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Biomass Feedstock Sustainability, Quantity, and Supply Competition

IssuesMarcia Patton-Mallory, PhDBioenergy and Climate Change Specialist

US Forest Service/Western Forestry Leadership Coalition

2010 International Conference on Thermal Treatment Technologies and Hazardous Waste Combustion

San Francisco, CAMay 18, 2010

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Major Topics:

• Forestry- biomass and forest management- a model system

• Sustainability- general concepts and examples

• Bioenergy Feedstock Supply

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FORESTRY:

A MODEL SYSTEM FOR BIOENERGY

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Uses

Fuels:− Ethanol− Other Liquid Fuels− Hydrogen

Electricity and Heat

Biobased Products– Composites– Specialty Products– New Products– Chemicals– Traditional Products

Forestry: The Opportunity and Potential

Conversion

- Manufacturing- Co-firing- Combustion- Gasification - Hydrolysis- Digestion- Pyrolysis- Extraction- Separation

Feedstock

- Forest Residues- Hazardous Fuel

Forest Treatments- Short Rotation

Woody Crops- Wood Waste- Conventional - Mill Waste &

Residues

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Forest Management and Biomass

• Large volumes of biomass

• Fire risks

• Declining forest health

• Declining infrastructure

• Industry decline

• Offshore investments and imports

• Worker (capacity) shortage

• Reduced investments

• Markets and barriers

• Cyclic booms and busts

• No markets

• Higher costs

• Very distributed

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Public vs. Private ForestsLand Ownership Matters…

East

9% federalWest

58% federal

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Managing our lands for energy, food and fiber

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What we need from Forests

• Wood• Water• Non-wood products• Recreational opportunities• Habitats• Climate change mitigation• Energy

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What we need from Agriculture

• Food• Feed• Fiber• Recreational opportunities• Habitats• Climate change mitigation• Energy

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BIOENERGY SUSTAINABILITY

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Dimensions of Sustainability• Economic

– New linkages in markets – energy – food - wood products– Direct effects (supply, demand, and cost and price)– International trade– Jobs in rural areas

• Environmental– Direct and Indirect land use effects– Soil health, water quantity and quality, air quality, biodiversity

and habitat, GHG emissions, GMO and invasive species– Ecosystem services- co-production on a landscape

• Social– Regional, National, and International– New Energy Economy- renewable and advanced technology– Labor rights, land rights and participation– Energy Security and Food Security– Cultural and Spiritual Values

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Not all biomass feedstocks are the same!

• Grain-based (food, feed)• Sugar-based (food)• Oil plant (food, oilseeds)• Cellulosic (herbacious energy crops)• Cellulosic (woody energy crops)• Waste recycling (tallow, grease)• Residues (crop, forest, urban wood

diversion from landfills, C&D waste)

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Key challenges for sustainable biomass energy production

• Farmer and forest landowner engagement and interest in sustainability for new industry

• Developing the value proposition for converting to sustainable biomass production

• Help ensure that sustainability is part of the platform on which this industry is built

Ref: Discussion during DOE Biomass 2009 meeting-http://www1.eere.energy.gov/biomass/biomass_2009_track_1.html

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Challenges to Sustainability

FeedstockManagement

OriginalConditions

EnvironmentalAttributes

FeedstockExtent on

Landscape

Feedstock Location

FeedstockType

AddressAll

Dimensions

Ref: Dale and Kline, Oak Ridge National Laboratory

Production

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Challenges to Sustainability

Transport to Market

Location ofRefinery

GHG Emissions

Water Use

NetEnergy

Transport of Feedstock

AddressAll

Dimensions

Ref: Dale and Kline, Oak Ridge National Laboratory

Conversion

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Examples of Sustainability Criteria

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Sustainability Frameworks- examples• International Dialog

– Global Bioenergy Partnership– Roundtable on Sustainable Biofuels– EU Renewable Energy Directive (RED)

• National Dialog– Interagency working group on sustainability– EISA 2007 Renewable Fuels Standard: Biofuels mandate-

renewable biomass definition– National Renewable Electricity Standard - dialog in progress

• States– Best Management Practices (water quality)– Biomass Harvesting Guidelines

• Certification- Forestry– Council on Sustainable Biomass Production (bioenergy from non-

food feedstocks)– SFI and FSC (sustainable forestry certification)

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Example Sustainability CriteriaThe Council on Sustainable Biomass Production (CSBP)

• Voluntary sustainability principles and standards for the production of feedstocks for second generation biorefineries

• Focus on dedicated fuel crops, crop residues, purpose-grown wood, and forestry residues in North America

• Full complement of sustainability issues through principles, criteria, and indicators applicable to both agriculture and silviculture.

