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Report Overview

The Europe bioLPG market size reached around 391.05 KMT in 2023. The market is estimated to grow at a CAGR of 19.8% during 2024-2032 to reach a volume of 1,879.12 KMT by 2032.

2023

Base Year

2018-2023

Historical Year

2024-2032

Forecast Year

Key Takeaways

  • The European Union (EU) has a 2030 target of a 55% net reduction in greenhouse gas emissions, which is driving the adoption of green alternatives like BioLPG.
  • The EU Commission has published a REPowerEU plan to reduce dependency of Russian fossil fuel by 2030 and cut gas imports.
  • The EU has set forth an ambitious proposal to significantly increase the presence of Solid Aviation Fuel (SAF) in aviation fuel sales. The aim is to raise it from 2% in 2025 to over 70% by 2050.

BioLPG serves as a green substitute for fossil-fuel-based LPG, aiding the decarbonisation of transportation, residential, industrial, and petrochemical sectors. BioLPG is presently manufactured in France, Italy, Spain, Sweden, and the Netherlands.

Due to its identical chemical composition to conventional LPG, bioLPG possesses the ability to be stored, blended, and utilised just like traditional LPG. It acts as an efficient drop-in replacement for existing LPG applications, such as transportation fuel, which is leading to the Europe bioLPG market expansion.

Strategic bioLPG supply partnerships in Europe aimed at decarbonising the economy aid the availability of bioLPG across the region.

The shifting economic landscape in the UK and EU towards biofuels and sustainable aviation fuels is propelling HVO-based pathways to the forefront as a key market driver for bioLPG production.

Figure: European Union Green House Gas Emission (2000-2021); MMT (Total emissions excluding LULUCF (MMT of CO2 equivalent)

Europe BioLPG Market

Table: Strategic Alliances in the Europe BioLPG Market

Date Description
November 2022 Friedrich Scharr KG, a German multi-energy fuel distribution group entered a Research Funding and Collaboration Agreement with BioLPG LLC to develop renewable LPG (bioLPG) technology. The collaboration aims to develop the GTI Energy renewables-sourced, green LPG (“bioLPG”) Cool LPG technology and for preparation of bioLPG production at scale within the next few years.
October 2022 Green LG Energy and BioLPG LLC entered into a significant agreement to increase funding for the development of renewable bioLPG technology, aiming to contribute to the decarbonization of LPG sourcing in Italy and Europe. The collaboration underscores their commitment to producing affordable and green bioLPG at scale to meet energy demands while aligning with global emissions reduction targets.
February 2021 UGI International established an exclusive partnership with Ekobenz, a bioLPG producer, giving UGI exclusive rights to Ekobenz's bioLPG supply in Europe. This collaboration enhances UGI International's sustainable fuels portfolio, aligning with its decarbonization strategy and commitment to the Paris Agreement's net-zero global economy goals while addressing customers' carbon reduction needs.

Key Trends and Developments

Increasing importance of decarbonisation; rising number of initiatives for environmental safety and security; rising research and development activities; and existing building stock for bioLPG production  are impacting the Europe bioLPG market growth

Date Company Event
Jan 2023 Eni Eni, the Italian oil and gas giant, launched Eni Sustainable Mobility, consolidating its existing biomethane operations and other sustainable transport-related products.
Oct 2022 Eni Eni held a meeting with Tuscany's president, Eugenio Giani, along with the mayors of Livorno and Collesalvetti, Luca Salvetti and Adelio Antolini, respectively, to confirm their exploration of constructing a new bio-refinery at Eni's Livorno industrial site.
Aug 2022 SHV Energy SHV Energy, through its Italian subsidiary Liquigas, finalised an agreement to acquire the LPG heating business unit of the SIGLI group.
Trends Impact
Decarbonisation targets Governments across Europe are striving to achieve decarbonisation amid the growing concerns about climate change. In support of this, various initiatives and plans are being introduced to significantly reduce carbon emissions, leading to the adoption of renewable fuel sources such as BioLPG.
Research and development Research and development (R&D) efforts in the field of bioLPG are witnessing a notable increase. R&D activities to enhance bioLPG production processes, explore new feedstock options, improve efficiency, and expand its applications, aid the advancement of the Europe bioLPG market.
Existing building stock for bioLPG in Europe In Europe, there are approximately 2 million LPG boilers that can lock-into lower carbon dioxide emissions cost-effectively. Households can avoid the expenses and inconveniences associated with switching to a new heating system as bioLPG can be easily combusted in existing LPG boilers.
Government initiatives supporting bio-fuel production In April 2023, the European Parliament and Council negotiators reached a provisional deal on the RefuelEU Aviation rules. Under the agreement, at least 2% of aviation fuels will be sustainable from 2025, with this share increasing every five years to reach 70% by 2050. Investment in new plants for producing sustainable aviation fuels (SAF) is expected to increase the production of bioLPG as a by-product.

