Notes

Wood pellets industry and also market in Canada<br>
Drives of biomass power growth

Biomass market insiders explain 3 drives in Canada: environmental stress, monitoring goals of sustainnable forestry, as well as price advantages.



Biomass fuels are carbon neutral. Plants absorb carbon dioxide in its growth and release the same amount of carbon dioxide in burning, so they does not include additional greenhouse gases to the environment. Besides, biomass power can minimize using coal, gas as well as oil, which is the souce of greenhouse gases.




Sustainable forestry is a typical objective of all public lands in Canada. It considers woodland wellness, wildlife habitat as well as biodiversity in the expedition of forestry resources. From economic possibility, sustainable forestry management intends to utilize all products in the most reliable means, including wood wast. Nevertheless, it is not smart to transform all forestry waste into biomass energy. In some cases it is helpful to leave some wood waste in the forestry to safeguard wildlife habitats as well as advertise soil nutrients regrowth.



When the cost of typical fuels go down, biomass power will lose benefits. The rate competition makes the suppliers create much more efficient means to refine biomass energy, especially to lower the expense of raw mateirals transport. By controling the manufacturing price, biofuels are affordable with typical fuels. As an example, if the rate of a barrel of oil is greater than $17, biomass power is much more economical.



Renewable energy incentive plan

The production and consumption of wood pellets in Canada is driven by global demand and domestic policy. Canadian Federal government has attracted a plan to stop utilizing coals by 2030, and also enhance the ratio of renewable resource in power generation to 90%.



Currently, coal power adds 10% of the total greenhouse gas discharge in Canada. Coal plants are primarily situated in Alberta( 10 ), Saskatchewan( 2 ), New Brunswick( 1 ), and Nova Scotia. According to the policy, New Brunswick as well as Alberta state to progressively remove coals by 2030, and also transform a number of coal-fired nuclear power plant into co-fired or biomass power plant.



In domestic heating market, the firewood stove replacement project in Nova scotia, Quebec, brand-new Brunswick, British Columbia, and Ontario will certainly enhance the domestic wood pellet market. （ HPBAC ， 2016 ）.



Wood pellet manufacturing in Canada.

In 2010, Canada can generate 2 million lots of wood pellets yearly. The wood pellet manufacturing facilities can create 1.3 Mt, making up 65% of the residential overall manufacturing, as well as export 1.2 Mt of them. In 2011, the manufacturing reach up 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 increases by 1Mt annually. In 2016, Canada has 42 pellet manufacturing facility, with the manufacturing capability over 4Mt, and also new pellet factories are in building.



British Columbia creates over 150,000 wood pellets every year, making up 60% of the overall production in Canada. The following are Ontario and Quebec. shrimp feed pellet machine manufacturing facilities in Ontario generally offer domestic market, while the wood pellet factories in British Columbia serve abroad large-scale heat power plant. Other districts have lots of tiny pellet factories mainly offering local market, with the overall production ability around 50,000 tons.



Biomass materials in Canada.

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



In the past, lots of paper mills has a specialized space to generate hog fuel, the blended barks and wood wastes made use of to create heat as well as power. With more and more paper mills combine with saw mills in the 1990s, the wood wastes are transported to the saw mills. In the last 10 years, with numerous saw mills close down, the resource of wood waste decline sharply, so forestry come to be a significant resource to obtain biomass products.



Forestry biomass products can be acquired in different types. It is popular to collect branches, branches, needles, barks, etc, which is performed together with logging, but the transportation price is high. Besides, biomass comes from silvicultural thinning, right-of-way cleaning, sphagnum peat, or the residues after fire, condition and insect pests.



Tamarack as well as larch become prominent in biomass sector. They are not for making woodworks or documents, however ideal for biomass fuel production owing to high development rate. They are mosting likely to be a cost-effective option to produce sustainable power.



Wood pellets Export market.

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



Thanks to place advantages, British Columbia has ended up being the one of the very first wood pellet vendors for Oriental and Japan Market. In the past years, Canada's wood pellets export has actually used up 2/3 of Japan's wood pellet import. (Strauss 2016).



In 2016, Canada's wood pellet export increases by 46% and rise to 2.37 Mt. Japan added the largest development rate of 240%, and England has the largest growth quantity of 458,217 bunch.( WPAC ， 2017).



In the future, many wood pellets in Canada will continue serving oversea market. Canadian wood pellet manufacturers need to rely on Europe and Asia market. In Asia, Korea is mosting likely to be a growing market, with numerous independent power producers and markets taking on wood pellets. Japan is likely to have the fastest growth, with an increasing number of coal-fired power plant to be transformed. Japanese market is anticipated to grow by 10-12Mt yearly.



Wood pellets residential usage.

Canada's residential wood pellet intake is 300,000 heaps yearly, primarily for residential heating oven as well as the biomass power plants.



The domestic household home heating market will stay stable, or increase the size of with the growing rate of home heating oil. The co-firing nuclear power plant will certainly enhance residential market. Yet wood pellet needs to compete with other renewable energy such as solar and wind. Besides, wood pellets are acknowledged as costly, whose advantages such as uniform dimension, storability, and fluidity haven't get due focus.



Biomass power generation in Canada.

Canada National Power Board just recently released a report on the application of renewable resource. It pointes out Canada takes on higher part of renewable resource in power generation compared to other industrialized countries.



As the record reveals, Canada has 70 biomass power plant in 2014, with the complete gross ability of 2408MW. The biomass includes wood, wood byproducts, and also land fill gas. In general, biomass uses up 1.9% of the complete power generation in Canada. In richi pellet machine , the biomass power generation is up to 12,161 GWh, which has actually grown up by 54% considering that 2005.



Atikokan is the biggest 100% biomass gas nuclear power plant, had by Ontario Power Generation. This nuclear power plant is converted from coal-fired nuclear power plant into biomass nuclear power plant with 170 million Canadian Bucks in 2012. Given that 2014, Atikokan has actually embarked on the peak need for power. It requires 1000 tons of wood pellets annually, occupying 30% of the domestic performance.



Sandbey, an additional nuclear power plant in Ontario, is also converted into wood pellet discharged. Presently, it eats concerning 8000 lots of carbonized wood pellets from Norway.



Wood pellet cost.

The sales price for bulk export in abroad market is between 150 and also 180 Canadian bucks. The pellets targeting at America's household heating market are sold in bags, which has higher rate of 210-280 Canadian bucks( Canada Statistics). The zone rate of bagged wood pellets (40 pound) is $5.24, equaling $262/ton, and also $15.41/ GJ.



According a project in British Columbia, the rate of heating wood pellets (including procedure and also electricity) is $15.9/ GJ, dimethylmethane is $24.36/ GJ (including distribution, carbon tax obligation as well as electrical fans), electrical energy is $29.47/ GJ, and home heating oil is $33.93/ GJ.( Murray, 2015).



Wood pellets logistics.

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



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

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