Anaerobic digestion European market assessment and hotspot mapping
- Client Name
- Confidential
- Location
- UK
Challenge
To inform its investment strategy, a private equity firm sought to identify and prioritise investment opportunities in the anaerobic digestion (AD) market across the 27 EU Member States, through an assessment of key factors including capacity gaps, feedstock availability, policy frameworks, and fossil fuel consumption.
Solution
The project team applied SLR’s proven expertise in delivering comprehensive market assessments and our technical understanding of the AD industry. A series of key performance indicators was developed with the client and weighted based on perceived importance, to inform a comprehensive analysis, evaluation and ranking of AD development across all 27 countries, based on:
- AD capacity
- Feedstock availability
- European policy landscape
- Forecasted changes over five years
- Fossil fuel consumption
The robustness of the provisional rankings was subjected to statistical analysis across 1,000 scenarios, before a shortlist of priority targets was identified, to provide the client with a clear understanding of the most promising regions for investment.
Impact
SLR’s detailed, data-driven project report enabled the client to identify top-tier investment opportunities. Our analysis provided a ranked list of countries, and also offered actionable insights and justification for the client’s investment decisions.
As a result, the client commissioned SLR to provide further research into shortlisted target countries, comprising spatial analysis and regional evaluation to highlight priority locations for future AD facility development. A competitive landscape assessment identified the key stakeholders and demand in each country. SLR’s work provided the client with a clear roadmap for future investments in the emerging biogas and biomethane markets.