February 2012 Biomass Power & Thermal

INSIDE: STUDY FINDS FOREST BIOENERGY RELEASES NO NET CARBON

February 2012

Renovation and InnovationBiomass Boiler Retrofi t Saves Kentucky Companies From ClosurePage 18

Plus:Canadian Province Rolls Three

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FEBRUARY 2012 | BIOMASS POWER & THERMAL 3

INSIDE¦

FEBRUARY 2012 | VOLUME 6 | ISSUE 2

FEATURES

DEPARTMENTS03 ADVERTISER INDEX

04 EDITOR’S NOTEGood News for Forest BiomassBy Lisa Gibson

06 INDUSTRY EVENTS

08 POWER PLATFORMBiomass Confusion at the EPA By Bob Cleaves

09 THERMAL DYNAMICSSpeaking for Heat, Accent and AllBy Joseph Seymour

10 ENERGY REVIEWUpdate on a Mobile Indirect Biomass Liquefaction SystemBy John P. Hurley

11 LEGAL PERSPECTIVEUnderstanding Further Revised US EPA Boiler StandardsBy Glenn Unterberger and Michael Duffy

12 BUSINESS BRIEFS

14 FIRED UP

34 MARKETPLACE

18

30

24

CONVERSION Revitalizing RubbertownA new biomass system will replace an old coal-fi red boiler in Louisville, Ky., saving local companies and jobs. By Anna Austin

DISTRICT HEAT Combined Calefaction Prince Edward Island’s MSW and woody biomass district heating plant was created through expansion of existing infrastructure.By Luke Geiver

EMISSIONS Words from the WiseNine forest scientists expect their positive biogenic emissions fi ndings to infl uence federal policy decisions. By Anna Austin

ADVERTISER INDEX¦

2012 International Biomass Conference & Expo 36Agra Industries 5Amandus Kahl GmbH & Co. KG 26Continental Biomass Industries, Inc. 12CPM Roskamp Champion 6Detroit Stoker 33Dieffenbacher 29Factory Sales and Engineering Inc. 16Fagen Inc. 13Fike Corporation 15Indeck Power Equipment Co. 28KEITH Manufacturing Company 20Northeast Biomass Heating Expo 7Pellet Mill Magazine 35Pellet Mill Magazine's Pellet Producer Map 23Percival Scientifi c, Inc. 22PHG Energy 2Retsch, Inc. 32Studium Conferences 21West Salem Machinery 17Wolf Material Handling Systems 27

Biomass Power & Thermal: February 2012, Vol. 6, Issue 2. Biomass Power & Thermal is published monthly. Principal Offi ce: 308 Second Ave. N., Suite 304, Grand Forks, ND 58203. Application to Mail at Periodicals Postage Rates is Pending at Grand Forks, ND and additional mailing offi ces. POSTMASTER: Send address changes to Biomass Power & Thermal/Subscriptions, 308 Second Ave. N., Suite 304, Grand Forks, North Dakota 58203.

ON THE COVER: The fuel handling system at a coal-fi red steam plant in Kentucky was completely replaced during biomass conversion. PHOTO: RECAST ENERGY

4 BIOMASS POWER & THERMAL | FEBRUARY 2012

Good News for Forest BiomassMany of us are growing tired of hearing about the Manomet study and are more than familiar with

the assumptions that guide its debt-then-dividend forest biomass carbon emissions fi ndings. They’ve been outlined and poured over in numerous credible studies, and are well-documented in our industry. But one more report deserves notice.

While not intended to refute the Manomet study, this report, “Managing Forests Because Carbon Mat-ters: Integrating Energy, Products, and Land Management Policy” does address the Manomet fi ndings di-rectly. The new research confi rms that forest biomass used for heat and power generation does not, in fact, release any net carbon. Undoubtedly one of the most exciting aspects of this study is its authors: forest sci-entists from multiple universities and organizations, including the U.S. Forest Service, a federal agency tasked with understanding and caring for our nation’s forestlands.

The Manomet study was done in 2009 by researchers from the Manomet Center for Conservation Sci-ences. It was commissioned by the Commonwealth of Massachusetts to evaluate the carbon neutrality of biomass for energy. The state had also implemented a moratorium on renewable portfolio standard qualifi ca-tion for biomass projects, to remain in effect until the research was complete and any appropriate subsequent measures were taken. Manomet concluded that forest biomass initially releases more carbon dioxide than coal per unit of energy, but pays off its carbon debt as forests regrow and that carbon is resequestered.

Based on the less-than-favorable study fi ndings, the Massachusetts Executive Offi ce of Energy and En-vironmental Affairs ordered a swift change to the RPS qualifi cation standards. The resulting Sept. 2010 draft of standard revisions severely hinders biomass power development through stipulations that are diffi cult to achieve. The fi nal regulations still have not been released and are now more than six months overdue. The legislative limbo has caused a monumental setback in Massachusetts’ biomass power industry.

And Massachusetts developers aren't the only ones waiting on legislation. The U.S. EPA has commis-sioned its own study to determine the characteristics of biogenic emissions, deferring for three years imple-mentation of its Greenhouse Gas Tailoring Rule for biogenic emissions, while the research is carried out. The EPA has also reluctantly rushed through the Maximum Achievable Control Technology Rules, and legislation currently in Congress would give it more time to completely overhaul them.

It seems to me that in this time of regulatory uncertainty, a study by top forest experts should carry some weight.

Associate Editor Anna Austin explores the study for a feature article this month, starting on page 30. She talks to a couple of its authors about how they anticipate the fi ndings might be applied. Associate Editor Luke Geiver also has pleasant news to report, in the continued success of a Canadian biomass district heating plant. See page 24.

All in all, this month’s issue is packed full of good news about successful applications and about what we know to be truth regarding emissions.

In this month’s Power Platform col-umn, Biomass Power Association President and CEO Bob Cleaves addresses the most recent turn of events regarding the U.S. En-vironmental Protection Agency’s Maximum Achievable Control Technology rules. A new court decision has raised a number of ques-tions in the biomass power industry.

John Hurley, senior research advisor for the Energy & Environmental Research Cen-ter in Grand Forks, N.D., writes in the Energy Review column about a biomass liquefaction system. Hurley discusses updates to ongoing development of the process, which he says is a solution for bringing distributed power genera-tion to off-grid sites.

LISA [email protected]

BOB CLEAVES JOHN HURLEY

¦EDITOR’S NOTE

For more news, information and perspective, visit www.biomassmagazine.com

Contributors


EDITORIALEDITOR

Lisa Gibson [email protected]

ASSOCIATE EDITORSAnna Austin [email protected] Geiver [email protected]

COPY EDITOR Jan Tellmann [email protected]

ARTART DIRECTOR

Jaci Satterlund [email protected]

GRAPHIC DESIGNERElizabeth Burslie [email protected]

PUBLISHING & SALESCHAIRMAN

Mike Bryan [email protected]

CEOJoe Bryan [email protected]

VICE PRESIDENTTom Bryan [email protected]

VICE PRESIDENT, SALES & MARKETINGMatthew Spoor [email protected]

EXECUTIVE ACCOUNT MANAGERHoward Brockhouse [email protected]

SENIOR ACCOUNT MANAGER Jeremy Hanson [email protected]

ACCOUNT MANAGERSMarty Steen [email protected]

Chip Shereck [email protected] Brown [email protected]

Andrea Anderson [email protected] Austin [email protected]

CIRCULATION MANAGER Jessica Beaudry [email protected]

ADVERTISING COORDINATORMarla DeFoe [email protected]

SENIOR MARKETING MANAGERJohn Nelson [email protected]

