The Race to Own Waste: Inside the Biogas Power Play

US renewable gas capacity jumps 35% as major mergers drive biogas innovation and expansion

10 Nov 2025

North America’s biogas industry is expanding rapidly as mergers and large-scale investments transform waste into a major source of clean energy. Once viewed as a niche sector, renewable natural gas (RNG) is gaining prominence in the region’s decarbonisation strategy.

New figures from consultancy Wood Mackenzie show RNG capacity in the US and Canada has increased 35 per cent since 2023, with total output expected to reach 604mn cubic feet per day by the end of 2025. The rise reflects a mix of government support, investor confidence and improvements in technology.

Vanguard Renewables has strengthened its position by acquiring Florida-based recycler Complete Beverage Destruction, expanding access to beverage waste processing in the southeast. The deal will enhance its ability to convert food and beverage waste into renewable gas, supporting major consumer brands seeking to meet emissions targets.

Clean Energy Fuels, another leading player, is enlarging its national network through long-term RNG supply agreements with trucking and transit operators, alongside construction of new fueling stations to meet growing demand.

Analysts say the sector is entering a new phase of vertical integration. “The companies that can own both the waste supply and the distribution network will shape the next decade of renewable gas,” said one market observer.

Despite the sector’s strong growth, developers still face obstacles, including high upfront costs, complex permitting, and uncertain policy incentives. Yet advances in conversion technology and the spread of state-level low-carbon fuel standards are lowering barriers and attracting new participants.

The acceleration of biogas development signals a broader shift within the renewable energy landscape. Once considered marginal, the sector is now emerging as a key pillar of North America’s clean energy transition, driven by innovation, consolidation and the growing commercial appeal of turning waste into fuel.