Notes

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

Biomass market insiders explain 3 drives in Canada: ecological pressure, monitoring objectives of sustainnable forestry, and also cost advantages.



Biomass gas are carbon neutral. Plants absorb carbon dioxide in its development and also produce the same amount of CO2 in burning, so they doesn't include extra greenhouse gases to the ambience. Besides, biomass energy can lower making use of coal, gas and also oil, which is the souce of greenhouse gases.



Lasting forestry is a typical objective of all public lands in Canada. It takes into consideration woodland health, wild animals environment as well as biodiversity in the expedition of forestry resources. From economic possibility, lasting forestry administration intends to utilize all products in one of the most efficient way, consisting of wood wast. Nonetheless, it is not wise to turn all forestry waste into biomass energy. Sometimes it is helpful to leave some wood waste in the forestry to shield wildlife habitats and also advertise soil nutrients regrowth.



When the rate of typical fuels go down, biomass power will shed benefits. The cost competition makes the producers establish extra effective methods to refine biomass power, particularly to lower the expense 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 power is a lot more cost-effective.



Renewable energy incentive policy

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



Presently, coal power contributes 10% of the total greenhouse gas emission in Canada. Coal plants are primarily situated in Alberta( 10 ), Saskatchewan( 2 ), New Brunswick( 1 ), and Nova Scotia. According to the plan, New Brunswick and Alberta proclaim to progressively get rid of 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 cooktop substitute task in Nova scotia, Quebec, new Brunswick, British Columbia, and Ontario will enhance the domestic wood pellet market. （ HPBAC ， 2016 ）.



Wood pellet manufacturing in Canada.

In 2010, Canada can generate 2 million tons of wood pellets every year. The wood pellet manufacturing facilities can create 1.3 Mt, representing 65% of the residential total manufacturing, as well as export 1.2 Mt of them. In 2011, the production reach up to 1.5 Mt, with 1.3 Mt for export.In 2012, the production capability has actually risen 3Mt. Form 2015-2016, the wood pellet manufacturing boosts by 1Mt per year. In 2016, Canada has 42 pellet manufacturing facility, with the manufacturing capability over 4Mt, and new pellet manufacturing facilities remain in building and construction.



British Columbia generates over 150,000 wood pellets yearly, making up 60% of the overall production in Canada. The following are Ontario as well as Quebec. The wood pellet factories in Ontario mostly offer domestic market, while the wood pellet manufacturing facilities in British Columbia offer abroad large-scale heat power plant. Other districts have several tiny pellet factories primarily offering regional market, with the overall production ability around 50,000 tons.



Biomass materials in Canada.


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



In the past, several paper mills has a specialized space to create hog fuel, the blended barks as well as wood wastes used to produce heat and power. With an increasing number of paper mills merge with saw mills in the 1990s, the wood wastes are transferred to the saw mills. In the last one decade, with lots of saw mills fold, the source of wood waste decline greatly, so forestry come to be a major source to get biomass materials.



Forestry biomass materials can be gotten in different types. It is prominent to accumulate twigs, branches, needles, barks, and so on, which is executed in addition to logging, however the transportation cost is high. Besides, biomass originates from silvicultural thinning, right of way cleaning, sphagnum peat, or the deposits after fire, condition and bug bugs.



Tamarack and also larch become popular in biomass sector. They are not for making woodworks or papers, but appropriate for biomass gas production owing to high development speed. They are going to be a cost-effective option to generate sustainable energy.



Wood pellets Export market.

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



Thanks to position benefits, British Columbia has become the one of the initial wood pellet vendors for Oriental and also Japan Market. In the past years, Canada's wood pellets export has occupied 2/3 of Japan's wood pellet import. (Strauss 2016).



In 2016, Canada's wood pellet export increases by 46% and also rise to 2.37 Mt. small feed pellet machine contributed the biggest growth price of 240%, as well as England has the biggest growth quantity of 458,217 bunch.( WPAC ， 2017).



In the future, most wood pellets in Canada will keep on offering oversea market. Canadian wood pellet suppliers have to count on Europe and also Asia market. In Asia, Korea is mosting likely to be a thriving market, with numerous independent power manufacturers and industries taking on wood pellets. Japan is likely to have the fastest development, with more and more coal-fired nuclear power plant to be converted. Japanese market is expected to grow by 10-12Mt annually.



Wood pellets residential usage.

Canada's residential wood pellet consumption is 300,000 heaps every year, mostly for household home heating stove and the biomass power plants.



The domestic residential home heating market will continue to be secure, or expand with the expanding price of heating oil. The co-firing power plant will enhance domestic market. However wood pellet has to compete with other renewable resource such as solar as well as wind. Besides, wood pellets are recognized as costly, whose benefits such as consistent dimension, storability, and fluidness have not get due focus.



Biomass power generation in Canada.

Canada National Energy Board lately released a record on the application of renewable resource. It pointes out Canada takes on greater section of renewable resource in power generation compared to various other industrialized countries.



As the report reveals, Canada has 70 biomass nuclear power plant in 2014, with the complete gross capacity of 2408MW. The biomass includes wood, wood byproducts, and garbage dump gas. As a whole, biomass takes up 1.9% of the total power generation in Canada. In 2015, the biomass power generation depends on 12,161 GWh, which has matured by 54% considering that 2005.



Atikokan is the largest 100% biomass fuel power plant, possessed by Ontario Power Generation. feed pellet making machine is transformed from coal-fired nuclear power plant right into biomass power plant with 170 million Canadian Bucks in 2012. Since 2014, Atikokan has actually taken on the peak demand for electricity. It calls for 1000 lots of wood pellets yearly, taking up 30% of the domestic performance.



Sandbey, one more power plant in Ontario, is also converted into wood pellet terminated. Currently, it consumes concerning 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 dollars. The pellets targeting at America's property heating market are offered in bags, which has greater cost of 210-280 Canadian bucks( Canada Statistics). The area cost of bagged wood pellets (40 extra pound) is $5.24, amounting to $262/ton, and also $15.41/ GJ.



According a project in British Columbia, the cost of home heating wood pellets (consisting of operation as well as electrical energy) is $15.9/ GJ, dimethylmethane is $24.36/ GJ (consisting of shipment, carbon tax obligation as well as electric fans), power is $29.47/ GJ, as well as 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 as well as Prince Rupert port. Inland, the rails attach the wood pellet factories and ports, and trucks transportation forestry materials to the wood pellet manufacturing facility.



The brand-new profession road from eastern Canada to Europe, and the wood pellet manufacturing facilities in the eastern provinces like Ontario, Quebec and also New Brunswick takes on barges for transportation.

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