Notes

America wood pellet market evaluation as well as forecast<br>
Timber pellet production in America

America's wood pellet manufacturing began in the northeast as well as southeast areas. At first, they are small-scale wood pellet plants that refine sawmill residues, as well as supply residential heating market. The domestic market is limited due to the development of gas network and the uncompetitive cost.



Thanks to the oversea demand, America's timber pellet production development rapidly in the past few years. The growth of wood pellet plants mainly occur in the southeast, because they are close to EU market, as well as there are more biomass power, manpower, infrastructure, and innovation accumulation.



Manufacturing capability as well as distribution

America's wood pellets production grows steadily considering that 2004. There are 119 manufacturing facilities that eats timber residuals, yet their primary products has actually changed from papers to wood pellets. Since 2005, 16 brand-new timber pellet manufacturing plants have been developed in the south of America. Between 1995-2015, 14 pulp and paper mill have actually been shut completely. By 2016, the manufacturing ability of America wood pellet industry has actually risen to 13.7 million loads.



Most wood pellet plant in America is located in southeast, southeast as well as northwest locations. They are significant timber production locations in America. There are 15 wood pellet plants with the manufacturing ability more than 300,000 short lots every ear. They are all located in the Southeast America. 7 of them are in Enviva, whose overall manufacturing capability is 2.7 million heaps. Amite BioEnergy and Morehouse BioEnergy is in Drax, whose overall capability is 890,000 bunches. pet food pellet machine is the biggest independent timber pellet plant in America, whose is production capacity is 740,000 bunches.



America timber pellet plant whose manufacturing ability is more than 300,000 short loads per year

Besides, the prepared wood pellet plants are expected to add 3.5 million lots' wood pellet production.



Basic material resource of wood pellets

The majority of wood pellet plants utilize recurring timber fibers and pulp wood as raw materials. As estimate, wood pellets just occupies 2-4% of timber market, due to the fact that they have less market value than lumber as well as paper pulps. Hereof, biomass basic materials are normally the by items of high-value forestry items.



Wood pellets consumption in America

There is no official data of the residential wood pellet usage, yet we can cauculate it according to the manufacturing, import and also export. The table listed below shows the estimated timber pellet intake in America.



America's wood pellet production is generally for export. In grass pellet mill , 63% of wood pellet manufacturing is for export, and the rest is for residential home heating, with just 1% for business usage. It is estimated that more than 13 million property wood furnaces remain in use, with 10% are pellet cooktop. It is vague how many timber pellets are used for power generation as well as heating supply.



Timber pellet rate

The timber pellets usage in the United States is driven by the cost benefit. They are less expensive than property home heating oil, gas and other alternative to firewood.



In the past, the CIF rate of commercial timber pellets in Amsterdam, Rotterdam or Antwerp port is $155-175/ bunch. In southeast circulation port like Savanna, GA and also AL, the FOB cost is $140-155/ heap.



In household market, the wood pellets is supplied by bags. A bag of 40 extra pound timber pellets prices $5-$ 7. In other words, they are$ 275-385 per load.



Trade and also logistics

Typically, most wood pellets in America is generated by small-scale plants, and also moved to residential home heating market. Because 2007, the wood pellet manufacturing matures quickly in southeast areas. The total wood pellet manufacturing grows from 2 million lots in 2008 to 7.4 million bunches in 2015. But the domestic intake is around 3 million bunches. A huge amount of timber pellets are exported to Europe. They rely on massive transports, including barges as well as railway to the port and delivery to overseas.



Policy driving and also blockages

The United States has some reward plan for biomass heating in residential and also industrial construction, however none for industrial heating supply as well as power generation. Actually, wood pellets intake for cogeneration is the least. Biomass materials are mostly used to create the spin-offs of forestry sector, such as pulp as well as documents.



Rewards for household home heating pellets

EPA New Resource Efficiency Specifications (NSPS): In March 2015, the Epa (EPA) released a New Resource Performance Requirements (NSPS) for property fire wood furnaces and also pellet ovens.



Biomass cooktop tax obligation credit rating plan: It is a government reward that offers $300 for buying high-efficiency firewood as well as pellet range prior to the year 2017.




Incentives for commercial timber pellets

EPA proposed Clean Power Strategy (CPP) to decrease the carbon air pollution of nuclear power plant, yet It met resistance from more than 20 states, industry teams as well as business after the requirement was published. So in 2016, the Supreme Judicial Court put on hold the implementation of CPP.



Sustainable profile requirement (RPS) needs to raise making use of renewable resource in power generation, however timber pellets are typically not used for this objective because of the high rate.



Besides CPP, several states have made Power Profile Criterion and Goals. These basic requires public service business to adopt a particular section of renewable resource. As an example, the electric power available have to has a certain part created by renewable energy. It include solar, wind, hydraulic as well as biomass power.




Biofuel production objectives

Wood pellets is the raw material to produce biofuel in biorefinery. However these brand-new markets really did not drive the development of wood pellet production. The growth of biofuel sector is driven by the Energy Independence and also Safety And Security Act (EISA) published in 2007, which revised the Renewable fuel criterion (RFS).


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