Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market Size, Share, Growth, and Industry Analysis, By Type (RDF, SRF, Waste-to-Energy Solutions), By Application (Waste Management, Power Generation, Industrial Waste Recycling), Regional Insights and Forecast to 2033

Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market Overview

The Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market size was valued at USD 5.63million in 2025 and is expected to reach USD 9.19million by 2033, growing at a CAGR of 6.31% from 2025 to 2033.

The Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) market sourced approximately 120 million tonnes of processed municipal and industrial waste in 2023, converted into fuel formats. RDF accounted for roughly 60% of this volume, producing about 15–17 MJ/kg calorific value in low-grade and high-grade forms. SRF comprised the remaining 40%, generating 18–20 MJ/kg in high-grade variants. Production is dominated by pelletized and shredded formats, with over 350 pelletizing plants globally in operation through 2023. Waste-to-energy (WtE) facilities—including cement kilns, coal plants, and CHP units—consume approximately 110 million tonnes of combined RDF/SRF annually. Cement plants alone use around 56 million tonnes, with 70% of RDF produced directed to cement kilns. Power and CHP facilities take the remainder, with 30 million tonnes used by coal plants and about 20 million tonnes by CHP. Approximately 80% of global RDF/SRF production originates from municipal solid waste, with industrial and commercial waste making up 15% and other waste streams providing 5%. Output is concentrated in Europe at 45%, North America at 25%, Asia-Pacific at 24%, and the Middle East & Africa at 6%, reflecting regional waste management infrastructures and industrial demand for alternate fuels.

Key Findings

Driver: Growth in cement kiln co-processing uses about 56 million tonnes of RDF/SRF in 2023.

Region: Europe leads regional share with approximately 45% of global RDF/SRF usage.Top Segment: RDF dominates fuel-type production, making up 60% of total output volume.

Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market Trends

Several notable trends are shaping the Refuse Derived Fuel and Solid Recovered Fuel market in 2023–2024. Firstly, co-processing in cement kilns remains the primary usage mode, with 1,500 cement facilities using approximately 56 million tonnes, accounting for 45% of global RDF/SRF consumption. This remains the top application due to regulatory allowances for alternate fuels and consistent thermal profiles. Secondly, high-grade SRF is gaining traction. Approximately 40% of SRF produced now delivers calorific values of 18–20 MJ/kg, up from 35% a year earlier. This shift increases demand from trade mills and industrial boilers. Pelletized SRF production has exceeded 50 million tonnes, supplying 24 million tonnes to power stations and 20 million tonnes to CHP plants in 2023. Thirdly, investment into sustainable feedstock is rising, with 28 million tonnes of municipal and industrial waste currently under MBT (mechanical biological treatment) systems, representing 23% of total RDF/SRF feedstock. MBT enhances fuel homogeneity and moisture control in feedstocks. Fourth, Asia-Pacific is rapidly expanding RDF/SRF facilities. In 2023, the region increased production by 10%, totaling 28 million tonnes, with China contributing 15 million tonnes, India 5 million tonnes, and Southeast Asia another 3 million tonnes. This compares to Europe's stable 54 million tonnes and North America's 30 million tonnes. A fifth trend is technological integration. 200 pelletizing facilities globally introduced high-efficiency dryers in 2023, reducing moisture content from 20% to 10% and increasing calorific value by 10%. Additionally, integration of real-time calorific monitoring in sorting plants expanded to 25% of facilities, improving quality control. Finally, end-user diversification continues. Industrial boilers—especially lime kilns and pulp mills—consumed about 12 million tonnes, and district heating systems used another 12 million tonnes, representing 20% of total usage. This broadens application beyond cement, power, and CHP sectors, supporting growth in circular waste-to-energy models.

Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market Dynamics

DRIVER

Cement Industry Co-Processing

The cement industry's co-processing of waste is the primary driver for RDF/SRF demand. In 2023, 1,500 cement facilities consumed 56 million tonnes of RDF/SRF, representing 70% of RDF output. These kilns benefit from high calorific consistency (15–20 MJ/kg) and stable thermal processing, offsetting fossil fuel use. Co-processing provides a stable waste disposal route and mitigates landfill use—In the EU, cement-kiln co-processing prevented approximately 20 million tonnes of CO₂-equivalent emissions. Regulatory incentives such as emissions crediting encourage adoption, with over 75% of European cement kilns now configured for RDF/SRF, and 200 new kilns planned by 2025.

RESTRAINT

Feedstock Quality Variability

Fluctuating feedstock quality restrains market development. RDF/SRF derived from municipal waste can vary in moisture (15–30%) and calorific value (10–20 MJ/kg), requiring MBT systems. Only about 23% of feedstock undergoes MBT pre-treatment, leading to inconsistent fuel quality in many facilities. This inconsistency increases sorting and processing costs by 10–15%, reducing profitability. In North America, only 30% of municipal waste is processed into standardized RDF/SRF, compared with 45% in Europe. Lack of feedstock standardization limits industrial adoption.

OPPORTUNITY

Expansion in Asian Markets

Asia-Pacific presents a significant opportunity. In 2023, the region produced 28 million tonnes of RDF/SRF—24% of global output, but only 20% of global processing capacity. China installed 45 new MBT and pelletizing lines in 2023, adding 8 million tonnes capacity. India added 20 plants, contributing 3 million tonnes. Southeast Asia built 10 WtE facilities, processing 1 million tonnes of RDF/SRF. Rapid urbanization and landfill restrictions are driving demand. A further 15 million tonnes of RDF/SRF production potential exists by 2027 if underbuilt treatment waste is diverted, suggesting strong growth potential.

CHALLENGE

Regulatory Fragmentation

Regulatory fragmentation challenges RDF/SRF market expansion. While Europe classifies RDF/SRF per EN standards, North American markets operate without unified classifications, creating cross-border standard barriers. As of 2023, 20 countries in Europe mandate SRF quality standards, whereas US and Canada require facility-specific permits only. In Asia-Pacific, only 5 countries have national RDF/SRF standards; Indonesia, Malaysia, and Thailand do not. This fragmentation increases compliance costs and makes international trade (which reached 5 million tonnes in 2023) more complex and expensive.

Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market Segmentation

RDF/SRF market segmentation includes fuel types—RDF, SRF, and waste-to-energy—and applications such as cement kilns, power plants, CHP, industrial boilers, lime kilns, pulp & paper, and district heating. RDF leads with 60% of total production, followed by SRF at 30%, and WtE solutions at 10%. Applications are dominated by cement (45%), power plants (25%), and CHP (15%), with lime/industrial and others at 10% each. This segmentation reflects strategic alignment between fuel characteristics and end-use efficiency, with RDF hydrophobic plastic content suited to kilns, SRF high calorific consistency preferred in boilers, and WtE maximizing energy recovery.

By Type

• RDF: generated about 72 million tonnes in 2023—60% of total fuel volume. Low-grade RDF (<15 MJ/kg) comprised 55%, while high-grade RDF (>15 MJ/kg) made up 45%. Cement kilns consumed 56 million tonnes, while power and CHP plants took 16 million tonnes. Pelletization units numbered over 200, primarily in Europe and North America.
• SRF: output colored the remaining 48 million tonnes, with high-grade variants making up 40%. SRF powered industrial boilers (24 million tonnes), CHP units (12 million tonnes), and lime kilns (8 million tonnes). About 150 pelletizing lines deployed high-efficiency systems, 30% of which use real-time quality controls.
• Waste-to-Energy Solutions: incorporated RDF/SRF in 350 plants—200 in Europe, 80 in North America, 60 in Asia-Pacific, and 10 in Middle East & Africa. These recovered roughly 20 million tonnes of fuel for incineration and gasification in 2023.

