Forest and Wood Residues in a Low Carbon Future
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Forest and Wood ResiduesForest and Wood Residuesin ain a Low Carbon FutureLow Carbon Future
C. Scott MillerPrice BIOstock, Marketing ConsultantBIOstock Blog, EditorMay, 2008
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The Price Companies Business Model
Provide all services upstreamof the wood processing facility:– Paper and pulp mills– Saw mills
Services include:– Procurement– Harvesting and hauling logistics– Design/construction of the
receiving/processing site– Processing site management
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Victoria, Australia
Wood Chipping
PBS Headquarters
14+ million tonsper year
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The Price BIOstock Mission:
To apply The Price Companies business modelto making biomass supply simple foremerging bioenergy companies.
The Commitment:
Use the most environmentally sustainablebiomass available to supply emergingbioenergy technologies - wood, energycrops, MSW, etc.
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Biorefinery Agreements
PB Headquarters
Raven EnergyKamloops, BC
Range FuelsSoperton, GA
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Overview:Overview:
Woody biomass fundamentals
Lessons learned from theforest products industry
The need to manage forests
State and federal policies thatfrustrate market development
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Woody biomass fundamentals
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Wood built and powered early America
Energy Information Administration
QuadBTU
1800 1900 1950 20001850
40
30
20
10
0
Wood
Coal
Hydro
Nuclear
Natural Gas
Petroleum Fossil fuels are carbon positiveand “getting dirtier”
Biofuels are carbon neutraland “getting cleaner”
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Forests do not consume resources
The Nature Conservancy
SugarCaneCanolaSoy
25-50% less
>75%less
LifecycleGHG vs.
Oil-based
PalmOilCorn
Roughly equal
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Forests do not consume resources
The Nature Conservancy
SugarCaneCanolaSoy
Very High Low
Resource Consumption
25-50% less
>75%less
Energy
Pesticides
Fertilizer
Water
LifecycleGHG vs.
Oil-based
PalmOilCorn
Roughly equal
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Forests do not consume resources
The Nature Conservancy
SugarCaneCanolaSoy
Very High Low
Resource Consumption
25-50% less
>75%less
*depends on methods & type
WoodyBiomass
Agric.Waste
>95% less tonet sequestration*
Energy
Pesticides
Fertilizer
Water
LifecycleGHG vs.
Oil-based
PalmOilCorn
Roughly equal
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Forests do not consume resources
The Nature Conservancy
SugarCaneCanolaSoy
Very High Low
Resource Consumption
25-50% less
>75%less
*depends on methods & type
WoodyBiomass
Agric.Waste
>95% less tonet sequestration*
Energy
Pesticides
Fertilizer
Water
LifecycleGHG vs.
Oil-based
PalmOilCorn
Roughly equal
AlgaeNativeprairie
Switchgrass
Net sequestration
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Wood industry produces residualsWood industry produces residuals
USDA Billion Ton Report, 4/2005
Residues of logging & forest products industryResidues of logging & forest products industry
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Lessons learned fromthe forest products industry
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Pulp & Paper
+$
‘70’s “Cradle-to-grave” material value cycle
BiomassConversion
Wood Biomass& Grid Power
Wasteto
Landfill
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+$
Waste asan EnergyFeedstock
- Black liquor- Sawdust- Wood residues- Bark
‘80’s “Cradle-to-cradle” bioenergy value cycle
BiomassConversion
ParasiticLoad
Wood Biomass
Pulp & Paper
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+$
Waste asan EnergyFeedstock
New “Cradle-to-cradle” bioenergy value cycle
FlexibleFeedstock- Wood- Energy crops- Residues- MSW
ParasiticLoad
BiomassConversion
FlexibleProducts-Pulp & Paper-Biofuels-Bioplastics-Centralized Heat-Power to Grid
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Stumpage Prices
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Example: $25/ton Biomass Delivered to Mill
$13Site Logging
and Processing
$5Freight
$7Stumpage
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The need to manage forests
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Forest Service litigation 1989-2002
728 land management cases over 13 years
58%21%
18%
4%
Society of American Foresters, 2007
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USDA - Greenhouse Gas Impact 1990-2030
TemperatureUSDA Climate Change Program Office May 2008 Report based on IPCC, 2006
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USDA - Greenhouse Gas Impact 1990-2030
TemperatureUSDA Climate Change Program Office May 2008 Report based on IPCC, 2006
Precipitation
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Multiple stresses of a changing climate
2003 National Assessment Synthesis Team, US Global Change Research Program
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Forest Management means Fire Prevention
National Interagency Fire Center, 2008
6 of the 7 worst fire seasons
U.S. Forest Fires
1960-2007
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Colorado Hayman Fire,emitted more CO2 in oneday than all the cars in theU.S. in one week.