Subscriptions Biomass Power & Thermal is free of charge to everyone with the exception of a shipping and handling charge of $49.95 for any country outside of the United States, Canada and Mexico. To subscribe, visit www.BiomassMagazine.com or you can send your mailing address and payment (checks made out to BBI International) to Biomass Power & Thermal Subscriptions, 308 Second Ave. N., Suite 304, Grand Forks, ND 58203. You can also fax a subscription form to (701) 746-5367. Back Issues & Reprints Select back issues are available for $3.95 each, plus shipping. Article reprints are also available for a fee. For more infor-mation, contact us at (701) 746-8385 or [email protected]. Advertising Biomass Power & Thermal provides a specifi c topic delivered to a highly targeted audience. We are committed to editorial excellence and high-quality print production. To fi nd out more about Biomass Power & Thermal advertising opportunities, please contact us at (701) 746-8385 or [email protected]. Letters to the Editor We welcome letters to the editor. Send to Biomass Power & Thermal Letters to the Editor, 308 2nd Ave. N., Suite 304, Grand Forks, ND 58203 or e-mail to [email protected]. Please include your name, address and phone number. Letters may be edited for clarity and/or space.

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International Biomass Conference & ExpoApril 16-19, 2012Colorado Convention CenterDenver, ColoradoA New Era in Energy: The Future is GrowingOrganized by BBI International and coproduced by Biomass Power & Thermal and Biorefi ning Magazine, this event brings current and future producers of Bioenergy and biobased products together with waste gener-ators, energy crop growers, municipal leaders, utility executives, technolo-gy providers, equipment manufacturers, project developers, investors and policy makers. It’s a true one-stop shop—the world’s premier educational and networking junction for all biomass industries. Early bird registration rates expire March 5, 2012.(866) 746-8385www.biomassconference.com

International Fuel Ethanol Workshop & ExpoJune 4-7, 2012Minneapolis Convention CenterMinneapolis, MinnesotaEvolution Through InnovationNow in its 28th year, the FEW provides the ethanol industry with cutting-edge content and unparalleled networking opportunities in a dynamic business-to-business environment. The largest, longest running ethanol conference in the world, the FEW is renowned for its superb programming, and is powered by Ethanol Producer Magazine. (866) 746-8385www.fuelethanolworkshop.com

Algae Biomass SummitSeptember 24-27, 2012Sheraton Denver Downtown HotelDenver, ColoradoAdvancing Technologies and Markets Derived from AlgaeOrganized by the Algae Biomass Organization and coproduced by BBI International, this event brings current and future producers of biobased products and energy together with algae crop growers, municipal lead-ers, technology providers, equipment manufacturers, project developers, investors and policy makers. It’s a true one-stop shop – the world’s premier educational and networking junction for all algae industries. (866) 746-8385www.algaebiomasssummit.org

¦INDUSTRY EVENTS

International Biorefi ning Conference & Trade ShowNovember 27-29, 2012Hilton Americas - HoustonHouston, TexasOrganized by BBI International and produced by Biorefi ning Magazine, the International Biorefi ning Conference & Trade Show brings together ag-ricultural, forestry, waste, and petrochemical professionals to explore the value-added opportunities awaiting them and their organizations within the quickly maturing biorefi ning industry. Contact a knowledgeable account representative to reserve booth space now.(866) 746-8385www.biorefi ningconference.com

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The saga of the U.S. EPA’s Boiler Maximum Achievable Control Technology and related rules continues. With the District Court’s decision on Jan. 9, invalidating the EPA’s previous stay of the original rules, the need for Congressional action has now become critically important.

Some background: In March 2011, the U.S. EPA issued fi nal rules for, among other things, Boiler MACT and Commercial and Industrial Solid Waste Incinera-tors. These rules were fl awed in many respects and, by EPA’s own admission, were in need of further work based on lack of data and feasibility, among other rea-sons. As a result of the fl aws in the March rules, on May 18, the EPA announced that it was delaying the date the rules would go into effect until the agency completed its reconsideration (76 Federal Register 28662).

In accordance with the May 18 decision, the EPA issued revised Boiler MACT and CISWI rules based on the agency’s fi ndings after studying the potential effects of its original rules. The revised rules offi cially appeared in the Federal Register on Dec. 23, and the EPA has given the industry until Feb. 21 to respond. Presumably, the plan was for the new set of rules to be fi nalized this spring.

However, this plan was disrupted on Jan. 9, when the U.S. District Court threw a wrench into the revised rules by essentially deciding that the May reconsidera-tion was unlawful. The Court ruled that the EPA’s

original March 2011 rules already went into effect on May 20.

While it would appear that the ruling does not affect the Non-Hazardous Secondary Materials rule that was also published on March 21, there are many unanswered questions. Which compliance dates apply, the March 2011 rules or the recently promulgated rules? Will litigants seek to invalidate the recent rules now that the court has determined that the EPA did not have the authority to stay them in March 2011? Most important, what does all this mean for the biomass industry caught in the crossfi re? How many hard-earned dollars and jobs could be lost as a result of the confusion?

All of this highlights a fundamental point: EPA rulemaking should not be done in the courts. For Con-gressional “fence sitters” who were reluctant to support legislation on the assumption that the EPA would “get it right” through the revised rules, the issue is now clear. Only legislation can cure the uncertainty that has been created by litigation. Congress needs to take action now to give the EPA the time it needs to collect and confi rm all the facts, and craft rules that are reasonable, achievable, and protective of the public health and the environment.

Author: Bob CleavesPresident and CEO, Biomass Power Association

www.USABiomass.org

Biomass Confusion at the EPA

¦POWER PLATFORM

BY BOB CLEAVES


On Washington D.C.’s mild winter days, I often look out my offi ce window to the bare streets below and refl ect on the challenges of growing biomass ther-mal businesses amid a sharply divided and seemingly distracted government. In those moments, I recall a dinner conversation with a small town central-Michigan insurance agent.

After passing the potatoes around the table and offering my Biomass Thermal Energy Council ‘elevator’ speech, the insurance agent nodded in acknowledge-ment. “I have a number of policy holders heating their homes with corn cobs and pellets,” he shared. “And they say they’re saving signifi cantly on their energy bills.” If it weren’t for my Midwestern manners, I would have high-fi ved the man on the spot, across the table settings and all.

You see, despite troubling federal budget cuts, tax extenders and regulatory uncertainty, and ongoing congressional biomass education, I channel my inner Horace Greely and recognize the work of countless advocates and end users across the states. “Go west, young man, go west and grow the [biomass thermal] country.” Or more accurately, look north, south, and west of D.C. for signs of encouragement.

From advocates in New England, to an enterpris-ing collaborative organization in the Midwest, and on to growing forest stewardship and restoration works in the West, biomass heating and cooling is securing confi dence on the backs of proven projects matched by regional understanding and impassioned supporters. When BTEC hosted a three-part regional webinar series as part of our U.S. Forest Service Wood Education and Resource Center grant, we easily recruited ardent speak-ers, saw inquisitive attendees, and received approval ratings exceeding other similar events. State governmen-tal offi cials, consumers, and project developers, in near consensus, appreciated the regional nuances of biomass thermal resource use spoken in their shared accent.

The spring of 2012 holds even greater regional recognition of biomass thermal progress, independent of the apparent Congressional stalemate. The fourth annual Northeast Biomass Heating Expo March 21-23

in Saratoga Springs, N.Y., will feature historical keynotes from the New York State Energy Development Author-ity. The U.S. Endowment for Forests and Communities will anchor the expo’s content and outline the region’s path to greater renewable heating use.

