Anaerobic digestion is a sequence of processes by which microorganisms break down biodegradable material in the absence of oxygen. The process is used for industrial or domestic purposes to manage waste or to produce fuels. Much of the fermentation used industrially to produce food and drink products, as well as home fermentation, uses anaerobic digestion.

Anaerobic digestion occurs naturally in some soils and in lake and oceanic basin sediments, where it is usually referred to as "anaerobic activity". This is the source of marsh gas methane as discovered by Alessandro Volta in 1776.

Anaerobic digestion comprises four stages:

The digestion process begins with bacterial hydrolysis of the input materials. Insoluble organic polymers, such as carbohydrates, are broken down to soluble derivatives that become available for other bacteria. Acidogenic bacteria then convert the sugars and amino acids into carbon dioxide, hydrogen, ammonia, and organic acids. In acetogenesis, bacteria convert these resulting organic acids into acetic acid, along with additional ammonia, hydrogen, and carbon dioxide amongst other compounds. Finally, methanogens convert these products to methane and carbon dioxide. The methanogenic archaea populations play an indispensable role in anaerobic wastewater treatments.

Anaerobic digestion is used as part of the process to treat biodegradable waste and sewage sludge. As part of an integrated waste management system, anaerobic digestion reduces the emission of landfill gas into the atmosphere. Anaerobic digesters can also be fed with purpose-grown energy crops, such as maize.

Anaerobic digestion is widely used as a source of renewable energy. The process produces a biogas, consisting of methane, carbon dioxide, and traces of other 'contaminant' gases. This biogas can be used directly as fuel, in combined heat and power gas engines or upgraded to natural gas-quality biomethane. The nutrient-rich digestate also produced can be used as fertilizer.

Many microorganisms affect anaerobic digestion, including acetic acid-forming bacteria (acetogens) and methane-forming archaea (methanogens). These organisms promote a number of chemical processes in converting the biomass to biogas.

Gaseous oxygen is excluded from the reactions by physical containment. Anaerobes utilize electron acceptors from sources other than oxygen gas. These acceptors can be the organic material itself or may be supplied by inorganic oxides from within the input material. When the oxygen source in an anaerobic system is derived from the organic material itself, the 'intermediate' end products are primarily alcohols, aldehydes, and organic acids, plus carbon dioxide. In the presence of specialised methanogens, the intermediates are converted to the 'final' end products of methane, carbon dioxide, and trace levels of hydrogen sulfide. In an anaerobic system, the majority of the chemical energy contained within the starting material is released by methanogenic archaea as methane.