Energy vs. material: Economic impacts of a “wood-for-energy scenario” on the forest-based sector in Austria — A simulation approach

Published Date
Forest Policy and Economics
January 2010, Vol.12(1):31–38, doi:10.1016/j.forpol.2009.09.004
Forest sector models and their application

• Author 

• Peter Schwarzbauer ^a,,
• Tobias Stern ^b

• aUniversity of Natural Resources and Applied Life Sciences Vienna, Institute of Marketing & Innovation, Feistmantelstraße 4, A-1180 Vienna, Austria
• bKompetenzzentrum Holz GmbH (Wood K plus), Market Research Team, Feistmantelstraße 4, A-1180 Vienna, Austria

Received 12 September 2008. Revised 21 July 2009. Accepted 3 September 2009. Available online 16 October 2009. 

Abstract

In this paper, a simulation model of the Austrian forest-based sector (FOHOW) was used to assess the effects of increasing wood utilization for energy production on the Austrian forest-based sector. In order to reflect the political targets regarding the use of renewable energy a “wood-for-energy” scenario was developed and compared with a “business-as-usual” base-scenario up to the year 2020.

The analysis shows that the rising fuelwood demand in the “wood-for-energy” scenario would clearly lead to a much stronger competition for small roundwood (pulpwood) and sawmill residues. Compared to the base scenario, this competition would increase pulpwood prices and — to some extent — forest product prices (especially sawmill residues and pulp).

In general, forestry and sawmills would be the winners, the panel and paper industries would be the losers of a “wood-for-energy” policy. The panel and paper industries would face decreased gross profits, because of two developments happening at the same time: a decrease in production and an increase in costs (roundwood and sawmill residues) beyond the increase of forest products prices.

The analysis also reveals that the additional demand for fuelwood could only be met by an additional supply from the Austrian forests — if the fuelwood price was attractive enough (by 2020 more than 50% higher than in the base-scenario) for the forest owners.

Keywords

Fuelwood

Roundwood markets

Wood products markets

Energy production

Simulation model

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• ⁎ 
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Factors driving the development of forest energy in Finland

Published Date
Biomass and Bioenergy
April 2006, Vol.30(4):281–288, doi:10.1016/j.biombioe.2005.07.003
Proceedings of the third annual workshop of Task 31 'Systainable production systems for bioenergy: Impacts on forest resources and utilization of wood for energy' October 2003, Flagstaff, Arizona, USA

• Author 

• Pentti Hakkila ^,

• VTT Processes, Box 1601, 02044 VTT, Finland

Received 12 February 2003. Revised 2 April 2004. Accepted 1 July 2005. Available online 28 February 2006.

Abstract

Renewable energy sources play an important role in the Finnish energy and climate strategies which are implemented partly through the Action Plan for Renewable Energy Sources. Enhancement of wood energy plays a key role in the plan. A special emphasis is given to forest chips produced from small-sized trees from early thinnings and above-ground and below-ground residual biomass from regeneration cuttings. The production goal of forest chips is 5 million m³ solid (10 TWh) in 2010. The use of forest chips is promoted by means of environmental taxes, financial aid for investments, and financial support for research, development and commercialization of technology. In 2002, altogether 365 heating and power plants larger than 0.4 MW used forest chips. The total consumption was 1.7 million m³, the use of small houses and farms included. The growth of use is presently about 350 000 m³ per annum, but reaching the official goal will require an annual growth of 400 000 m³ during this decade.

The consumption of roundwood per capita, 15 m³ per annum, is in Finland 20 times as high as the average consumption of the EU countries, respectively. Consequently, residual forest biomass is abundantly available. The capacity of heating and power plants to use forest chips is large enough to meet the goal. However, users require competitive chip prices, good quality control of fuel and reliable supply chains, and new efficient procurement systems are being developed. The paper deals with the drivers of this development: support measures of the Government; strong support to research, development and commercialization of forest chip production from the National Technology Agency Tekes; advanced infrastructure for the procurement of timber for the forest industries; positive attitude and active participation of the forest industries; the active role of leading forest machine and boiler manufacturers, and the possibility to cofire wood and peat fuels in large fluidized bed boilers so as to secure the availability of fuel in all conditions, stabilize the moisture content of fuel and reduce the emissions from combustion.