Nearly 45 days later, an inaugural event, Heating the Midwest Conference and Expo: Forming the Vi-sion, will transform the city of Eau Claire, Wis., into a biomass thermal brain trust April 25-27. An indus-try tour and conference program addressing biomass resource availability, processing, heating policy, com-bustion technologies, and success stories will inform the Midwest’s biomass vision. When combined with the sustained western efforts of groups like the Rural Voices for Conservation Coalition, it’s diffi cult to deny biomass heating’s engagement coast to coast.

Regional advances in biomass thermal generation are certainly unique to the communities, households, and businesses they serve. Yet, the identities they forge have dedicated roles in advancing shared federal policy. In recognition of these efforts, BTEC will support a se-ries of regional member networks beginning in Febru-ary, designed to link stakeholders, identify industry bar-riers, and disseminate successful state strategies. BTEC’s Eastern, Central, and Western interests will bring louder and better coordinated voices to Washington than ever before. If supporting the biomass trade associations is not within your company’s means, consider attending the Northeast Biomass Heating Expo or Heating the Midwest events, or joining a volunteer advocacy group like the Northeast Biomass Thermal Working Group.

A pause in D.C. is an opportunity to refl ect and organize from the bottom up, because history teaches that this Washington stalemate will not last. When the openings arise, BTEC will again be at the table, ready to speak for all biomass thermal supporters, regardless of pronunciation, twang, or drawl.

Author: Joseph SeymourExecutive Director

Biomass Thermal Energy Council

Speaking for Heat, Accent and All

THERMAL DYNAMICS¦

BY JOSEPH SEYMOUR


Minnesota’s forestry operations produce 300,000 tons per year of wood waste that is not used in any exist-ing or proposed facility. Through the process of indirect liquefaction, this waste can be converted into liquid fuels that could be transported to remote off-grid sites and reformed to hydrogen to power fuel cells producing elec-tricity.

Using distributed power generation at off-grid sites eliminates the need to build transmission lines at remote sites, which ultimately saves utility ratepayers money. In addition, the wood-to-fuel technology provides a non-fossil fuel, nearly carbon dioxide neutral method to fuel backup generators. Even in areas that are served by the grid, this saves utility ratepayers the cost of maintaining large backup power production systems. Ratepayers may also be able to take advantage of future carbon credits or avoid carbon taxes applied to fossil energy-based power production.

The Energy & Environmental Research Center has developed and tested at small scales much of the tech-nology necessary for distributed indirect liquefaction systems. With funding provided by customers of Xcel Energy through a grant from the Renewable Develop-ment Fund, and the U.S. Department of Energy through the EERC Centers for Renewable Energy and Biomass Utilization, the EERC designed and built a mobile, dem-onstration-sized indirect wood waste liquefaction sys-tem. The EERC then operated it in order to determine best construction and operating practices, overall system productivity, and necessary design changes to make the concept more commercially viable. The system was de-scribed in this column in the April 2011 issue.

The system uses a unique gasifi er to convert the wood waste into synthesis gas, which is cleaned and com-pressed and fl ows to a reactor that converts the gas to a

liquid. In this program, we focused on the production of methanol, the simplest alcohol, because it can be eas-ily reformed into hydrogen, which can be used to power fuel cells to effi ciently make electricity at sites separate from the biomass resource. The gasifi er was designed by the EERC to handle wet wood waste with up to 40 per-cent moisture, thereby eliminating the need to dry the wood before gasifi cation, as most commercial gasifi ca-tion units require.

Two types of wood waste were tested in the sys-tem: chipped hybrid poplar and chipped ash. In both cases, the hydrogen content of the gas produced was lower than expected. The methanol production rate was approximately 15 gallons per ton of biomass for both wood types. This initial production rate was relatively low but did serve to validate computer models of the system performance. Using those models, engineers have evaluated several improvements to the system to increase the hydrogen content of the syngas, which should allow production rates as high as 50 gallons per ton with the existing design and as much as 100 gallons per ton with additional hardware.

Demonstrating this technology and using it to vali-date our engineering models has been an important step toward making use of neglected biomass residues to ulti-mately provide renewable distributed power generation. But an essential question must be answered: at what cost? The economics of the production of methanol by this technology will be discussed in a future Energy Review column.

Author: John P. HurleySenior Research Advisor, EERC

(701) [email protected]

Update on a Mobile Indirect Biomass Liquefaction System

¦ENERGY REVIEW

BY JOHN P. HURLEY


The emission standards for industrial, commercial and institutional boilers are back on the front burner at the U.S. EPA. In May, the agency suspended the standards it had pro-mulgated just two months before, over concerns that com-pliance might be too costly or even unachievable. Now the EPA has published proposed revisions to the hazardous air pollutant emission standards for certain boilers and incinera-tors, including biomass-fueled boilers. The EPA projects the proposed changes, published Dec. 23, will cut the cost of im-plementation nearly in half from the original proposed rule, while still meeting the requirements of the Clean Air Act.

Several new subcategories of units are proposed that may allow for more precisely tailored and, for some pollutants, less stringent emission limits for certain biomass units. The fi rst is for boilers designed to combust kiln-dried wood, with new emission limits for particulate matter (PM) and carbon mon-oxide (CO) proposed for this subcategory. Second, separate numeric emission limits are proposed for PM and CO for the hybrid suspension/grate boiler subcategory (previously not assigned separate limits as a combustion-based fuel subcat-egory). Third, dutch ovens and suspension burners are pro-posed as two separate categories, based on their inherently different design, with each having separate emission limits for PM and CO. The EPA requests comment on whether further subcategorization of biomass units is appropriate.

The EPA also proposes revision of certain emission standards in light of new data. Most importantly, a review of test data EPA had relied upon for dioxin/furans for all sub-categories led the agency to determine that the test emissions were too low to be measured accurately. It now proposes a work practice standard for dioxin/furan emissions, requiring an annual tune-up in lieu of numeric emission limits.

Also under the most recent proposed revisions, the PM continuous emission monitoring system (CEMS) require-ment would be eliminated for biomass units. The EPA ex-pressed doubts that this technology will have the ability to accommodate the unpredictable variety of biomass fuel con-stituents and moisture content, noting that it has not been suffi ciently demonstrated in practice and relies on a single cal-ibration point to measure emissions from a specifi c fuel type. The agency noted it would be impractical to replicate, during performance testing, all of the varying fuel conditions neces-sary for calibrating the monitor. Since PM CEMS cannot be applied with the accuracy necessary for compliance assess-

ment, the EPA proposes continuous monitoring of operating parameters to determine compliance, which will substantially reduce monitoring costs.

The proposal also clarifi es the accompanying Non-Haz-ardous Secondary Materials rule, which sets guidelines for determining which materials are “solid waste,” and therefore subject to the more stringent emission limits of the Commer-cial and Industrial Solid Waste Incineration rule. EPA clarifi es that certain biomass materials are considered traditional non-waste fuel under the NHSM rule, and therefore not subject to the CISWI rule. Further, the proposal lists specifi c biomass materials to be included within the defi nition of “clean cellu-losic biomass,” thus allowing them to be treated as traditional fuel. Additionally, the proposal lists several NHSMs as non-waste when burned as a fuel in a combustion unit for which EPA has suffi cient information to determine that discard is not occurring. This includes certain NHSMs which, though not meeting the criteria for “legitimate” fuel in all instances, would be considered a nonwaste fuel after balancing the le-gitimacy criteria with other relevant factors. Resinated wood, for example, would be deemed “not a solid waste material when used as a fuel regardless of whether it remained within the control of the generator.”