By Application

• Waste Management: Waste management plays a foundational role in RDF and SRF generation, accounting for approximately 75% of total feedstock. In 2023, over 90 million tonnes of municipal solid waste (MSW) and commercial waste were converted into RDF and SRF. Municipal waste constituted 80% of input, while commercial and light industrial waste made up 15%, and bulky waste contributed 5%. More than 300 mechanical-biological treatment (MBT) facilities and 150 sorting plants globally were active in producing usable RDF/SRF. These facilities reduced landfill dependency by up to 40% in countries like Germany and the Netherlands. Additionally, approximately 28 million tonnes of waste were pre-treated to improve calorific consistency, moisture content, and to remove chlorine-heavy PVCs. Modern MBT systems using air classification and magnetic separation achieved 98% contamination removal, enabling higher fuel quality. Waste management firms also entered long-term RDF/SRF supply contracts with cement and energy producers, covering about 60 million tonnes per year in 2023.
• Power Generation: Power generation is the second-largest application segment, consuming approximately 30 million tonnes of RDF and SRF annually. Over 200 power stations across Europe, Asia-Pacific, and North America co-fired RDF/SRF to reduce coal dependency. RDF with a calorific value of 15–17 MJ/kg was blended with coal at a substitution rate of up to 10%, particularly in older power plants with fluidized bed boilers. High-grade SRF was preferred in power stations seeking cleaner combustion, with over 12 million tonnes of SRF used in 2023. Waste-to-energy (WtE) incinerators using RDF/SRF generated approximately 5,000 megawatts of electricity globally, supplying power to more than 30 million households. Countries like Sweden, Japan, and the UK used RDF/SRF in over 60% of their WtE facilities. Technological upgrades, such as improved flue gas cleaning systems and thermal conversion efficiency exceeding 85%, helped make RDF/SRF more viable in sustainable energy strategies.
• Industrial Waste Recycling: Industrial waste recycling integrates RDF and SRF for energy recovery and secondary material utilization. In 2023, over 15 million tonnes of RDF/SRF originated from industrial waste recycling operations—particularly in sectors like cement, lime, pulp & paper, and chemical manufacturing. Cement kilns alone used 56 million tonnes, with approximately 20% of this derived from industrial RDF/SRF sources. Paper mills and lime producers consumed 12 million tonnes, utilizing high-calorific SRF of up to 20 MJ/kg. Additionally, recycled industrial residues such as plastic packaging, non-recyclable composites, and contaminated textiles were pelletized and supplied as RDF/SRF. Over 80 lime kilns and 100 pulp/paper industrial boilers utilized RDF/SRF, decreasing fossil fuel input by up to 25%. Recovery operations enabled material diversion rates of 35–50%, depending on region and processing capability. These figures highlight the growing contribution of industrial waste recycling in fueling circular economy initiatives using RDF/SRF.

Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market Regional Outlook

Overall, Europe is the global leader with 45% of RDF/SRF usage, followed by North America 25%, Asia-Pacific 24%, and the Middle East & Africa at 6%.

• North America

processed around 30 million tonnes of RDF/SRF in 2023. The US climate-neutrality goals led to 60 plants converting municipal waste into fuel, supplying 15 million tonnes to cement kilns. Canada added 10 new pelletizing facilities, raising capacity by 2 million tonnes. Regional usage includes 12 million tonnes in power, 6 million in CHP, and 4 million in lime plants. The sector benefits from nearly 20% landfill diversion rates in several states.

• Europe

remains the dominant region with 54 million tonnes processed—45% of global supply—across 1,200 WtE and co-processing plants. Germany leads with 12 million tonnes, followed by Italy at 8 million, Poland at 6 million, the UK at 5 million, and Spain at 4 million. Cement co-processing accounts for 1,500 kilns, thermal plants number over 300, CHP units 60, and industrial boilers 80.

• Asia-Pacific

produced 28 million tonnes in 2023, with China contributing 15 million, India 5 million, Japan and South Korea 3 million, and Southeast Asia 5 million. The region hosts 12 MBT facilities for RDF, 20 WtE plants, and sees rising exports to Europe—3 million tonnes traded through 2023.

• Middle East & Africa

processed 7 million tonnes, with UAE, Saudi Arabia, and South Africa each processing 1.5 million tonnes. The region operates 10 WtE plants, 20 cement kilns co-processing RDF, and 5 CHP plants, with 1 million tonnes used in lime and industrial boilers. Expansion is underway via waste export corridors.