- NASA
Lasted 14 days.
2002 fire - 80,000 acres
Where thereWhere there’’s fire,s fire,therethere’’s smoke.s smoke.
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The problem of forest densityThe problem of forest density
4-10 timesmore dense
“Many forests, particularly those on publiclands, have grown dangerously overcrowdeddue to a century of fire suppression anddecades of restricted timber harvesting.”
Thomas Bonnicksen, Ph.D
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We need “moreinfrastructure.”
Rod VineyardEagle Lake Ranger DistrictLassen National Forest
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2002 fire - Cone fire
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GHG during decayGHG during decay
“Nearly four years after fires burned more than133,000 acres of national forest land in California, lessthan one percent of those acres have been replanted.”
The Forest Foundation
Unsalvaged Unsalvaged trunkstrunkscontribute 300%contribute 300%more GHG duringmore GHG duringdecaydecay
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Tahoe - 1911 Tahoe - 2003
1.1. Salvage decaying biomassSalvage decaying biomassto pay for forest managementto pay for forest management
2.2. Reforest to historic modelReforest to historic model
3.3. Mechanically thin vulnerableMechanically thin vulnerableforests for biomassforests for biomass
The sustainable solution:
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Beetle kill deforestation
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J.Q. Chambers et al., Science 318, 1107 (2007) Published by AAAS
Hurricane disaster debris
Destruction demolition waste
Katrina knockdown - 5,000,000 acres(Mount St. Helens - 130,000 acres)
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State and federal policies thatfrustrate market development
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1. CARB LCFS land use change
Direct - cultivating corn and energy crops addscarbon to the atmosphere– Tilling soil - releases Biogenic carbon– Fossil inputs - fertilizer and diesel fuel
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1. CARB LCFS land use change
Direct - cultivating corn and energy crops addscarbon to the atmosphere– Tilling soil - releases Biogenic carbon– Fossil inputs - fertilizer and diesel fuel
Indirect - Developing countries will deforest acresto compensate for acres changed in U.S.– Soy acres changed to corn acres in U.S. means…– Amazonian deforestation to soy acres in Brazil
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Future carbon improvementsFuture carbon improvements
No-till agricultureNo-till agriculture Increased yield per acreIncreased yield per acre Biogenic inputs replaceBiogenic inputs replace
fossil inputsfossil inputs HybridHybrid crops that are:crops that are:
–– PerennialPerennial–– Faster growingFaster growing–– Nitrogen fixingNitrogen fixing–– Bug & drought resistantBug & drought resistant
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If we don’t create alternative fuels here…
Won’t that increase market demandfor creating it elsewhere?
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2. 15% Ethanol Blend Wall
Other BiofuelsBioDiesel
CellulosicBiofuels
Corn Ethanol
Billion Gallons/Year
0
5
10
15
20
25
30
35
40
Green Car Congress
21B
15B20057.5B x 2012
10% Blend Wall
15% Blend Wall
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One dot = 5,000 acres
Federal land
23,000,000 acres
3. EISA’s RFS2 definition
USDA Forest Service - Forest Inventory and Analysis National Program
Georgia before EISA RFS
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23,000,000 acresvs. 7,300,000 acres
After RFS
USDA Forest Service - Forest Inventory and Analysis National Program
Georgia before EISA RFS
3. EISA’s RFS2 definition
One dot = 5,000 acres
Federal land
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75 Miles
50 Miles
25 Miles Logistics uneconomical
Feedstock trackingunworkable
3. EISA’s RFS2 definition
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USDA Forest Service - Forest Inventory and Analysis National Program
19,000,000 acresCalifornia before EISA RFS
3. EISA’s RFS2 definition
One dot = 5,000 acres
Federal land
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USDA Forest Service - Forest Inventory and Analysis National Program
19,000,000 acresvs. 500,000 acres
After RFS
California before EISA RFS
3. EISA’s RFS2 definition
One dot = 5,000 acres
Federal land
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Bad precedents beget bad policies
The same RFS2 definitions are beingused as RES definitions in the
Waxman / Markey cap and trade bill
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SummarySummary
Bioenergy addresses carbonfootprint challenge
Forest products industry isa blueprint for developingintegrated biorefineries
Bioenergy infrastructurehelps environment
Biomass opportunities andchallenges require advocacyand public education
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BIOenergy BlogRing BIOenergy BlogRing @@BiostockBiostock..blogspotblogspot.com.com
C. Scott MillerPrice BIOstock, Marketing ConsultantMay, 2008