BIOMASS POWER MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024-2031)

The high capital cost of establishing biomass power plants as compared to coal power plants is one of the major factors restraining the growth of the global biomass power market. Developing a biomass power plant requires massive initial investments for setting up the infrastructure to collect, transport and store large amounts of biomass fuel on a consistent basis. This includes investments in logistics such as warehouses, trucks and equipment related to fuel collection and preprocessing activities. Additionally, the electricity generation technologies used in biomass power plants like steam turbines also have high setup costs.

Market Opportunities: Co-firing of biomass with coal

Co-firing of biomass with coal could be a great opportunity in the global biomass power market in the coming years. Co-firing biomass reduces the carbon intensity of power generation from coal. It involves blending biomass fuels such as wood chips, agricultural residues and energy crops with coal, which can then be burned together in existing coal-fired power plants. This helps utilize existing coal infrastructure for clean energy production and provides a cost-effective way for utilities to increase use of renewable sources.