The EPA promulgated the March regulations under a court-imposed deadline, and when the agency suspended the regulations to consider revisions, another suit was brought to vacate that “stay.” On Jan. 9, the D.C. District Court vacated the stay. Assuming the EPA holds to its announced sched-ule to promulgate fi nal revisions by April, it is now uncer-tain whether existing sources will be required to comply with these new rules by 2014 according to the reinstated regula-tions, or by 2015 according to the proposed revisions. Further litigation may ensue, even as the EPA proceeds to fi nalize the revisions and implement the rules. How such litigation will affect the rules’ implementation remains to be seen.

The EPA must receive public comments on the pro-posed revisions by Feb. 21.

Authors: Glenn UnterbergerPartner, Ballard Spahr LLP


Michael DuffyAssociate, Ballard Spahr LLP


Understanding Further Revised US EPA Boiler Standards

LEGAL PERSPECTIVE¦

BY GLENN UNTERBERGER AND MICHAEL DUFFY

Glenn Unterberger

Michael Duffy

ReEnergy appoints White director of energy operations

ReEnergy Hold-ings LLC, a Latham, N.Y.-based renewable energy company, has named James White as its director of energy operations. White, who has a degree in marine engineering from Mas-sachusetts Maritime Academy and an MBA in management from Bentley University, is responsible for ReEnergy’s health and safety program and operation of the com-pany’s energy assets. He joined ReEnergy after fi ve years in leadership roles with NextEra Energy Resources. White was plant manager for American Ref-Fuel Co. in Newark, N.J., for 10 years before joining NextEra.

NAES announces new members of turbine services division

Independent services provider NAES has incorporated new management, sales, proposal and support personnel with a wide variety of backgrounds and experi-ences into its Turbine Services Division. Russell James, Rob Broglio and Rick Stan-ford have joined the division as project ser-vices manager and business development managers, respectively, and Debi Patrick will be the new proposal manager. James brings nearly 30 years of fi eld service expe-rience in turbine overhaul and installation to the turbine fi eld services management team. Broglio has more than 20 years of experience in new installations, as well as retrofi t of power generation facilities, in both fi eld and design engineering, in ad-dition to business development and EPC project negotiations. Sanford’s 25 years of

experience in the oil, gas and power indus-tries, with emphasis on rotating equip-ment and upstream markets, brings broad managerial experience to NAES rotating equipment and repair services. Patrick comes to NAES with 25 years of power industry experience with an emphasis on maintenance and construction projects.

Potter promoted to engineering manager

Aaron Potter has been promoted to engineering manager for Innovative Processing Solutions. Potter has more than 14 years of experience as a systems and design engineer for Innovative Processing, as well as its affi liate, Stedman Machine Co.

PEOPLE, PRODUCTS & PARTNERSHIPSBusiness Briefs

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ArborGen named Southeast Partnership for IBSS member

ArborGen has been named as a core member of the recently formed Southeast Partnership for Integrated Biomass Supply Systems. Created through a $15 million grant from the USDA’s National Institute of Food and Agriculture to accelerate the supply of biobased renewable energy, the IBSS partnership will develop sustainable feedstock production systems for dedi-cated energy crops, specifi cally purpose grown trees and switchgrass. The Center for Renewable Carbon, a program of the University of Tennessee Institute of

Agriculture, will act as the lead institution for the IBSS, which will include several collaborating institutions throughout the Southeast. Maud Hinchee, ArborGen’s chief science offi cer, and Michael Cun-ningham, director of product develop-ment, will serve as ArborGen’s representa-tives to the Southeast IBBS partnership. ArborGen expertise will be critical in meeting the IBSS partnership goal of exploring the inherent performance and cost advantages of short-rotation woody crops such as eucalyptus, pine and poplar, matching the economic and environmen-tal performance of each feedstock with a preferred conversion platform.

Pellet Technology, Vermeer Corp. form strategic alliance

Pellet Technology USA has formed a strategic alliance with Vermeer Corp. Un-

der the terms of the alliance, Vermeer will serve as the exclusive supplier of the feed-stock grinder to be used in Pellet Technol-ogy’s patent-pending system to manufac-ture its PowerPellets product from stover, wood, energy crops and other agricultural residues. The Vermeer HG6000 horizontal grinder, complete with a patented Series II duplex drum, will be integrated with the Pellet Technology air-assisted feed system, allowing for higher moisture agricultural residue to be processed. The addition of the Vermeer horizontal grinder to the Pel-let Technology USA design package pro-vides a key component to the company’s turnkey biomass processing solution.

SHARE YOUR INDUSTRY NEWS: To be included in the Busi-ness Briefs, send information (including photos and logos, if available) to Industry Briefs, Biomass Power & Thermal, 308 Second Ave. N., Suite 304, Grand Forks, ND 58203. You may also e-mail information to [email protected]. Please include your name and telephone number in all cor-respondence.

BUSINESS BRIEFS¦


FiredUpThe Port of Am-

sterdam in the Nether-lands already handles 1.5 million metric tons (1.65 million tons) of biomass every year, but that’s not stopping it from making major handling, stor-age and infrastructure upgrades. By 2020, the port’s managing direc-tor of the commercial department, Koen Overtoom, believes the volume handled will expand to 13.4 million metric tons per year.

“The Port of Amsterdam is strong in energy,” Overtoom says. Most of the cargo shipped through the port consists of oil and coal, but based on several factors inside and outside of the Dutch country, Overtoom thinks the port’s role in handling biomass will only get stronger.

First, Overtoom points to the Dutch government’s 2011 energy report, which includes proposals to make biomass use mandatory in the country’s coal-fi red energy plants. Second, the energy report calls for an increase in renewable energy from the 4 percent that has been used since 2010, to 14 percent by 2020. And third, Overtoom recognizes the impact other European countries’ energy strategies has on the Netherlands.

Because Germany plans to phase out nuclear power stations by 2020, and the European Union has a greater focus on utilizing cleaner burning fuels, Overtoom says biomass imports at his facil-ity will increase. By 2020, the Netherlands, Germany, Scandinavia and the U.K. will require 15 million metric tons of biomass per year.

Hans Mattheyer, manager of the commercial department at the Bulk Terminal of Amsterdam, agrees with Overtoom. “These developments will strongly increase Amsterdam’s potential to play an important role in biomass logistics,” he says. The bulk storage terminal already has fi ve storage facilities under the cranes that can store up to 110,000 metric tons, and if or when demand increases, Mattheyer is prepared to expand using covered storage.

The Port of Amsterdam also reports that a dry bulk cargo terminal operated by IGMA, a subsidiary of Cargill Inc., is ne-gotiating with biomass manufacturers, making the most progress with a Georgia, U.S.,-based wood pellet supplier. IGMA plans to ship roughly 200,000 metric tons of biomass to Germany and the Netherlands by the end of the year, and the terminal company will build 5,000 square meters of storage.

“International energy companies are taking advantage of the favorable location and attractive business climate in the Nether-lands to install new electricity production capacity,” the Dutch government’s 2011 energy report states. In addition to the Port of Amsterdam’s activity regarding biomass import growth prepara-tion, it is also working with the Port of Duisburg to redevelop a transshipment terminal for the storage and transfer of biomass for customers shipping from Amsterdam.

In the Port of Delfzijl in the northern region of the Neth-erlands, energy developer Eneco is forgoing port development altogether, choosing instead to construct a 50 MW woody biomass power plant right at the port.