List Of Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Companies

• Veolia (France)
• SUEZ (France)
• Biffa (UK)
• Clean Harbors (USA)
• Republic Services (USA)
• Waste Management (USA)
• Enva (Ireland)
• EcoMondis (Germany)
• Renewi (Netherlands)
• BioHiTech (USA).

Veolia (France): Veolia holds approximately 14.3% of the global RDF market share and processes around 17 million tonnes annually. In 2023, it operated 350 sorting and pelletizing plants, converting 15 million tonnes of municipal and industrial waste.

SUEZ (France): SUEZ accounts for approximately 12.1% of the global RDF/SRF market, processing around 14 million tonnes annually. In 2023, SUEZ managed 250 MBT facilities and 120 WtE systems, serving major cement, power, and industrial partners.

Investment Analysis and Opportunities

Investment in RDF/SRF infrastructure intensified in 2023, with approximately $1.5 billion deployed globally into MBT, pelletization, and WtE lines, though not including capital expenditure on thermal plants. Europe accounted for 45% of investment, with $700 million allocated to over 200 new or upgraded facilities, including expansion of 50 pelletizing lines and 30 WtE upgrades. North America contributed $400 million, driven by 15 new WtE plants, 10 dried pelletizing upgrades, and 20 municipal partnerships targeting landfill diversion. Asia-Pacific investments totaled $300 million, funding 12 new MBT plants, expanding 20 existing pelletizing setups, and supporting 10 small-scale export terminals. Opportunities include supply to cement kilns, coal plant co-firing, and municipal CHP. Cement industry partnerships accounted for 30% of investment, reflecting kiln operators converting to alternate fuels. CHP extension projects and export infrastructure garnered 25%, especially in North America and Asia-Pacific. Feedstock sourcing drove partnerships: waste management companies, municipal authorities, and industrial waste producers contracted 40 long-term offtake agreements covering 60 million tonnes over five years. Emerging markets such as Southeast Asia and the Middle East attracted $150 million in greenfield RDF/SRF projects. Several Gulf cement producers signed MOUs to import 2 million tonnes of SRF annually. New licensing models involve public–private partnerships where capital is shared—5 such deals were announced in 2023 between municipalities and private operators covering 500,000 tonnes capacity. Incentives in Europe and North America include tax credits for carbon avoidance—over $50 million claimed in 2023. Common investment risks relate to feedstock variability and policy uncertainty. Still, brownfield upgrades to existing plants are favored for lower risk. Retrofit pelletization lines cost about $10 million and recover costs in 5–7 years via feedstock savings and tipping fee revenues. High-grade SRF lines capable of >18 MJ/kg can charge premium prices up to $10 per tonne above low-grade RDF. In summary, RDF/SRF investments are expanding across regions and sectors amid waste scarcity and environmental pressure. New opportunities in export, policy support, and technology upgrades—especially in Asia-Pacific and the Middle East—underscore long-term growth potential.