Ref: www.csbp.org

Example Sustainability CriteriaThe Council on Sustainable Biomass Production (CSBP)

Components include:

1. Climate Change 2. Biological Diversity and Productivity 3. Water Quality and Quantity 4. Soil Quality 5. Socio-Economic Well-being 6. Integrated Resource Management Planning

19Ref: www.csbp.org

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Example Sustainability Criteria

Environmental• Conserve Carbon• Conserve Biodiversity• Sustainable water• Soil Conservation• Air Quality

Social• Worker’s rights• Land rights• Food security and

availability• Share benefit locally

World Wildlife Foundation

“the right crops and trees in the right place with the right techniques”

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25x ‘25 Coalition - Sustainability Principles

• Access• Air Quality• Biodiversity• Community Economic

Benefits• Efficiency and

Conservation• Greenhouse Gas

Emissions• Invasive and Non-

Native Species

• Opportunities• Public Lands• Soil Erosion• Soil Quality• Special Areas• Technology• Water Quality• Water Quantity• Wildlife

http://www.25x25.org/storage/25x25/documents/SustainabilityPrinciples/sustainability_principles3-7-08.pdf

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Other Approaches• Specify/limit feedstock and land that qualify for

incentives – EISA 2007- RFS renewable biomass definition

• Specify Net GHG or Net Energy – EISA 2007- RFS “advanced biofuel” LCA– Low carbon fuels standard– Potential efficiency standards in national Renewable

Electricity Standard– Carbon Neutrality monitoring through National GHG

emission inventory by sector (Forestry and Land use accounts for bioenergy implicitly through change in carbon stocks, so “carbon neutral” in energy sector)

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FEEDSTOCK SUPPLY, QUANTITY AND COMPETITION

24Ref: http://www.nrel.gov/biomass/biorefinery.html

Biorefinery Concept• Pre-pulping

• Standalone

• Increase values

• Maintain competitiveness

• Reduce oil dependency

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Biomass supply curves- Dry Tons/Year

States:AZCACOHIIDKSMTNDNMNVOKORSDTXUTWAWY

Western Governor’s Association- Strategic Assessment of Bioenergy in the West (2008)

Totals 2 quads/year at $50/dry ton

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Forest Biomass- Supply Curve

Western Governor’s Association- Strategic Assessment of Bioenergy in the West (2008)

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Ag Residue - supply curve

Western Governor’s Association- Strategic Assessment of Bioenergy in the West (2008)

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Biorefinery Potential - Generation/Plant Location

Western Governor’s Association- Strategic Assessment of Bioenergy in the West (2008)

Biodiesel feedstockCellulosic feedstock

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Target Price ResultsBiofuels Produced at the Target Price

Feedstocks Consumed at the Target Price

Target Prices (wholesale) –Gasoline Substitutes: $2.40/gge

Diesel Substitutes: $2.36/gge(gge: gallon of gasoline equivalent)

Western Governor’s Association- Strategic Assessment of Bioenergy in the West (2008)

11.3 Billion Gallons Total

30Ref: The Economics of Biomass Production in the United States, R.Graham et al, Oak Ridge National Laboratory, 1995Ref: Switchgrass Production in Iowa: Economic Analysis, soil suitability, and varietal performance, Oak Ridge National Lab 2002

Farm Gate price does not include storage or delivery, which can be high for herbaceous energy crops.

Others estimate with storage and delivery costs range from $75-100/MT

Switchgrass Supply

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Relative Cost for Feedstock- power sector

http://www.eia.doe.gov/oiaf/analysispaper/biomass/

Varies with location

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Biomass Crop Assistance Program (BCAP)

• Rules released February 8, 2010• Assists agriculture and forest landowners

with establishment and production of eligible crops including woody biomass for conversion to bioenergy

• Assistance for collection, harvest, storage and transportation of eligible material for use in eligible biomass conversion facilities

Ref: BCAP web site: http://www.fsa.usda.gov/FSA/webapp?area=home&subject=ener&topic=bcap

Southeastern Wood-Using Bioenergy Projects

Data source: Wood Bioenergy South, October 2009.Wood Bioenergy South tracks announced and operating wood-consuming energy projects across the US South. Updated monthly.www.foriskstore.com

Feedstock Competition

Consider Existing Infrastructure

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Consider Other New Facilities

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Biofuels that make sense…• Use material that would otherwise have negative

environmental consequences– Reduces wildfire, improves forest health, protects

watersheds, and provides habitat• Produced on marginal lands with minimal inputs

– Water, fertilizer, and low impact harvesting• Production is scaled to match feedstock

availability and provide value to help maintain working landscapes

• Have favorable net energy and net GHG profiles

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Energy• Renewable• Secure• SustainableBiomass

Managementand Use

Economy• Costs• Rural Development• Global Competition

Environment• Climate Change• Stand Function• Sustainability

Natural Resource Management

Land

Air

Water Infrastructure

WorkingLands

Conservation& Utilization

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mpattonmallory@fs.fed.us(970) 295-5947

Western Forestry Leadership Coalition

We work as a Coalition to address critical resources issues across ownerships and jurisdictions. We assist family forest owners, rural and

state fire organizations, and community forestry groups; improving forest health, encouraging land conservation, and stimulating

community economic recovery.http://www.wflccenter.org/

US Forest Service Web sites:Biomass www.fs.fed.us/woodybiomass/

Climate Change www.fs.fed.us/ccrc/Interagency Woody Biomass information:

www.forestsandrangelands.gov/woody_biomass