The global renewable natural gas market size is projected to reach USD 30.13 billion by 2033, growing at a CAGR of 8.0% from 2025 to 2033, according to a new report by Grand View Research, Inc. The RNG market is experiencing robust global expansion driven by the urgent need for sustainable, low-carbon energy solutions and growing efforts to reduce methane emissions from organic waste streams. As governments and industries intensify their focus on decarbonization and circular economy practices, RNG is increasingly being adopted as a scalable and cost-effective alternative to fossil natural gas across transportation, industrial, commercial, and utility sectors. The shift toward cleaner fuel options, particularly in heavy-duty mobility and hard-to-abate industries, combined with the expansion of waste-to-energy initiatives and supportive policy frameworks, is accelerating market deployment and infrastructure development.
The RNG market is expected to experience sustained growth as nations pursue net-zero targets, enhance energy security, and accelerate the adoption of renewable natural gas (RNG) as a fuel. Rising strategic partnerships, expanding financing support from climate investment funds, and increasing participation of utilities and multinational energy companies are driving scale-up across both developed and emerging markets. With growing R&D initiatives, favorable regulatory policies, infrastructure expansion, and ongoing technological innovation, RNG is poised to play a central role in the global clean-energy transition by ensuring a reliable, flexible, and sustainable renewable gas supply for diverse end use applications.
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Based on source, the landfill segment accounted for the largest share, approximately 43%, in 2024. Landfills remain the primary feedstock for Renewable Natural Gas (RNG) production due to the abundant availability of municipal solid waste and well-established systems for capturing and upgrading landfill gas. Regulatory mandates aimed at reducing methane emissions, along with rising investments in waste-to-energy infrastructure, are further supporting landfill-based RNG projects. Utility partnerships for pipeline injections and the growing adoption of circular waste management practices continue to reinforce the segment's dominance in the global RNG market.
Based on application, the transportation fuel segment held the largest market share of around 56% in 2024. RNG is increasingly being adopted as a low-carbon alternative to diesel in heavy-duty vehicles, transit fleets, and commercial trucking due to its ability to significantly reduce greenhouse gas emissions and leverage existing natural gas vehicle (NGV) infrastructure. Strong policy incentives, including low-carbon fuel standards and renewable fuel credits, along with rising corporate sustainability goals and fleet decarbonization initiatives, are driving rapid expansion in this segment.
Grand View Research has segmented the global Renewable Natural Gas (RNG) market based on source, application, and region.
Renewable Natural Gas Source Outlook (Revenue, USD Million, 2021 - 2033)
Landfills
Agricultural Residue
Livestock Manure
Others
Renewable Natural Gas Application Outlook (Revenue, USD Million, 2021 - 2033)
Transportation Fuel
Electricity Generation
Utility Distribution
Others
Renewable Natural Gas Regional Outlook (Revenue, USD Million, 2021 - 2033)
North America
U.S.
Canada
Mexico
Europe
Germany
UK
France
Asia Pacific
China
India
Japan
South Korea
Latin America
Brazil
Middle East & Africa
Saudi Arabia
UAE
List of Key Players in the Renewable Natural Gas Market
Clean Energy Fuels Corp.
Archaea Energy Inc.
Xebec Adsorption Inc.
Brightmark LLC
Ameresco Inc.
Montauk Renewables Inc.
Waste Management Inc.
Renewi PLC
Air Liquide S.A.
FortisBC Energy Inc.
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