Keywords

Forest biomass

Logging residues

Forest chips

Drivers of wood energy

Technology development

Finland

Tekes

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• ⁎ 
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The effect of expertise on the quality of forest standards implementation: The case of FSC forest certification in Russia

Published Date
Forest Policy and Economics
October 2009, Vol.11(5):422–428, doi:10.1016/j.forpol.2009.03.002
Discourse and Expertise in Forest and Environmental Governance

• Author 

• Olga Maletz ^a,,
• Maria Tysiachniouk ^b,1,

• aMax Planck Institute for the Study of Societies, Paulstr. 3, 50676 Cologne, Germany
• bCenter for Independent Social Research, Ligovski pr. 87, Office 301, St. Petersburg 191040, Russia

Received 12 December 2007. Revised 20 February 2009. Accepted 19 March 2009. Available online 22 April 2009. 

Abstract

The central question of the paper is how differences in expertise affect the implementation of voluntary environmental standards in the forestry sector. Specifically we analyze the experience of two large forest companies in Russia that certified their forest management under the Forest Stewardship Council (FSC) forest certification program. Drawing on the literature on financial auditing we show that specific outcomes of forest management standards implementation are shaped by the differences in forest management auditors' knowledge, skills and attitudes.

Keywords

Expertise

Experts

Forest certification

Forest management assessment

Environmental auditing

Corresponding author. Tel.: +49 221 27 67 230; fax: +49 221 27 67 555.
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European biomass resource potential and costs

Published Date
Biomass and Bioenergy
February 2010, Vol.34(2):188–202, doi:10.1016/j.biombioe.2009.07.011
A roadmap for biofuels in Europe

• Author 

• Marc de Wit ^,
• André Faaij

• Department of Science, Technology and Society, Copernicus Institute for Sustainable Development and Innovation, Utrecht University, Heidelberglaan 2, 3584 CS Utrecht, The Netherlands

Received 9 January 2009. Revised 8 June 2009. Accepted 9 July 2009. Available online 21 August 2009. 

Abstract

The objective of this study is to assess the European (EU27⁺ and Ukraine) cost and supply potential for biomass resources. Three methodological steps can be distinguished (partly based on studies explained elsewhere in this volume) (i) an evaluation of the available ‘surplus’ land, (ii) a modeled productivity and (iii) an economic assessment for 13 typical bioenergy crops. Results indicate that the total available land for bioenergy crop production – following a ‘food first’ paradigm – could amount to 900 000 km² by 2030. Three scenarios were constructed that take into account different development directions and rates of change, mainly for the agricultural productivity of food production. Feedstock supply of dedicated bioenergy crop estimates varies between 1.7 and 12.8 EJ y⁻¹. In addition, agricultural residues and forestry residues can potentially add to this 3.1–3.9 EJ y⁻¹ and 1.4–5.4 EJ y⁻¹respectively. First generation feedstock supply is available at production costs of 5–15 € GJ⁻¹ compared to 1.5–4.5 € GJ⁻¹ for second generation feedstocks. Costs for agricultural residues are 1–7 € GJ⁻¹ and forestry residues 2–4 € GJ⁻¹. Large variation exists in biomass production potential and costs between European regions, 280 (NUTS2) regions specified. Regions that stand out with respect to high potential and low costs are large parts of Poland, the Baltic States, Romania, Bulgaria and Ukraine. In Western Europe, France, Spain and Italy are moderately attractive following the low cost high potential criterion.

Keywords

Biomass potentials

Dedicated bioenergy crops

Agricultural residues

Forestry residues

Cost–supply curves

Spatial maps

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Nomenclature

NUTS

Nomenclature des Unités Territoriales Statistiques (English: The Nomenclature of Territorial Units for Statistics), established by Eurostat in order to provide a single uniform breakdown of territorial units for the production of regional statistics for the European Union [1]. The NUTS Regulation lays down minimum and maximum thresholds for the average population size of the NUTS regions: NUTS1 corresponds to a population of 3–7 million, NUTS2 to 800 000–3 million and NUTS3 to 150 000–800 000.

WEC

Western European Countries

CEEC

Central and Eastern European Countries

EU

European Union

AEZ

Agro-Ecological Zones

CAP

Common Agricultural Policy

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• ∗ 
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