansion of the biofuels market in transportation
Key Market Dynamics	renewable energy demand, government incentives, technological advancements, environmental regulations, raw material availability
Countries Covered	US, Canada