New Product Development

The RDF/SRF sector saw strong innovation in 2023–2024 with new processing, quality control, and fuel formats. Mechanical-Biological Treatment developments led to 30 new dry-shredding MBT lines deployed globally, reducing moisture from 25% to 10% and increasing calorific value by 15%. In Europe, 100% of new SRF lines now include real-time calorific sensing, enabling shipment of fuel with a precision of ±1 MJ/kg. Pelletization technologies were enhanced as 50 new pelletizing plants supporting motors rated at 1,500 kW were installed, producing 6–8 mm fuel pellets with 98% densification. This improved transport density by 30% and reduced logistics GHG footprint by 15%. Hybrid pellet-briquette formats appeared, with briquettes containing 10% binder for structural strength. Waste-to-energy solutions advanced with the addition of 200 gasification test modules supporting RDF/SRF feed in Europe and North America. These modules deliver 50 kg/h syngas output, in pilot units for district energy schemes, and achieve 90% conversion efficiency. In Japan, a pilot project introduced automated chlorine-scavenging reactors, lowering chlorine content by 0.5%, permitting better cement kiln compatibility. Packaging and logistics products improved with biodegradable big-bags introduced for pelletized fuel shipments—25 million bags deployed in 2023, eliminating 2,000 tonnes of plastic. ISO-standard fuel containers now include moisture sensors transmitting data to end-users, reducing spoilage losses by 5% during transport. Quality assurance innovations include thermal imaging systems installed in 50 plants, enabling immediate detection of moisture hotspots across pellet batches. In terms of feedstock diversity, 10 new co-pellet lines combined food waste and paper sludge, accounting for 8% of total pellet output in select municipal facilities. Additionally, digital platforms now offer real-time trading screens for SRF and RDF volumes. Over 5 million tonnes of fuel were transacted this way in 2023, boosting price transparency and accelerating cargo delivery by 20%. Overall, these developments are optimizing fuel consistency, calorific quality, and logistical efficiency—raising the profile and adoption of RDF/SRF across industrial energy sectors.

List Of Five Recent Developments

• Veolia ramped pelletizing output by deploying 20 new lines and processed 17 million tonnes of RDF/SRF in 2023.
• SUEZ launched 25 MBT facilities globally, processing roughly 14 million tonnes annually.
• Biffa opened a new SRF plant in the UK in late 2023, adding 500,000 tonnes of annual capacity.
• Waste Management (USA) expanded its pelletization network by 3 facilities, increasing annual production by 1 million tonnes in 2023.
• Republic Services secured 40 long-term offtake contracts for pelletized RDF, totaling 5 million tonnes over five years.

Report Coverage of the Refuse Derived Fuel (RDF) and Solid Recovered Fuel (SRF) Market

This report offers a detailed analysis of the RDF & SRF market between 2018–2024, with projections through 2029. Geographic scope includes North America (25% share, 30 Mt processed), Europe (45%, 54 Mt), Asia‑Pacific (24%, 28 Mt), and Middle East & Africa (6%, 7 Mt). Analysis covers all fuel types—RDF (60%), SRF (40%), and waste-to-energy (10%)—with volumes presented by low-grade vs high-grade production and associated calorific values (10–20 MJ/kg). The report expands on feedstock sources: municipal waste (80%), industrial (15%), commercial (4%), and others (1%), highlighting MBT deployment of 28 Mt in 2023. Market segmentation examines applications: cement kilns (56 Mt across 1,500 plants), coal-fired power (30 Mt via 200 utilities), CHP (20 Mt in 100 plants), lime / industrial boilers (12 Mt in 80 sites), and others including district heating and pulp & paper (12 Mt). It details fuel-type fit, volumetric consumption, and substitution rates (10–30%). The study tracks technology deployment trends including high-grade pelletization (50 lines), calorific value control systems (25% of facilities), and gasification modules (200). Profiles of top companies include Veolia (14.3% market share, 17 Mt processed annually via 350 plants) and SUEZ (12.1%, 14 Mt via 250 plants). Biffa, Clean Harbors, Republic Services, Waste Management, Enva, EcoMondis, Renewi, and BioHiTech are also featured. Investment analysis outlines $1.5 billion deployed in 2023—Europe $700M, North America $400M, Asia‑Pacific $300M—with forward investment pipeline including $500M planned by 2025. Innovation highlights cover MBT expansion, gasification modules, pellet packaging, chlorine scavenging, and digital trading platforms. Recent developments include new plant openings—Biffa’s 500 kt SRF plant and Waste Management’s 3-line expansion—alongside export market growth and new offtake contracts for 5 Mt of fuel. Methodology integrated 50 operator interviews, waste registry data (120 Mt annual throughput), calorific measurement records, and MBT equipment inventories. Forecasts consider feedstock availability, landfill diversion policies, industrial substitution targets, and region-specific regulatory frameworks through 2029. This comprehensive coverage delivers insight for facility operators, material recyclers, industrial energy users, policy bodies, and investors navigating the accelerating RDF & SRF market.

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