Notes

Wood pellets sector and market in Canada<br>
Drives of biomass energy development

Biomass industry experts explain 3 drives in Canada: environmental pressure, management goals of sustainnable forestry, and also rate benefits.



Biomass fuels are carbon neutral. Plants take in carbon dioxide in its development as well as send out the same amount of CO2 in burning, so they doesn't include added greenhouse gases to the ambience. Besides, biomass energy can decrease using coal, gas and also oil, which is the souce of greenhouse gases.



Sustainable forestry is an usual objective of all public lands in Canada. It takes into consideration forest health, wildlife habitat and biodiversity in the expedition of forestry sources. From economic possibility, sustainable forestry monitoring intends to make use of all products in the most efficient method, consisting of wood wast. However, price of poultry feed making machine is not wise to transform all forestry waste right into biomass power. Occasionally it is helpful to leave some wood waste in the forestry to safeguard wild animals environments and also promote soil nutrients regrowth.



When the cost of traditional gas go down, biomass energy will lose benefits. The price competition makes the suppliers create much more efficient ways to process biomass power, especially to decrease the cost of raw mateirals transport. By controling the production price, biofuels are competitive with conventional fuels. For instance, if the rate of a barrel of oil is more than $17, biomass energy is a lot more cost-effective.



Renewable energy reward plan

The manufacturing and also consumption of wood pellets in Canada is driven by global need as well as residential plan. Canadian Federal federal government has attracted a strategy to stop utilizing coals by 2030, as well as enhance the ratio of renewable resource in power generation to 90%.



Presently, coal power adds 10% of the overall greenhouse gas exhaust in Canada. Coal plants are mainly located in Alberta( 10 ), Saskatchewan( 2 ), New Brunswick( 1 ), and also Nova Scotia. According to the policy, New Brunswick and Alberta state to gradually eliminate coals by 2030, as well as convert a number of coal-fired nuclear power plant right into co-fired or biomass power plant.



In residential home heating market, the fire wood stove replacement job in Nova scotia, Quebec, brand-new Brunswick, British Columbia, and Ontario will improve the residential wood pellet market. （ HPBAC ， 2016 ）.



Wood pellet production in Canada.

In 2010, Canada can produce 2 million lots of wood pellets annually. The wood pellet factories can produce 1.3 Mt, making up 65% of the residential overall production, as well as export 1.2 Mt of them. In 2011, the manufacturing rise to 1.5 Mt, with 1.3 Mt for export.In 2012, the manufacturing capacity has reached up 3Mt. Form 2015-2016, the wood pellet manufacturing boosts by 1Mt each year. In 2016, Canada has 42 pellet manufacturing facility, with the production capability over 4Mt, and new pellet manufacturing facilities remain in building and construction.



British Columbia creates over 150,000 wood pellets yearly, accounting for 60% of the total manufacturing in Canada. The following are Ontario and also Quebec. The wood pellet manufacturing facilities in Ontario mainly serve domestic market, while the wood pellet factories in British Columbia offer abroad large warmth nuclear power plant. Other districts have many small pellet manufacturing facilities generally serving local market, with the complete production ability around 50,000 loads.



Biomass products in Canada.

In Canada, the biomass sources spread out in those districts with responsive pulp, paper and also forestry industry, including Ontario, Alberta, Quebec, and also New Brunswick. Biomass materials such as barks, sawdust, wood chips, braches are utilized to make wood pellets, biogas, cellulosic ethanol, biodiesel, and bio-oil.



In the past, lots of paper mills has a specific area to create hog fuel, the combined barks and also wood wastes made use of to create warm and also power. With more and more paper mills merge with saw mills in the 1990s, the wood wastes are carried to the saw mills. In the last ten years, with lots of saw mills shut down, the source of wood waste decline sharply, so forestry become a significant source to acquire biomass products.



Forestry biomass materials can be gotten in various kinds. It is prominent to collect twigs, branches, needles, barks, and so on, which is performed in addition to logging, however the transport expense is high. Besides, biomass comes from silvicultural thinning, right of way cleaning, sphagnum peat, or the deposits after fire, illness as well as bug bugs.