Europe BioLPG Market Trends

As the HVO (Hydrotreated Vegetable Oil) process is currently the dominant method for commercial bioLPG production, manufacturers are actively investing in research and development efforts. These initiatives aim to investigate alternative sources for bioLPG procurement, such as exploring the potential of microbial synthetic pathways for biopropane production through fermentation.

Rural property owners who reside off-grid and seek eco-friendly heating solutions might discover substantial initial cost savings by transitioning to LPG/bioLPG, in comparison to other low-carbon alternatives like heat pumps or biomass boilers.

Over the last five years, commercial bioLPG production via hydroprocessing has experienced steady double-digit growth, driven by a growing number of refinery conversions and the emergence of greenfield biofuels initiatives.

Europe Biolpg Market By Segment

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Market Segmentation

“Europe BioLPG Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup Categories
Application Industrial, Transport, Household, HoReCa, Offices, Others
Country France, Germany, Italy, Spain, Sweden, United Kingdom, The Netherlands, Belgium

Based on application, the industrial sector accounts for a significant Europe BioLPG market share

Substituting oil with LPG and bioLPG in low-temperature industrial processes, like vehicle manufacturing and the food industry, can provide cost-effective and lasting emission savings. A combination of bioLPG and electric motors within hybrid systems offers a dual advantage by not only enhancing air quality but also establishing a reliable solution for the reduction of emissions.

For businesses like rural hotels and restaurants, transitioning from heating oil to bioLPG provides a simple and effective method to reduce emissions without the need for extensive building renovations. Further, replacing oil consumption with bioLPG can offer a cost-effective solution for old and historic buildings.

BioLPG is the ideal cost-effective heating solution for rural homes in EU, where over 40 million rural households lack access to the gas grid. With fossil fuels and wood being their primary heating sources, bioLPG has the potential to drive decarbonisation.

The applications of bioLPG in the transportation sector are expected to increase in the coming years. Autogas leads as the top alternative fuel in the EU, comprising 3% of all alternative fuels and serving 8 million vehicles. With 250 million passenger cars on the road, which have an average lifespan of 11 years (up to 17 years in Eastern Europe) and considering that EU legislation primarily focuses on emissions from new cars with delayed effects, converting existing vehicles to Autogas is a cost-effective means to expedite the reduction of emissions from road transport.

Competitive Landscape

The market players are differentiating themselves through diverse raw material sourcing, advanced technologies, and customer-centric activities for superior customer value

Company Founded Headquarters Services
Neste Oyj 1948 Keilaranta, Finland The company offers an extensive range of offerings in various segments including sustainable aviation, renewable road transportation, renewable and recycled plastics, marine solutions, fossil products, and raw materials, among others.
TotalEnergies 1924 Courbevoie, France Specialising across various energy sectors, including oil, biofuels, natural gas, green gases, renewables, and electricity.
Ekobenz Sp.z.o.o 2006 Lublin, Poland Provides BioLPG, liquid hydrocarbons and aromatic biohydrocarbons.
Galp Energia, SGPS, S.A. 1999 Lisbon, Portugal The company specialises in BioLPG production

Other notable players operating in the Europe bioLPG market include Compañía Española de Petróleos, S.A. (CEPSA), and ENI Spa, among others.

