Investment in new U.S. biogas projects surged by $3 billion in 2024, according to new data released by the American Biogas Council.

Over the course of the year, 125 new biogas projects were launched nationwide, marking a 17% increase in project count and a 40% rise in capital investment compared to 2023.

Biogas systems transform organic waste – such as livestock manure, wastewater sludge, food scraps, and captured landfill gas – into renewable natural gas (RNG), electricity, thermal energy, and nutrient-rich fertilizer. Altogether, these segments boosted biogas production by more than 10% over previous annual records.

These recent developments bring the total number of biogas facilities in the U.S. to nearly 2,500, producing approximately 1.4 million standard cubic feet per minute (scfm) of biogas. This form of dispatchable renewable energy is equivalent to the output of around 15,000 football fields’ worth of solar panels, capable of powering 2.4 million homes annually or replacing the gasoline consumption of 2.6 million vehicles.

Beyond its energy potential, biogas delivers substantial environmental benefits. It boasts a carbon intensity between 50% and 700% lower than fossil fuels, largely due to the capture of methane – a highly potent greenhouse gas – that would otherwise be released into the atmosphere. By replacing fossil-based fuels and synthetic fertilizers, biogas helps cut emissions across multiple sectors.

“The biogas industry keeps hitting new growth records every year because, as an energy source, biogas just makes sense. It provides much-needed clean electricity, cuts pollution and emissions from transportation, and provides heat-producing fuel for industries, all while managing millions of tons of waste from farms and cities alike,” said ABC Executive Director Patrick Serfass. “In a time when demand for domestic energy is increasing significantly, fertilizer markets are constrained by the Ukraine conflict, and America is striving for energy and industrial dominance, the value of 24/7/365 energy and locally produced, natural fertilizer from biogas projects is undeniable.”

Landfill gas (LFG) projects continue to dominate U.S. biogas output, accounting for 72% of total production, despite representing fewer facilities than the agricultural and wastewater sectors. In 2024 alone, 24 new LFG systems came online, increasing the number of active landfill projects to 580 – a 4.3% year-over-year growth.

These landfill-based developments attracted roughly $1.4 billion in new investment, nearly half (47%) of all capital directed toward biogas in 2024. This expansion added more than 12% to the sector’s output, with total LFG production now approaching 980,000 scfm. While many newer projects are designed to convert biogas into RNG, most existing LFG systems – about 77% – still generate electricity.

Meanwhile, the agricultural sector led the way in new projects, accounting for 93 of the 125 systems launched in 2024 – almost quadruple the number of new LFG installations. For the first time, agricultural biogas facilities outnumber landfill-based systems. These new farm-focused projects brought in $1.37 billion in investment, mostly directed toward rural communities, and represented a 24% increase from 2023’s figures.

The agricultural biogas sector grew by nearly 18% in total, with the number of facilities climbing from 522 to 615 and generating an additional 21,000 scfm. Notably, hog farms played a growing role, contributing 29 new installations – 31% of the year’s farm-based projects – as producers seek better ways to manage animal waste.

A clear trend in 2024 was the expanding focus on RNG. Of the new agricultural systems, 95% were built to produce RNG as their primary output. RNG-producing facilities now outpace electricity-generating systems in the farming sector by a ratio of nearly three to two.

While the wastewater sector didn’t match the pace of growth seen elsewhere, it remains the largest in terms of facility count – making up about 47% of all biogas installations – and has the longest operational track record. Some wastewater treatment plants have utilized anaerobic digestion for sludge management since the 1920s.

Dedicated food waste biogas systems remain relatively rare, due in part to their technical challenges. Still, three new standalone food waste facilities were added in 2024, bringing the total to 114. However, roughly 200 agricultural and wastewater systems currently co-digest food waste with manure or biosolids, expanding the sector’s overall reach. More growth is on the horizon, with 16 food waste-specific projects already under construction for 2025.

Out of the 125 new biogas projects initiated in 2024, 119 – around 95% – were built with RNG production in mind. This reflects a continued industry-wide shift that began in 2018, spurred by state and federal incentives like California’s Low Carbon Fuel Standard (LCFS) and the federal Renewable Fuel Standard (RFS), both of which reward low-carbon transportation fuels.

Despite the focus on RNG, electricity remains the primary use of biogas. Over 77% of all facilities – and 60% of total production – still serve power generation, underlining the sector’s ongoing role in renewable electricity supply.

Today, biogas systems are operational in every U.S. state, thanks to the universal generation of organic waste from both people and animals. The recent uptick in agricultural installations has drawn investment into rural, farm-heavy areas. Meanwhile, development in the LFG sector is influenced by the availability of underutilized landfill sites. In 2024, California, Illinois, South Dakota, Pennsylvania, and Virginia saw the highest levels of new investment. In 2023, the top states included Michigan, Indiana, Virginia, Ohio, and Texas.

Each year, Americans dispose of more than 1.4 billion tons of manure, 33 million tons of inedible food waste, and 1 million tons of wastewater biosolids. Additionally, 470 landfills still flare methane that could instead be captured and repurposed. According to the American Biogas Council, over 20,000 additional biogas systems could be developed nationwide to convert this waste into usable energy and products – creating jobs and slashing emissions in the process.

These untapped projects could collectively generate up to 20 gigawatts of continuous power, support roughly 740,000 short-term construction jobs, and provide 25,000 permanent operational roles, with further growth expected across the supply chain.

The American Biogas Council sees this expansion as a critical economic and environmental opportunity. Further scaling the industry could reduce reliance on landfills, curb methane emissions, strengthen domestic energy production, provide renewable fertilizers that boost agricultural productivity, and support good-paying jobs across both rural and urban settings.

GPRS supports biogas facility projects through our comprehensive suite of subsurface damage prevention, existing conditions documentation, and construction & facilities project management services.

Our 99.8%+ accurate utility locating and concrete scanning services mitigate the risk of subsurface damage when you must break ground. We use 3D laser scanning to capture these markings, as well as all above-ground details for future use. And our in-house Mapping & Modeling Department can use this data to create complete, accurate as-built drawings and 3D Building Information Modeling (BIM).

All this data is at your fingertips 24/7 thanks to SiteMap® (patent pending), GPRS’ project & facility management application that provides accurate existing conditions documentation to protect your assets and people.

Click below to schedule your live, personal SiteMap® demo today!