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Agricultural Policy and Promotion of Renewable Energy Sources in Finland. International Conference ’Contribution of Agriculture to Energy Production’ Tallinn 7 October 2005 Taina Vesanto MINISTRY OF AGRICULTURE AND FORESTRY. Background. National Climate Strategy 2001 (revision under way)
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Agricultural Policy and Promotion of Renewable Energy Sources in Finland International Conference ’Contribution of Agriculture to Energy Production’ Tallinn 7 October 2005 Taina Vesanto MINISTRY OF AGRICULTURE AND FORESTRY
Background • National Climate Strategy 2001 (revision under way) => National Energy and Climate Strategy 2005 • Action Plan for Renewable Energy Sources 1999 and 2002 (integrated into the National Climate Strategy of 2001)
Action Plan for Renewable Energy Sources 2002 Aims: • Renewable energy is competitive on the open market • By 2010 the use of renewable energy should be increased by about 30% from the year 2001 • By 2025 the renewable energy sources should be used about 2/3 more than at present
Action Plan for Renewable Energy Sources 2002 Central actions: • Development and commercialisation of new technology and financial steering instruments (energy taxation, investment aid and subsidies) • More information, education and training
Committee on arable biomass, biofuels for transportation and biogas • Drafts proposals on the implementation of the measures of the Action Plan for Renewable Energy Sources in its own sector • As one of the measures, drafts plans on promoting the production and use of agroenergy • Follows national and international trends in the sector • Monitors the implementation of the proposed measures and achievement of the objectives • Engages in broad cooperation with relevant interest groups and hears various experts in the field • The term of the Committee ends on 31 December 2006 • First report available (in Finnish, Työryhmäraportit 2004:11 http://www.mmm.fi/julkaisut/tyoryhmamuistiot/index.html
Agro - bioenergy Reed Canary Grass (Phalaris arundinaceae) • in 2004 total cultivation area about 4 000 hectares • in 2005 total cultivation area about 10 000 hectares • objective for 2015 is 100 000 hectares
The common agricultural policy of the EU • Reform into force in the EU from the beginning of 2005 • In Finland most of the reforms (e.g. single payments) into force from the beginning of 2006 • Aid for energy crops from the beginning of 2004 • One main objective of the reform is to decouple EU support from production and thus promote the steering of production according to markets
Framework conditions for increasing the cultivated area • utilisation capacity of power plants (at present 3.38 – 3.55 TWh) • distance from arable land to power plant (max. 100 km, usually 50-70 km) => theoretical maximum area 160 000 hectares • extending tax support to arable biomass • additional costs to power plants due to • transportation • storage • processing (e.g. pelleting, crushing)
Other biomass • Other plants and plant parts (e.g. straw, hemp, flax) • Burning of cereal ?? • Energy willow