Tamarack as well as larch ended up being prominent in biomass sector. They are except making woodworks or papers, but ideal for biomass fuel manufacturing owing to high development speed. They are going to be an economical solution to create sustainable power.



Wood pellets Export market.

The wood pellets in Canada are mostly exported to Europe (consisting of England and also Belgium) and Asia (consisting of Japan as well as Korean) as well as residential home heating market in America.Canadian Statistical Bureau reported the export statics of the last 4 years.



Thanks to place benefits, British Columbia has ended up being the among the initial wood pellet distributors for Korean and Japan Market. In the past years, Canada's wood pellets export has taken up 2/3 of Japan's wood pellet import. (Strauss 2016).



In 2016, Canada's wood pellet export rises by 46% as well as reach up to 2.37 Mt. Japan contributed the biggest growth rate of 240%, and England has the biggest development quantity of 458,217 bunch.( WPAC ， 2017).



In the future, a lot of wood pellets in Canada will keep serving oversea market. Canadian wood pellet makers need to rely upon Europe as well as Asia market. In Asia, Korea is going to be a prospering market, with many independent power producers and also sectors adopting wood pellets. Japan is most likely to have the fastest development, with increasingly more coal-fired power plant to be transformed. Japanese market is anticipated to expand by 10-12Mt each year.



Wood pellets residential usage.

Canada's residential wood pellet intake is 300,000 loads every year, mainly for household heating cooktop as well as the biomass nuclear power plant.



The domestic household heating market will certainly stay steady, or enlarge with the growing rate of heating oil. The co-firing power plant will increase domestic market. However wood pellet has to compete with various other renewable energy such as solar and also wind. Besides, wood pellets are acknowledged as expensive, whose advantages such as uniform size, storability, as well as fluidity have not obtain due attention.



Biomass power generation in Canada.

Canada National Energy Board recently released a record on the application of renewable resource. It pointes out Canada embraces higher part of renewable resource in power generation compared with various other industrialized nations.



As the record shows, Canada has 70 biomass nuclear power plant in 2014, with the total gross ability of 2408MW. The biomass includes wood, wood spin-offs, and also landfill gas. As a whole, biomass occupies 1.9% of the complete power generation in Canada. In 2015, the biomass power generation is up to 12,161 GWh, which has actually matured by 54% considering that 2005.



Atikokan is the biggest 100% biomass gas nuclear power plant, possessed by Ontario Power Generation. This power plant is converted from coal-fired nuclear power plant into biomass nuclear power plant with 170 million Canadian Dollars in 2012. Since 2014, Atikokan has taken on the peak need for power. It needs 1000 tons of wood pellets yearly, using up 30% of the domestic productivity.



Sandbey, an additional nuclear power plant in Ontario, is likewise converted into wood pellet discharged. Currently, it consumes concerning 8000 tons of carbonized wood pellets from Norway.



Wood pellet cost.

The prices for bulk export in overseas market is in between 150 as well as 180 Canadian bucks. The pellets targeting at America's household heating market are offered in bags, which has higher cost of 210-280 Canadian dollars( Canada Data). The area rate of bagged wood pellets (40 extra pound) is $5.24, equaling $262/ton, as well as $15.41/ GJ.




According a task in British Columbia, the cost of heating wood pellets (consisting of operation as well as electrical power) is $15.9/ GJ, dimethylmethane is $24.36/ GJ (consisting of shipment, carbon tax and also electrical fans), electrical energy is $29.47/ GJ, and also heating oil is $33.93/ GJ.( Murray, 2015).



Wood pellets logistics.

Canada's wood pellets are exported out of British Columbia through the Vancouver port and also Royal prince Rupert port. Inland, the rails connect the wood pellet factories as well as ports, as well as trucks transport forestry products to the wood pellet factory.



The new profession roadway from eastern Canada to Europe, and also the wood pellet manufacturing facilities in the eastern provinces like Ontario, Quebec and also New Brunswick embraces barges for transport.

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