Overtoom says he is confi dent that his port will grow based on future developments linked to biomass, including the port’s specialized handling abilities. Given the 600-plus students who complete logistics courses in the Port of Amsterdam area every year, Overtoom’s biomass perspective is strong. —Luke Geiver

Dutch Ports Prepare The Port of Amsterdam is just one of many Dutch ports planning for biomass handling

BURGEONING BIOMASS: Infrastructure at the Port of Amsterdam will be upgraded to handle more biomass.

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For Mike Levin, fl aring methane is at best a huge waste, and at worst a lost opportunity. Levin, the director of government affairs for FlexEnergy, the recent startup turned major biogas technol-ogy provider, is helping lead FlexEnergy’s charge toward landfi ll gas-to-energy applications. If a recent Global Industry Analysis report detailing the potential for biomass and waste-to-energy is any indication, Levin and his team at FlexEnergy are heading in the right direction.

According to the GIA report, global installed capacity of bio-mass and waste-to-energy plants was roughly 61.2 gigawatts (GW) in 2011, but by 2017, the global installed capacity will reach 83.1 GW. North America, according to the report, which used source feeds from market participants from solid waste management ser-vice providers to power generation companies, offers the largest market for biomass and waste-to-energy at 13.8 GW of installed capacity in 2011.

FlexEnergy has already entered the waste-to-energy market in the U.S., and the Irvine, Calif.-based company provides a great example for other waste-to-energy companies that have expansion strategies. The team is using its FP250 turbine, a technology that combines electricity generation from a micro turbine with a ther-mal oxidizer, at a Santiago Canyon landfi ll site in California that has been closed since 1988. The site has been fl aring methane for

more than 20 years, Levin says, because the percentage concentra-tion of methane was too low to run an engine or a turbine.

The FlexEnergy system not only cuts down pollutants to nearly zero, but also uses the heat in the oxidizer to power the turbine. While a typical turbine requires 30 to 40 percent methane, the FlexEnergy technology can create electricity using a much lower percentage.

“If all goes as planned, we are actually going to shut the fl are off,” Levin says of the work at Santiago Canyon. “We are going to take all of the methane that is there and put it into eight FP250 systems for 2 MW of electricity generation.” That is enough elec-tricity to power 1500 homes. “Our hope is that we can do what we are doing, where we shut the fl are off, throughout California and eventually throughout the country,” he adds.

Those hopes might not be hard to fulfi ll. The FlexEnergy team has former U.S. EPA Administrator Stephen Johnson on the board of directors, and a New Hampshire manufacturing facility that is already planning an expansion.

The GIA report acts as a back-up reminder that there is an opportunity for several FlexEnergy types to shut off the fl are. —Luke Geiver

Flaring PotentialFlexEnergy illustrates growth in global biomass energy capacity that may reach 83.1 GW by 2017

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The Danish Government has launched an ambitious renewable energy strategy that will convert its energy and transport system by 2050. Ambitious, in this case, means 100 percent.

For the coming decade, the strategy contains a range of concrete initiatives projected to lead to 36 percent renewable energy use by 2020, according to Ture Falbe-Hansen, head of media relations for the Danish Energy Agency. Milestone dates have been set for the years 2020, 2030 and 2035. By 2050, Denmark will be mostly fossil fuel free. The 2011 energy re-port noted that the exact optimum energy system for 2050 is uncertain, as there are far too many unknowns.

What does this plan mean for bio-mass? According to Falbe-Hansen, coal covers about 40 percent of Danish electricity production and nearly 20 percent of district heat-ing production. Coal consumption will be reduced by 65 percent by 2020, he says. “The proposals will replace coal with biomass and initiatives to promote wind power.”

The Danish energy plan will stop any new buildings from using oil or gas-fi red installations by 2013, with some exceptions, and also stop installation of oil-fi red boilers in existing buildings by 2015. It will also provide funding for partnerships on strategic energy plan-ning in municipalities for better use of resources like biomass.

The plan to use more renewable energy is forecast to cover 23 percent of gross energy consumption by 2020, an increase of 33

percent from the amount used today. Although the energy plan for Denmark sounds great for the

country, the possibilities don’t end there. For the next six months, Denmark will take on the presidency role for the European Union. For Denmark, that means pushing for a Danish energy road map that will fulfi ll the long-term vision of a low-carbon and resource-effi cient energy system by 2050. The goal of the roadmap, Falbe-Hansen says, is to illustrate the need for a common policy to develop European energy infrastructure and a sustainable energy platform.

“It is the responsibility of the presidency to move the work of the council forward and create results,” he says. —Luke Geiver

A Perfect Plan Denmark plans for 100 percent renewable energy use by 2050.

SWIFT SHIFT: Denmark plans to phase out fossil fuels completely.

SOURCE: DANISH ENERGY AGENCY

In order to secure 100 percent renewable energy in 2050, the government has several energy policy milestones in the years 2020, 2030 and 2035.

The initiatives up to 2020 will result in a greenhouse gas reduction by 35 percent in relation to 1990.


FIREDUP¦

In order to map out New Jersey’s strategic vision for the use, management and development of energy in the state over the next decade, Gov. Chris Christie’s administration spearheaded the craft-ing of an Energy Master Plan, released in early December.

In conjunction with development of the energy plan, the New Jersey Board of Public Utilities established four working groups comprised of subject matter experts to provide the BPU with spe-cifi c recommendations on various topics, including biomass.

Biomass Work Group Co-Chair Gail Richardson, who is Vi-sion Energy vice president for programs, says the group represents virtually all of the sectors in the state closely connected to the biomass arena—solid waste, management, wastewater treatment sectors and agriculture, as well as public utilities, engineering fi rms and others. “So we feel that in tackling the important questions that the Board of Public Utilities posed to us, we have had a very good high-level input,” she says.

The mission of the BWG was to determine what New Jersey can do to incentivize bioenergy development, and report its rec-ommendations for integration into the Energy Master Plan. The major recommendation the group made—which was adapted in the plan—was that the state take action under a new initiative to facilitate the rapid construction and operation of renewable bio-mass facilities to produce electricity and vehicle fuels.

That recommendation stems from the fact that biomass en-ergy potential in New Jersey is substantial. According to an assess-ment ordered by the BPU, New Jersey produces an estimated 8.2 million dry tons of biomass annually, approximately 65 percent of which could be available for energy production. The plan points

out that agricultural and forest residues, along with municipal and industrial waste, are underutilized resources that could be used to fuel power plants. The amount of biomass in the state could deliver up to 1,299 MW of power, approximately 9 percent of its electricity demand, according to the plan.

Findings in the plan will be used to facilitate the development of energy from biomass, including the assessment of current state incentives and implementation of new ones. The plan notes, however, that practicality and cost effectiveness should be inves-tigated and confi rmed before any substantial new incentives are implemented. That includes the development of an objective and systematic process of sustainability determinations that will facili-tate environmental permitting. —Anna Austin

Biomass in the Garden State New Jersey’s new energy plan raises the biomass bar

Levelized Cost of Generation by Technology ($/MWh)HydroBiomassOffshore WindOnshore WindSolar PVAdvanced NuclearConventional CoalCombined Cycle

86.4112.5243.297210.7113.994.866.1

COST COMPARISON: Biomass energy in New Jersey is considerably cheaper than offshore wind, solar PV and advanced nuclear energy.

