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Opportunities for biomass as fuel

Opportunities for biomass as fuel. Bernard Rice. Why biofuels now?. Increasing mineral fuel prices Need for new farm enterprises Need for secure fuel supply EU Directives/obligations Kyoto Protocol, Transport Biofuels Directive. Transport Biofuels Directive substitution targets (%).

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Opportunities for biomass as fuel

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  1. Opportunities for biomass as fuel Bernard Rice

  2. Why biofuels now? • Increasing mineral fuel prices • Need for new farm enterprises • Need for secure fuel supply • EU Directives/obligations • Kyoto Protocol, Transport Biofuels Directive

  3. Transport Biofuels Directivesubstitution targets (%) 1% substitution needs 12-40,000 ha of biofuels

  4. Transport Biofuels Directive • No sanctions or penalties • Member states obliged to: • Set substitution targets • (heeding Commission’s aims) • Take measures to achieve targets • Report progress annually • Review to be held mid-2006

  5. First progress report • Proposes excise relief on: • 6 Million litres vegetable oil (5000 ha rape) • 1 Million litres biodiesel • 1 Million litres bio-ethanol (250 ha beet) • Equiv. to 0.1% substitution (EU target 2%) • Cost of excise foregone ~€3M • most would be recovered in vat, income tax etc

  6. Limitations on biofuel development • Low price for renewable electricity • Limited excise remission for road biofuel For viability, either market support, low-cost feedstock or additional revenue source needed

  7. Biofuel opportunities • LIQUID BIOFUELS • Veg oil/fats as biodiesel or in modified engines • Ethanol from cereals, beet • “Biofine” process,ethanol from straw/wood • SOLID BIOFUELS • Straw,wood residues • Short-rotation willow + effluent disposal • Other energy crops (e.g. miscanthus, hemp) • Biogas from food wastes, animal manure

  8. In this presentation • Vegetable oil • Ethanol from wheat, beet • Straw • Short-rotation willow

  9. Vegetable oil opportunities • Rape-seed oil in modified engines Projects in Wicklow, Wexford, Kilkenny (6000 t/year) Present MOTR scheme should ensure viability Biodiesel From rape-seed oil, waste veg. oil, tallow 3 proposals in planning (~90,000 t/year) Excise relief needed • Heating fuel Renderers already using 40,000 t/year of tallow But this is likely to be banned soon

  10. Delivered fuel costs

  11. BIO-ETHANOL • Current Irish options • Produce from wheat or beet • Add 5% as octane booster to petrol • Replacement for MTBE or lead • (no engine modifications needed)

  12. Ethanol yields • From wheat • 350 litres per tonne • 3000 litres per ha • From sugar beet • 90 litres per tonne • 4500 litres per ha

  13. Delivered cost of ethanol(wheat €100/t, beet €40/t)

  14. Ethanol from wheat, beet For 2% substitution 30,000 ha beet or 40,000 ha wheat • Needs • Large scale • Excise relief • Investor/promoter interest

  15. Straw and wood residues • Large quantities of both available • Wood use now developing Many companies active • Fewer options for straw More difficult fuel No market leaders

  16. Wood/straw fuel markets (1) • Co-fired with peat in power stations • Wood more suitable • Electricity value €80/tonne • Not an option for straw • Combined heat-and-power plants • 3 in N.I., one in Cork sawmills • Use for heat essential • Little prospect for straw

  17. Wood/straw fuel markets (2) • Boiler fuel • Medium size units 100-500 kW • Value of heat ~€100/t of straw • High-efficiency modern boilers • Straw delivered in bales • Several wood units installed

  18. Biomass boiler (Oak Park) Very efficient, expensive, capital grants needed

  19. Wood/straw fuel markets (3) • Stove/small boiler fuel • Fuel in pellet form • High-value market • (~€150/tonne) • Pellet plant in N.I.

  20. Concerns about straw pellets • Immature technology • Lower quality? • higher ash content • binding problems • more corrosion • emissions? • More information needed

  21. Energy crops and waste disposal • Willow used as boiler fuel • Sites used for • sewage sludge injection • Rapid progress in N.I. • Potential for 3000 ha • trickle irrigation of dilute effluents • Several projects under way • Promising results to date • Full potential not established

  22. Energy crops and waste disposal • Research needed on • volume and composition of effluents • uptake by energy crops • drying and storage of wood-chips • Liaison needed with • local authorities, EPA • heat users • effluent producers • Establishment grants needed

  23. Conclusions • Some biofuel opportunities emerging • More will follow • They need • Clear govt policy and supports • excise relief for biodiesel, bioethanol • grants for biomass boilers • establishment grants for energy crops • New supply chains • New partners • More R&D, short- and long-term

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