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Production of biogas through anaerobic digestion (AD) from the organic fraction of municipal solid waste (OFMSW) was compared to incineration of the waste. At the moment, almost all of the OFMSW in Singapore is incinerated. Three different scales of biogas plants were compared to incineration: one large-scale biogas plant that can treat half of all OFMSW in Singapore; one medium-scale biogas plant about 15 times smaller than the large one; and one small-scale biogas plant that can treat waste from eg a shopping centre or food centre. Two alternatives for utilization of the biogas were also compared, generation of electricity and the use of the biogas in heavy vehicles. The combination of the different scales and the different utilization gives the six different scenarios. By using life cycle assessment (LCA) the different scenarios were compared in terms of global warming potential (GWP), acidification, eutrophication, energy use and land use. The results show that biogas production creates less environmental impact than incineration. The use of the gas as a vehicle fuel creates a bigger decrease of GWP, acidification and eutrophication than when using the gas for electricity generation. The prevention of leakage of biogas during production and upgrading is crucial for the environmental impact on GWP. A leakage of only a few percent of the produced gas will lead to a loss of all the gain in saved GHG-emissions.