SOURCE: NEW JERSEY BOARD OF PUBLIC UTILITIES


¦CONVERSION

RECAST REDESIGN: An old coal-fi red energy plant in Kentucky is being upgraded to burn biomass.PHOTO: RECAST ENERGY


CONVERSION¦

A biomass conversion in Louisville, Ky., will revamp a closed coal boiler house, saving and creating more than 350 jobs. BY ANNA AUSTIN

Revitalizing Rubbertown


¦CONVERSION

From fuel binders for space shuttle rocket boosters to brake pads and deck paint, products manufactured at the chemical complex in Louisville, Ky., are used in a wide variety of applica-

tions. Aptly dubbed “Rubbertown,” the area exploded with activity during World War II, when the U.S. Offi ce of War Production con-tracted several companies in the complex for the production of syn-thetic rubber used to make tires for ongoing war efforts. Since then, ownership of the facility has changed hands several times, and it has continued to house a multitude of different chemical companies.

The area isn’t known for having an impeccable environmental footprint, but is switching gears, as a new biomass energy system will replace the complex’s coal-fi red boiler house. Not only will it help lower emissions, but it has come to the rescue of the complex’s re-maining tenants, ensuring their continued operations while preserv-ing the jobs of hundreds of employees.

A multi-faceted partnership involving Kentucky state offi cials, Recast Energy Corp., Zeon Chemicals, and Lubrizol Corp. has made this developing project possible. Recast has impressed its partners with its ability to tip-toe around the existing companies, allowing them to continue operating while the conversion moves full-steam ahead.

Do or DieSpecialty elastomer manufacturer Zeon Chemicals has occupied

the complex since 1989, and was joined by Lubrizol Corp., maker of latex and CPCV (chlorinated polyvinyl chloride) resins, in 2004. They and two other companies remained in the complex in 2009, each owning a portion served by a single-utility boiler house operated by one of the companies.

In February of that year, Zeon and Lubrizol were notifi ed that the chemical company that owned and operated the boiler and sold utilities to the other tenants was shutting down its operations there.

“They had no interest in continuing to operate the boiler,” says Zeon Chemicals President and CEO Tom Gettelfi nger. “So we were just kind of left high and dry. When they gave us notice, they basically said that within a year, we would have to fi gure out what we would do to get the steam we need to run our process.”

That couldn’t have happened at a worse time for the company, according to Gettelfi nger. “We were in the midst of a severe reces-sion that hit our business hard, so it was diffi cult to justify keeping our plant open by investing millions to set up a new boiler,” he says. “And it isn’t as if we would have been investing in process equipment that would generate more product.”

Taking over the boiler house wasn’t a fi t for the remaining chem-ical companies either, so Zeon knew it would have to look elsewhere

COMPLEX COMMUNITY: The new biomass boiler will provide utility ser-vices to manufacturers in a Louisville, Ky., chemical complex.

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CONVERSION¦

for help. In the same boat, Lubrizol joined the effort to fi nd an al-ternative solution. “We had discussions with Recast a few years ago about supplying steam to our Mississippi plant, and so we knew they were already in the business,” Gettelfi nger explains. “Since we want-ed to focus on our particular product lines and not utility product, it was a good fi t.”

Recast Energy currently operates cogeneration facilities in the Dominican Republic and Mississippi, and has several projects under development in other U.S. and Caribbean locations. The company began conducting feasibility studies for the conversion over the fol-lowing year, and with the help of local and state offi cials, the com-panies involved were able to sign a deal in July 2010, according to

NEW VIEW: Portions of Recast Energy's plant need complete reconstruction for biomass conversion.

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¦CONVERSION

Recast Energy Executive Vice President and Chief Financial Offi cer Brandon Ogilvie. Since then, the project has been on a smooth and steady path to success.

Out With the OldSam Striegel, plant manager of Lubri-

zol’s Louisville location, explains that the boiler house purchased by Recast contained a coal-fi red boiler that would be converted to biomass, as well as a natural gas boiler for back-up. That boiler is currently being oper-ated, and an additional natural gas boiler has

been rented as back-up. “As a result, we’ve been able to operate without any signifi cant issues,” he says.

While it may have been easier to keep the natural gas-fi red boiler, he says biomass was more appealing for a few reasons, one being its carbon emission reductions, and the other its more predictable price. “Coal and natural gas can be quite volatile, which cre-ates signifi cant swings in our energy costs,” Striegel says. “With biomass, while we will see steady increases in pricing, we expect the price of the fuel to be much more stable and

predictable in the long run and at a lower cost than fossil fuels.”

Ogilvie emphasizes the complicated but benefi cial nature of performing the ret-rofi t around a live boiler house. “It’s not as though we were able to take two acres off the side, build the project, tie it in and turn it on,” he says. “We’re conducting it while the plant is live, while the water and steam pipes are hot.”

While some equipment will be upgrad-ed, other equipment has to be gutted and re-placed completely. “Coal and wood are both solid fuels, but there are signifi cant differ-ences in materials handling aspects and the combustion aspects,” Ogilvie says. “Coal is much more energy dense than wood; one pound of coal contains a lot more energy than one pound of wood. You have to put about three times the amount of wood through the system to generate the same amount of energy.”

Existing conveyor belts and fuel han-dling systems for coal are grossly undersized for wood, he adds. “We basically ripped out the entire fuel handling system.”

As the whole unit itself is being con-verted to burn biomass, major changes are primarily being made to the combustion sys-tem, modifi cations that will allow it to sus-tain a burn of 100 percent wood. “To burn coal, you need far less air than wood,” Ogil-vie explains. “Wood has a lot more moisture in it, and therefore needs a lot more air to help drive it off.”

In addition, the ash handling system was replaced and two of the four original boilers were torn out, resulting in about one-third of the facility being demolished or moved out of the way to make room for new equipment. While these mechanical changes are a signifi cant part of the con-version, there are a few other important components, one being securing new fuel sources.

More Project Pieces The project is a different order of mag-

nitude than a 50 MW power plant requir-ing 350,000 tons of fuel each year, Ogilvie


CONVERSION¦

rate headquarters, sales and marketing and research and development groups here,” Gettelfi nger says. “It’s our biggest manu-facturing location, and if we would have made the decision to shut the plant down, the direct jobs and all of the supported jobs would have been at risk. [The conversion] has assured us that we’re going to be here, and we’re happy campers again in this facil-ity.”

Ogilvie points out that biomass conver-sions such as this one may be a solution for operations considering pathways to com-

ply with the U.S. EPA’s Boiler Maximum Achievable Control Technology (MACT) rules. “One option may be to switch to nat-ural gas, but they might not have access to that,” he adds. “A solution like this, where we can come in and retrofi t a coal or oil unit to biomass, is one of the possible solutions for those facing that issue.”

Author: Anna AustinAssociate Editor, Biomass Power & Thermal


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points out, and even though it will only require around 75,000 tons per year of woody biomass, that feedstock is an impor-tant piece of the puzzle. “We’ve been work-ing with local companies that have existing chipping and processing equipment, and companies that are hired to remove tree branches from power lines or to clean up storm debris,” he says. “There’s also some logging activity in the area that can provide tree tops, branches and other residuals, as well as some area sawmills. It will be pre-dominantly residues.”

While most companies don’t have the cash to pay for conversions like this one, under Recast’s business model, the compa-ny pays for the project and owns it, selling the energy back to the companies under a long-term contract. The revenue generated from energy sales justifi es the investment. Additionally, the Kentucky Economic De-velopment Finance Authority has prelimi-narily approved Lubrizol and Zeon for tax incentives up to $1.75 million each through the Kentucky Reinvestment Act, a program designed to assist companies that need to make signifi cant capital investment in Ken-tucky facilities in order to remain competi-tive and retain existing workforces.

Unfortunately, the project won’t quali-fy for any state renewable energy programs. “It’ll just be producing steam and not elec-tric power, and incentives tend to focus on electricity,” Ogilvie points out.

