Fuel gases are gaseous phase fuels under ordinary conditions and are mainly composed of hydrocarbons. Fuel gases are majorly considered as a source of light and heat. They provide the advantage of ease in transportation from producers end of consumers end. Sometimes the liquefaction process is used to achieve ease in storage, handling and distribution of fuel gases, for example; liquefied natural gas (LNG). However, the gaseous stage has its own disadvantages too. The accumulation of the fuel gas in a compact chamber may lead to an explosion. Sometimes, hazardous gaseous fuels can easily reach in human contact and can cause health issues. The production of fuel gases generally consists of processing the naturally captured gases or synthesizing the gases from scratch.

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There are two types of fuel gases namely, natural fuel gases and synthetic fuel gases. Natural fuel gases include, naturally occurring gaseous fuels such as propane, butane and LNG. Whereas, synthetic fuel gases are coal gas, producer gas, water gas, wood gas, syngas, uncompressed hydrogen, blast furnace gas and biogas. These gases are widely being used in the end-user industries such as industrial, commercial and residential. Major applications of fuel gas include gas lighting, cooking, heating, power generation and transport fuel. The North American market for natural flue gases is matured; however, the demand for synthetic fuel gases will drive the market of North America fuel gas market.

European market faces strict regulations in power and energy sector; thus, the European fuel gas market is likely to be driven by synthetic fuel gas sources. Further, Asia Pacific and RoW are expected to become opportunities for natural as well as synthetic fuel gas production.

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One of the major driving factors for fuel gas production and distribution market is ever growing energy demand across the globe. Owing to the same reason, the market has seen the development of new synthetic fuel gases. Governmental organizations such as Occupational Safety and Health Administration (OSHA) have put certain rules and limits for industrial fuel source. Gaseous fuels are easy to transport and can be handled easily with no contact. Thus, such factors are driving the growth of new clean gas fuel. However, the presence of dominant substitute power and fuel sources is holding back the production and demand of the fuel gas in some regions.

The market is highly capital intensive and requires advanced material handling and processing devices. Thus, natural fuel gas production is dominated by the big market players. However, synthetic fuel gas production market such as biogas production witnesses the presence of small players. The distribution of the fuel gas to its application area takes place via several methods such as trucking, railing, piping and others. The producers of fuel gas are also involved in the distribution on a large scale across the globe.