Investment in new US biogas systems surpassed $2 billion in 2025, with 70 new projects coming online and pushing the total number of operational facilities to nearly 2,600, according to new data from the American Biogas Council (ABC).
Industry-wide biogas capture capacity rose 7.5% over the year to 780.7 billion cubic feet (Bcf) annually, with collectively the country's biogas facilities now producing enough energy to power 5.2 million homes per year.
"Biogas continues to prove its value as a practical, scalable solution for America's energy and waste challenges," said ABC executive director Patrick Serfass.
"In an era of rising energy demand, increasing interest in domestic manufacturing and the drive for energy dominance, biogas delivers the reliable, around-the-clock energy source America needs while reducing transportation pollution, improving our soil and food supply, and turning waste into valuable products."
Landfill gas dominates
Landfill gas (LFG) remains the dominant source of US biogas capture, accounting for 72% of all biogas captured nationwide despite comprising fewer facilities than farm-based and wastewater systems.
Twenty new LFG projects came online in 2025, bringing the sector total to 599 facilities and representing $912 million — 43% of total capital invested in new projects. LFG production capacity rose 8% to 559 Bcf per year.
Agriculture leads new construction
Agriculture again led the industry in new methane capture, with 40 farm-based projects coming online representing $835 million in investment.
Overall methane capture from agricultural sources increased 11% to 99 Bcf per year. The majority of new agricultural projects were designed to convert biogas to renewable natural gas (RNG), reflecting continued demand to decarbonise transportation fuels.
Food waste surges
The food waste sector saw investment more than double compared with the prior year, reaching $325 million and driving an 18% increase in biogas capture to 28 Bcf annually.
The wastewater sector remains the largest by site count, with 1,232 operational systems representing nearly half of all US biogas facilities.
RNG growth and electricity dominance
Of the 70 new projects that came online in 2025, 68 were designed to upgrade biogas to RNG, bringing the total number of RNG-supplying facilities to 659. Total RNG production rose 24% to 225.6 million MMBtu — sufficient to fuel approximately 8.2 million vehicles.
Despite this growth, renewable electricity generation remains the backbone of the sector, with approximately 75% of biogas projects and 55% of total output used to generate renewable power.
The ABC estimates that more than 17,000 additional biogas systems could be built across the country, with the potential to produce up to 25 gigawatts of dispatchable renewable electricity and support around 45,000 permanent operations jobs.
US biogas investment exceeds $2bn as industry continues strong growth