While the plant isn’t generating elec-tric power, it will provide all of the steam needed for the companies’ chemical manu-facturing processes, heat the buildings dur-ing the cooler months, purify water, and provide other ancillary utility services. Re-cast is anticipating a commercial startup this month.

Finally, and perhaps most important, in a state that has a 9.4 percent unemploy-ment rate, the project is preserving and cre-ating more than 350 jobs, including Recast’s personnel on site and several dozen in the supply chain, aggregating and collecting the biomass. “We have the manufacturing facility here, but we also have our corpo-


¦DISTRICT HEAT

PIONEERING ON PEI: Prince Edward Island's district heating plant is Canada's fi rst MSW- and woody biomass-fueled energy facility.

PHOTO: PEI ENERGY SYSTEMS


DISTRICT HEAT¦

A Canadian community merged three biomass plants into one big success story for district heat.BY LUKE GEIVER

Combined Calefaction

Paul Eastman oversees all of Veresen Inc.’s power facilities in Eastern Canada, including the fi rst-ever municipal solid waste (MSW) and woody biomass-fueled system in the

country. Prince Edward Island’s (PEI) biomass district heating plant provides heat for more than 125 buildings in the capital city of Charlottetown, and 1.4 MW of power for internal use, as well as sale to the grid. The operation is a great example of why district heating systems fueled by biomass make sense.

Eastman says Veresen acquired the PEI facility in 2007 be-cause it made sense to buy a company with a wide moat around it, literally. PEI also has no threat of alternatives cutting away at its profi ts, he explains. The facility, which uses a small portion of heating oil, features long-term contracts that generate a steady cash fl ow, and uses readily available biomass feedstock to solve a somewhat complicated energy problem. “There certainly isn’t the ability to power anything with natural gas there,” Eastman says.

But even for Eastman, the story of the facility isn’t about a company’s successful realization that Prince Edward Island really did appear to have that large mote around it—in the form of the Gulf of St. Lawrence and the Northumberland Strait, both part of the Atlantic Ocean. For Eastman, and those before him in-volved in linking three separate biomass-based systems together to form the present day facility, it is about so much more.

Three Become OneDave Godkin worked in Charlottetown at the University

of Prince Edward Island back in the 1980s, when high oil prices and potential landfi ll issues were on the horizon for the prov-ince. Godkin, now the general manager for plant operator PEI Energy Systems, was instrumental in making the current district heating system what it is today. “I started on the ground fl oor as they were building it up,” he says of his time spent as an energy consultant and maintenance manager at one of the original bio-mass sites on the University’s campus.


Godkin helped the Province meet its goal of utilizing more bio-mass created from a then-stable forestry industry, as well as circumvent-ing some of the concerns related to MSW. The MSW plant that came

online in 1983 to provide power to a major hospital was the fi rst facility on the island to use MSW for power, and then in 1986, a woody biomass-based district heating system was introduced to the downtown area to serve the Provincial offi ces and a number of other customers. By 1995, the island had added another biomass heating facility on the campus of the Univer-sity of Prince Edward Island to serve not only the campus, but other sur-rounding buildings, as well.

“In the mid-’90s, the province decided it didn’t want to be in the district energy business anymore and went out for expressions of interest for someone to purchase the district heating system,” Godkin says, add-ing that, perhaps more important, the province was looking for someone to commercialize the system.

As part of the purchase agree-ment, the province stipulated that any potential buyer would have to fur-ther develop the MSW plant, upgrading the site to allow a merger of all three district heating systems into one large system, Godkin said. Robert

¦DISTRICT HEAT

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WOOD CHIP WHEREWITHAL: Large bins hold the wood chips that will help fuel Prince Edward Island's district heating plant.

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Doyle, now a principle with FVB En-ergy Inc., a district heating developer that specializes in biomass utilization, had helped design one of the three biomass facilities. Doyle was certain the idea of upgrading the MSW facil-ity with new biomass boilers on the same location was a great idea.

In 1997, a company called Tri-gen purchased the three district heat-ing systems and funded the upgrades, which, according to Godkin, hap-pened in a fairly quick timeframe—one year—and included installation of six kilometers (3.7 miles) of under-ground pipe to connect the systems, new heat recovery equipment, and new air pollution control equipment. Since the upgrades, little has changed at the facility. “One thing that has changed a little bit for us is the type of fuel used,” Godkin says.

When the main MSW and woody biomass facility fi rst came online in 1997, the biomass feedstock was sawmill residue, but after an operational downturn at the sawmill, the plant needed another feedstock stream, Godkin says. “We moved away

from sawmill residue to forest chips from land clearing or residue left over from cutting,” he says. “That is basically where we sit today. That is one of the bonuses of district energy and large biomass facilities: you

DISTRICT HEAT¦

RECEIVING PROCESSING CONVEYING RECLAIM DELIVERY

CO-COMBUSTION: PEI Energy Systems combusts both wood chips and MSW.

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¦DISTRICT HEAT

can switch fuels fairly quickly without a whole lot of trouble.”

The Real StoryThere was no question of whether Ver-

esen’s purchase of PEI Energy Systems' dis-trict heating plant and infrastructure was a promising endeavor. “It looked profi table, it looked like it would continue to be that way and it looked like there was potential to grow over time,” Eastman says. “I think that is still true.” But, he adds, the concept of district en-ergy is odd and diffi cult to understand. Doyle agrees with Eastman’s sentiment, adding that the biomass component of district energy needs to be outlined separately, because of its signifi cant advantages.

Doyle and Godkin agree that the ben-efi ts of biomass in a district heating system can outweigh the challenges created by link-ing businesses to residential buildings, and private sector energy budgets to public. They also agree that the PEI story proves that.

Doyle’s research into other systems also makes it diffi cult to argue with such claims. His team has completed a project to turn sawmill

waste into heat for a downtown area of a Brit-ish Columbia, Canada, city, and is currently working on other projects in British Columbia: one that will use sawmill waste to generate hot water for a central heating system at Prince George; and a wood waste-fi red campus and residential heating system, both set to come on line this year. In Alberta, Canada, Doyle is developing a biomass pellet boiler for a water heating system, and is in the process of design-ing a biomass boiler in the Northwest Territo-ries that could be operational in the summer of next year. “There is a lot of interest (in bio-mass-based heating applications),” Doyle says. “I think district heating applications are good for biomass.”

Although Doyle’s opinion might seem bi-ased, he cites several compelling reasons bio-mass makes sense for district heating efforts, and why stories like PEI’s should unfold every-where.

“One of the challenges for biomass has always been that it’s not as easy as turning on a natural gas boiler,” he says. “It is not as easy as going over to fl ick a switch.” But, because biomass systems are more complex, combining

a woody biomass system with an MSW system, as PEI and Godkin did, makes sense based on the requirements needed to operate an MSW facility, Doyle explains.

WASTE WATTS: MSW is piled for combustion at Prince Edward Island's district energy plant.

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DISTRICT HEAT¦

“MSW is even more complicated in terms of the combustion process, and a skilled op-erator who can handle MSW will also be ad-ept at handling woody biomass,” Doyle says. “You have very knowledgeable operators (at an MSW facility), skilled people who on a daily basis are dealing with fuel quality issues, mois-ture issues, fuel feed issues, all of the things that make running a biomass or MSW system more diffi cult.”

But if a district heating system isn’t already using MSW for fuel, woody biomass still makes sense, even though running a district energy system presents challenges. Those challenges, however, are related to capital, infrastructure and customers. “It’s not a technical challenge,” Doyle says. The right combination of custom-ers and capital is required to get a project start-ed, he adds, noting that biomass feedstock and conversion technology are rarely issues. Thank-fully, the PEI Energy system benefi ted from government support, Godkin adds.

