Notes

Wood pellets industry and market in Canada<br>
Drives of biomass energy advancement

Biomass industry insiders explain 3 drives in Canada: ecological pressure, administration objectives of sustainnable forestry, as well as cost advantages.



Biomass fuels are carbon neutral. Plants soak up CO2 in its growth and also emit the same amount of CO2 in burning, so they doesn't include extra greenhouse gases to the ambience. Besides, biomass power can reduce the use of coal, gas and also oil, which is the souce of greenhouse gases.



Lasting forestry is a common goal of all public lands in Canada. It thinks about forest health, wild animals habitat and also biodiversity in the expedition of forestry resources. From index , lasting forestry administration intends to utilize all materials in the most reliable way, consisting of wood wast. Nonetheless, it is not important to turn all forestry waste into biomass energy. In some cases it is valuable to leave some wood waste in the forestry to protect wild animals environments and advertise soil nutrients regrowth.



When the cost of traditional gas drop, biomass energy will lose advantages. The price competitors makes the makers establish a lot more effective means to process biomass power, especially to lower the cost of raw mateirals transportation. By controling the manufacturing price, biofuels are affordable with traditional fuels. As an example, if the price of a barrel of oil is higher than $17, biomass energy is extra affordable.



Renewable resource motivation policy

The production and also intake of wood pellets in Canada is driven by worldwide need and also domestic policy. Canadian Federal government has attracted a plan to stop using coals by 2030, and also increase the proportion of renewable resource in power generation to 90%.



Currently, coal power adds 10% of the overall greenhouse gas emission in Canada. Coal plants are generally located in Alberta( 10 ), Saskatchewan( 2 ), New Brunswick( 1 ), as well as Nova Scotia. According to the plan, New Brunswick and Alberta proclaim to slowly remove coals by 2030, and also convert numerous coal-fired nuclear power plant right into co-fired or biomass nuclear power plant.



In property heating market, the fire wood stove replacement task in Nova scotia, Quebec, brand-new Brunswick, British Columbia, as well as Ontario will enhance the domestic wood pellet market. （ HPBAC ， 2016 ）.



Wood pellet production in Canada.

In 2010, Canada can create 2 million tons of wood pellets yearly. The wood pellet manufacturing facilities can create 1.3 Mt, accounting for 65% of the domestic total production, and also export 1.2 Mt of them. In 2011, the production rise to 1.5 Mt, with 1.3 Mt for export.In 2012, the manufacturing ability has actually risen 3Mt. Kind 2015-2016, the wood pellet production rises by 1Mt per year. In 2016, Canada has 42 pellet factory, with the manufacturing capability over 4Mt, as well as new pellet manufacturing facilities are in building and construction.



British Columbia generates over 150,000 wood pellets every year, making up 60% of the complete manufacturing in Canada. The following are Ontario as well as Quebec. The wood pellet manufacturing facilities in Ontario primarily serve domestic market, while the wood pellet factories in British Columbia offer abroad large-scale warm power plant. Other districts have lots of tiny pellet manufacturing facilities mainly serving regional market, with the complete manufacturing ability around 50,000 heaps.



Biomass products in Canada.

In Canada, the biomass resources spread out in those districts with reactive pulp, paper and forestry industry, consisting of Ontario, Alberta, Quebec, and also New Brunswick. Biomass products such as barks, sawdust, wood chips, braches are made use of to make wood pellets, biogas, cellulosic ethanol, biodiesel, as well as bio-oil.



In the past, several paper mills has a specialized area to produce hog gas, the combined barks and also wood wastes utilized to generate heat and power. With an increasing number of paper mills combine with saw mills in the 1990s, the wood wastes are carried to the saw mills. In the last 10 years, with lots of saw mills shut down, the source of wood waste decline sharply, so forestry end up being a major source to get biomass materials.



Forestry biomass materials can be acquired in various types. It is popular to collect branches, branches, needles, barks, etc, which is performed together with logging, however the transport expense is high. Besides, biomass comes from silvicultural thinning, right of way clearing, sphagnum peat, or the deposits after fire, illness as well as insect pests.



Tamarack as well as larch ended up being preferred in biomass industry. They are not for making woodworks or papers, but appropriate for biomass fuel production owing to high development rate. They are mosting likely to be an economical remedy to produce sustainable power.



Wood pellets Export market.

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



Thanks to place benefits, British Columbia has actually become the among the very first 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 boosts by 46% as well as reach up to 2.37 Mt. Japan added the largest development price of 240%, and also England has the largest growth volume of 458,217 load.( WPAC ， 2017).



In the future, most wood pellets in Canada will continue offering oversea market. pellet machine for cattle feed have to depend on Europe and also Asia market. In Asia, Korea is going to be a prospering market, with lots of independent power producers and also industries embracing wood pellets. Japan is likely to have the fastest development, with an increasing number of coal-fired nuclear power plant to be converted. Japanese market is anticipated to grow by 10-12Mt each year.



Wood pellets domestic usage.

Canada's residential wood pellet usage is 300,000 heaps yearly, mostly for residential heating cooktop and also the biomass nuclear power plant.



The domestic property home heating market will continue to be secure, or enlarge with the expanding price of home heating oil. The co-firing nuclear power plant will certainly raise domestic market. But wood pellet has to take on other renewable energy such as solar and also wind. Besides, wood pellets are recognized as costly, whose benefits such as consistent dimension, 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 adopts greater section of renewable energy in power generation compared to various other industrialized countries.



As the report shows, Canada has 70 biomass nuclear power plant in 2014, with the overall gross capability of 2408MW. The biomass consists of wood, wood byproducts, as well as landfill gas. In general, biomass uses up 1.9% of the overall power generation in Canada. In 2015, the biomass power generation is up to 12,161 GWh, which has matured by 54% considering that 2005.



Atikokan is the largest 100% biomass gas power plant, possessed by Ontario Power Generation. This nuclear power plant is transformed from coal-fired power plant right into biomass nuclear power plant with 170 million Canadian Bucks in 2012. Because 2014, Atikokan has carried out the peak demand for electrical energy. It requires 1000 lots of wood pellets every year, using up 30% of the domestic performance.



Sandbey, one more power plant in Ontario, is also exchanged wood pellet terminated. Currently, it consumes about 8000 lots of carbonized wood pellets from Norway.



Wood pellet price.

The sales price for bulk export in overseas market is between 150 as well as 180 Canadian bucks. The pellets targeting at America's residential home heating market are offered in bags, which has greater rate of 210-280 Canadian dollars( Canada Statistics). The zone rate of bagged wood pellets (40 pound) is $5.24, amounting to $262/ton, as well as $15.41/ GJ.



According a job in British Columbia, the cost of home heating wood pellets (including operation and power) is $15.9/ GJ, dimethylmethane is $24.36/ GJ (consisting of delivery, carbon tax obligation and electric followers), electrical power is $29.47/ GJ, and heating oil is $33.93/ GJ.( Murray, 2015).



Wood pellets logistics.


Canada's wood pellets are exported out of British Columbia with the Vancouver port and Prince Rupert port. Inland, the rails attach the wood pellet manufacturing facilities and ports, and also trucks transport forestry materials to the wood pellet manufacturing facility.



The brand-new profession road from eastern Canada to Europe, as well as the wood pellet factories in the eastern districts like Ontario, Quebec and also New Brunswick embraces barges for transport.

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