Europe Biolpg Market By Region

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Europe BioLPG Market Analysis by Country

Liquefied petroleum gas produced from biomaterials has held legal recognition as a green compliance option in the German heating sector. Furthermore, the German government aims to replace fossil-based raw materials with renewable alternatives to the greatest extent possible by 2050. In September 2023, Germany's lower house of parliament successfully passed a bill to phase out oil and gas heating systems, aligning with the nation's goal to achieve climate neutrality by the year 2045.

The Dutch central government supports the development of technologies for producing biomass energy through its Stimulation of Sustainable Energy Production and Climate Transition (SDE++) grant scheme.

The National Energy and Climate Plan (NECP) is Belgium’s main energy and climate policy document that focuses on increasing the use of renewable energy in transportation and electricity generation. The NECP approved the Belgian government’s plans to increase the share of biofuels in the transportation sector from an average of 5.5% in 2017 to 13.9% in 2030 in the NECP for 2021 – 2030.

Key Highlights of the Report

REPORT FEATURES DETAILS
Base Year 2023
Historical Period 2018-2023
Forecast Period 2024-2032
Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:

  • Application
  • Region
Breakup by Application
  • Industrial
  • Transport
  • Household
  • HoReCa
  • Offices
  • Others
Breakup by Region
  • Germany
  • United Kingdom
  • France
  • Spain
  • Sweden
  • Italy
  • The Netherlands
  • Belgium
  • Others
Market Dynamics
  • SWOT Analysis
  • Porter's Five Forces Analysis
  • Key Indicators for Demand
  • Key Indicators for Price
Competitive Landscape
  • Market Structure
  • Company Profiles
    • Company Overview
    • Product Portfolio
    • Demographic Reach and Achievements
    • Certifications
Companies Covered
  • Neste Oyj
  • TotalEnergies
  • Ekobenz Sp.z.o.o,
  • Galp Energia SGPS, S.A.
  • Compañía Española de Petróleos, S.A. (CEPSA)
  • ENI Spa
  • Others
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Delivery Format Delivered as an attached PDF and Excel through email, with an option of receiving an editable PPT, according to the purchase option.

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Europe BioLPG Market Report Snapshots

Europe BioLPG Market Size

Europe BioLPG Market Trends

Europe BioLPG Companies

Europe BioLPG Market Regional Analysis

*While we strive to always give you current and accurate information, the numbers depicted on the website are indicative and may differ from the actual numbers in the main report. At Expert Market Research, we aim to bring you the latest insights and trends in the market. Using our analyses and forecasts, stakeholders can understand the market dynamics, navigate challenges, and capitalize on opportunities to make data-driven strategic decisions.*

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Key Questions Answered in the Report

The Europe bioLPG market attained a volume of 391.05 KMT in 2023.

The market is estimated to grow at a CAGR of 19.8% during 2024-2032.

The market is estimated to witness a healthy growth in the forecast period of 2024-2032 to reach a volume of 1,879.12 KMT by 2032.

The key drivers of the bioLPG market are the increasing refinery conversions and greenfield biofuels projects, increasing research and development activities, rising environmental consciousness and depletion of natural resources, and growing energy demands.

The key trends guiding the growth of the market include rapid advancements in technology and stringent government measures to achieve decarbonisation goals.

The major regional markets are France, Germany, Italy, Spain, Sweden, the United Kingdom, the Netherlands, and Belgium, among others.

The different applications include industrial, transport, household, HoReCa, offices, and others.

The key players in the market include Neste Oyj, TotalEnergies, Ekobenz Sp.z.o.o,  Galp Energia, SGPS, S.A.,  Compañía Española de Petróleos, S.A. (CEPSA), and ENI Spa, among others.

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63 Fiona Drive, Tamworth, NSW

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+91-858-608-1494

40th Floor, PBCom Tower, 6795 Ayala Avenue Cor V.A Rufino St. Makati City, 1226.

+63-287-899-028, +63-967-048-3306

6 Gardner Place, Becketts Close, Feltham TW14 0BX, Greater London

+44-753-713-2163

193/26/4 St.no.6, Ward Binh Hung Hoa, Binh Tan District, Ho Chi Minh City

+84-865-399-124