Indonesia Biogas Market

Indonesia Biogas Market Size Report – In a Glance

As per the survey report on Indonesia biogas market, the market is expected to foresee a CAGR value of xx% during 2025-2035, and further generate a market size of USD xx billion by the end of 2035. In 2024, the market size was value at USD xx billion revenue.

• The Indonesia biogas market’s growth is driven by government taking initiatives to convert organic by-products into renewable energy.
• KDMI analyst’s growth analysis foresees high initial investment and limited financing options as restraint for Indonesia biogas market.

Indonesia Biogas Market Analysis

Biogas is a flammable, renewable fuel product that is produced from anaerobic digestion also knows as the process of breaking down of components in the absence of oxygen of organic matter like food scraps, animal manure, and sewage. Biogas is a mixture of gases including carbon dioxide and methane, this product is used to generate electricity, heat, and power for vehicles. Biogas is also used in cooking in some applications, to reduce higher costs related to inorganic compounds and products. The Indonesian government has established a National Strategic Program named as “Waste-to-energy”. Waste management plays significant role in waste-to-energy program by developing country’s renewable energy and environmental development. Indonesian government has planned to increase its renewable energy distribution to 23% of the energy mix by 2025. This focused program leads the biogas market in the region.

Indonesia Biogas Market Growth Drivers and Restraints

Growth Drivers

• Abundant availability of livestock and agricultural waste – Indonesia’s strong base in agriculture sector, particularly in palm oil livestock, and rice cultivation, where waste is massively produced in larger amount due to organic-by products and wastes. Palm oil mill emissions, livestock manure, and crop residues are often disposed in unmanageable manner which harm the environment, and this demand for effective solutions in the region to manage wastes. Biogas technology plays vital role in providing effective solutions for these wastages, it converts organic waste into renewable energy, and this technology helps to reduce environmental pollution during electricity and heat generation. Biogas technology ensures clean cooking gas with managing waste produced from livestock. This technology is popular in rural and semi-urban areas, where traditional energy supply is limited.
• Government support and renewable energy targets – Indonesian government plays significant role in expanding adoption of biogas technology and increase its renewable energy sector share by 23% in 2025, which drives Indonesia’s biogas market. Biogas is a crucial product in electrification and supply of decentralized energy. Government imposes certain regulations and policies along with international development agencies, which focuses on improving livestock waste management and offer incentives to renewable energy projects. This policy support and initiatives boost help sectors to effectively manage their financial and technical requirement, which emphasize industries to adopt biogas as an efficient alternative to conventional gases.

Restraints

• High initial investment and limited financing options – The Indonesia biogas market faces challenge due to high costs associated to initial investment in adopting biogas technology and increasing renewable energy share. The higher investment is a major hurdle for small-scale enterprises due to their budget constraints, and limited financing options discourage enterprises to adopt advanced technologies to convert organic by-products into renewable energy. Rural households and farmers lack access to affordability and this results in slowdown of widespread adoption of biogas technology.

Indonesia Biogas Market Segmentation

Our experts at KD Market Insights have segmented the Indonesia biogas market research report as:

Analyst’s Observation on Indonesia Biogas Market Recent Developments

Over the years, the experts at KD Market Insights have been observing the recent developments associated with Indonesia biogas market trends. Our expert’s market forecast analysis has recorded the market players adopting plentiful of key strategies including new product launches, mergers & acquisitions, and collaborations.

Pertamina has recently signed a memorandum of understanding (MoU) with Malaysian renewable energy developer reNIKOLA Holdings. The collaboration is aimed to develop biogas and biomethane projects in Indonesia. It also focuses on converting organic waste, especially from palm oil production to renewable gas for local and regional energy supply. The MoU was signed during the Pipelines and Energy Summit in Jakarta.

Indonesia Biogas Market Competitive Landscape

Some of the significant participants who top the Indonesia biogas market share:

• PT Pembangkit Listrik Indonesia
• PT Rekayasa Industri
• PT Pertamina
• PT Perusahaan Gas Negara
• Veolia Indonesia
• Suez Indonesia
• Total Eren
• Waste4Change
• Cenergi SEA
• PT Multi Agro Synergy