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"Scandinavia Set to Dominate Wood Pellet & Wood Chip Growth!" |
The biomass market has witnessed one of its most challenging periods in the last twelve months as wood pellet prices fell sharply across the globe to record lows. Oversupply in the market coupled with weaker demand in Europe has been the catalyst for the bearish pricing that has affected pellet producers’ across North America and Europe.
However there are reasons to be optimistic as we look towards 2017 and beyond. Danish wood pellet demand is set to soar with the conversion of Dong Energy’s Studstrup and Avedøre Power Plants to increase their annual wood pellet consumption to 1.8 million tonnes of which 1.2 million tonnes will be used at Avedøre and 600,000 tons at Studstrup. While in the Netherlands, the market has been boosted by the return of national subsidies that should see RWE’s Amer power plant return to action in 2017 followed by co-firing at other plants that could see an additional 3mn tonnes of wood pellet demand.
In the wood chip market, Scandinavia continues to lead the way in terms of demand via district heating and combined heat and power (CHP) projects. In Denmark, Dong and Hofor look set to add 2mn tonnes of chip demand by 2019 and in Sweden Fortum have started commissioning their new CHP plant in Stockholm that will add a further 1,000,000 tons of wood chip demand from Scandinavia.
Key players in both wood pellets and wood chips will join us at CMT’s 2nd Biomass Trade & Power Europe, in Copenhagen to discuss the supply and demand fundamentals and provide much needed insight and analysis into what to expect in the months and years ahead.
Key highlights include the pre-conference site visit to Hofor’s Amager Wood Pellets Fuelled CHP Power Plant, and up to 8 hours for networking and discussion with your prospective partners. |
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Sign up today with your team and enjoy attractive early bird and group discounts! Contact hafizah@cmtsp.com.sg to register and for more details. |
Biomass Trade & Power Europe | 22-24 Feb, Copenhagen |
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Britain is aiming to shut down all its coal-fired power plants by 2025. In tune with this target, the country’s largest coal power producer Drax (DRX.L) has been permitted by the EU to convert its third power plant unit, located in Yorkshire, from coal-firing to 100 percent biomass.
In December 2016, Drax announced it will shift away from coal as it acquired Opus Energy - a business energy supplier and four gas stations.
Drax has been given a minimum electricity price guarantee of 100 pounds per magwatt-hour (MWh) for its biomass project until 2027.
The British company also plans to convert its other three coal-burning units to biomass in the next two to three years, with the right conditions from the British government.
More on Britain and EU’s biomass power projects will be discussed at 2nd Biomass Trade & Power Europe on 13-14 February, 2017 in Copenhagen.
Email Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for details for the event.
01 Feb, 2017
As the world steps up measures to mitigate the effects of climate change, the European Commission is proposing a new sustainability criteria for forest biomass.
The importance of a new system for forest biomass sustainability has been reiterated by several European forest owners and managers. The new criteria is part of the Clean Energy package.
Europe’s two major regulatory proposals, LULUCF and REDII, is up for consideration by the European Parliament and Council.
Already ample legislation and management systems are available to safeguard the sustainability of forest biomass – which is largely a domestic, decentralised energy source.
What’s notable is that Europe’s forests are not driven by the need for biomass for energy. In fact biomass feedstock used for producing bioenergy is a side product of higher-value timber. Therefore, any demand for bioenergy does not put Europe’s forests at risk. This is a key aspect that EU policy makers need to consider while enacting new sustainable criteria for solid biomass production.
The proposal must therefore avoid unacceptable burdens for the forest owner and be carefully analysed. Some of the stakeholders are of the opinion that carbon emissions can be reduced through the development of forests and their sustainable use. Europe is home to forests that are a source of natural, sustainable and renewable raw material that can be transformed into forest products and replace fossil fuels and highly energy-intensive materials.
The EU has already published proposals to increase the share of renewables to 27% by 2030. The Clean Energy package directs the promotion of use renewable energy resources, including minimum criteria to demonstrate the sustainable production and efficient use of biomass in transport, heat and power.
More on biomass energy regulations will be discussed at 2nd Biomass Trade & Power Europe on 13-14 February, 2017 in Copenhagen.
Email Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for details for the event.
03 Jan, 2017
Dong Energy has converted its Studstrup coal plant to biomass, while Hofor is set to increase biomass consumption.
Running at a capacity of 360 MW, Dong’s Studstrup new wood pellet fueled power plant is capable of supplying heat to more than 100,000 Danish homes and electricity to about 230,000 homes.
Dong’s second unit also has similar capacity. Dong’s energy plants are expected to reduce emissions by 310,000 tonnes annually in Denmark’s second-largest city as it seek to become carbon-neutral by 2030.
Hofor – the largest utility in Denmark – has already retrofitted one of the units from coal to biomass in 2009, and today consumes around 380,000 tons of wood pellets annually. Hofor also announced plans to replace coal with wood chips at the second Amager unit. HOFOR's Amagerværket heat-and-power plant will supply electricity and heat for Copenhagen – the city aims to become the first CO2-neutral capital in the world by the year 2025. Installation of the power plant is scheduled to begin in July 2017, and the heat and power production will start in 2019. HOFOR supplies district heat to 500,000 inhabitants, town gas to 300,000 inhabitants, and district cooling to 39 major customers.
Valmet has been roped in to supply biomass-fired power boiler, biofuel storage and conveyor systems to HOFOR power plant in Denmark.
Join the Pre-Conference Site Visit to Hofor’s Amager Power Plant on 13 February at 2nd Biomass Trade & Power Europe scheduled on 13-14 February, 2017 in Copenhagen.
Email Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for details for the site visit and main conference.
Read more:
DONG Energy converts its Studstrup plant to biomass from coal
Valmet to supply biomass-fired power boiler, biofuel storage and conveyor systems to HOFOR
05 Dec, 2016
Drax Biomass has been awarded the first Sustainable Biomass Partnership (SBP) certificate by SCS Global Services – a leading global third-party certifier. Drax won the certificate for its Morehouse BioEnergy and Amite BioEnergy wood pellet manufacturing facilities.
The SBP certification program is the world’s principal standard that recognized sustainable woody biomass production for use in industrial, large-scale energy production.
The biomass facilities at Amite and Morehouse have a production capacity of 450,000 MT of wood pellets annually. Drax sources its feedstock – mainly Southern Yellow Pine wood – from nearby privately-owned working forests. The process involves collection and storing of thinnings, low-value roundwood, and harvesting residues that are debarked and chipped. Drax also screens the woodchips for size consistency, and processes them into compressed pellets of uniform moisture, ash content and calorific value.
SCS has assessed Drax’s work at each stage of sourcing and manufacturing process. It also conducted an audit of Drax Biomass’s Baton Rouge Transit storage and shipping facility before awarding the certificate.
SCS has recently qualified as a certification body for SBP after a rigorous process involving review of SCS’ assessment procedures and personnel qualifications as well as independent observation by SBP of the Drax Biomass facility audit conducted by SCS.
The SBP certification will enable Drax to play an increasingly vital role in responsible biomass pellet production.
More on SBP certification will be discussed at the 2nd Biomass Trade & Power Europe on 13-14 February, 2017 in Copenhagen.
Email Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for details for the event.
04 Nov, 2016