Doyle’s reasoning for using biomass in a district heating system is also about the profi le of the user. While some heating systems op-erating in pulp mills run at 60 to 90 percent

capacity all day every day for 365 days a year, most, like Charlottetown’s, aren’t placed in the same operational conditions. Those systems in a mill don’t have to cycle through huge swings during the day, Doyle explains, putting his point in perspective. “In your house, you get up in the morning and turn the heat up; you go away for the day and you turn the heat down. So your load profi le switched dramatically during the day for heating.”

Sound like a problem for commercial and residential buildings that might be considering a biomass-based heating system? Doyle would say no. Although a biomass boiler doesn’t like huge load changes, the biomass-based district heating system benefi ts from the fact that typi-cally there are enough customers and enough load base to justify full-time operators for at least 12 hours per day. Larger systems also make more sense, he says, as they allow larger stacks with fi lter systems, all of which help to justify the capital for a larger system.

Add in the sustainability of biomass and the ability to create jobs, or in most places like Charlottetown that at one time relied on the forestry industry, save jobs, and Doyle says

biomass-based district energy project develop-ment will only increase.

To take part in that development, Godkin has his own advice: “You’ve got to be commit-ted to it. You have to take a long-term view of your energy supply. I think that is one thing they were doing in PEI.”

Although Eastman and his team at Veres-en believe they won’t necessarily seek out proj-ects involving biomass in the future, Eastman’s plans for the Charlottetown facility show that his role in the story of Prince Edward Island isn’t simply about his success in fi nding that moat.

“I think there is a huge opportunity to ex-pand that facility,” he says, based on the pos-sibility to utilize a higher percentage of MSW. “And there should be the economics to support expansion to the point where we could displace all of the oil that we burn at the facility.”

Author: Luke GeiverAssociate Editor, Biomass Power & Thermal



¦EMISSIONS


EMISSIONS¦

A study by a group of forest scientists confi rms forest-derived bioenergy results in no net carbon releaseBY ANNA AUSTIN

D oes the utilization of wood for en-ergy release as much pollution as energy from coal? Does it release

more? Is it depleting our nation’s forests and destroying natural habitats?

These questions are hotly debated by scientists, foresters, bioenergy indus-try members and even the general public. While it’s likely the real answers lie some-where buried beneath a discombobulat-ing mountain of studies, reports and whitepapers—many of which have been conducted with a very specifi c purpose or outcome in mind—it’s left policymakers and landowners unsure about what’s fact and what’s fi ction.

A recently released study authored by nine scientists from multiple organizations and universities, including the U.S. Forest Service, may be poised to clear up some confusion. With no motive other than to scrutinize, hash out and compare the best and most recent science surrounding for-ests, climate change and bioenergy from a forest management perspective, the group is confi dent in its fi ndings and hopes they will be accepted as the unvarnished truth.

Carbon: Biogenic vs. GeologicThe study “Managing Forests Because

Carbon Matters: Integrating Energy, Prod-ucts, and Land Management Policy” is an update to a previously released report initi-ated by the Society of American Foresters, and was put together by a task force of

people who had all been involved in for-est and carbon accounting aspects. It took about 10 months to complete, according to lead author Robert Malmsheimer, pro-fessor at the State University of New York College of Environmental Science and Forestry.

Overall, the study has one major fi nd-ing with a few main supporting conclu-sions. So what’s the bottom line? “As long as you manage forests sustainably, you can produce bioenergy and help address some of the issues surrounding climate change,” Malmsheimer says, segueing into the fi rst supporting conclusion. “We can provide carbon benefi ts through both storage in forests and through substitution benefi ts, while providing all of the other benefi ts that forests normally provide society.”

The fact that it’s not necessarily either/or is an important point, he emphasizes. “We can still have the wildlife benefi ts, the recreation benefi ts and all the things peo-ple use forests for, all while still managing them for carbon.”

But that doesn’t mean every forest should be managed for carbon. “It’s really the landowner’s decision, but we wanted to be able to provide them with the cor-rect scientifi c background so if they decide they’re potentially interested in managing for carbon, they have that science available to help them decide,” Malmsheimer says.

The second main supporting conclu-sion of the study is that energy produced


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from forest biomass returns to the atmo-sphere carbon that plants absorbed in the rel-atively recent past, and therefore it essentially results in no net release of carbon.

“An important thing to think about here is that CO2 levels in the atmosphere have been relatively stable for hundreds of thousands of years,” Malmsheimer explains. “The issue we have in regard to climate change is that what we’re doing is taking carbon that’s been sequestered in the earth—from the start of the industrial revolution up until now—and we’ve been emitting it into the atmosphere at such a rate that the atmosphere can’t as-similate it.”

Simply put, burning coal takes geologic carbon—carbon stored in the earth—and adds it into the atmospheric cycle. When a tree sequesters carbon through photosynthe-sis, it’s absorbing carbon that’s already in the atmosphere. “So when you are creating ener-gy [with wood] you’re using that atmospheric carbon and simply putting it back into the atmosphere; you’re recirculating it. When you’re producing energy from coal, you’re taking stored geological carbon and adding more CO2 to the atmosphere.”

It seems like a simple concept, but peo-ple have a hard time grasping it, Malmsheim-er says. “When explained in this way, I think it makes a lot more sense to people.”

All of these ideas are only relevant, however, if forest inventories are stable or in-creasing. Is that really the case in the U.S.?

Sustainable Forestry “It is the case, and has been for the last

70 years,” Malmsheimer says. “However, there are parts of the U.S. where it hasn’t been the case for all of those years, so it depends upon the spatial scale you’re looking at.”

When asked whether U.S. forests are being sustainably managed, study co-author Jim Bowyer of the University of Minnesota’s Department of Bioproducts and Biosystems Engineering says yes and no. “Yes because the forest area in what is now the U.S. is within one percent of what it was 100 years ago,” he explains. “Net growth nationwide has exceeded removals for over 70 years con-tinuously, and as a result, standing timber vol-ume has increased steadily over that period as well.”

At the same time, there are areas where forest inventories aren’t necessarily stable or increasing, but it really isn’t because too many trees are being removed for energy. “Many forested areas, including much of the feder-ally designated national forest lands, are not being managed at all,” Bowyer says. “Some of these areas currently support numbers of trees and overall biomass volumes that are well-above historic levels, a situation that is increasing the risk of serious insect infesta-tion and disease incidence, and fueling rising incidence of catastrophic fi re events.”

He adds that there are, however, in-stances of increasing fragmentation of forest lands due to expansion of urban areas and home development in forested areas. That trend could potentially threaten stability of forest-dwelling wildlife species, opportuni-ties for management, and sustainable timber production.

Moving away from forest management, another point in the study is that there are some real benefi ts to using wood in place of other materials. “The study is really de-signed to try to specify what those benefi ts are,” Malmsheimer says. “One is that forest products require less fossil-based energy to be produced, and also, when you produce anything out of wood you’re storing carbon for some length of time; sequestering it in whatever it is.”

The authors of the study do recognize that a large percentage of the future U.S. en-ergy portfolio will come from a variety of sources, including wind and solar, but none of them sequester carbon, Malmsheimer points out. “And, a lot of technologies still need a lot of work to be adapted on a wide-spread basis.”

When asked about how this study’s fi ndings compare with the infamous Ma-nomet Center for Conservation Sciences study, which crafted a debt-then-dividend model for forest bioenergy carbon emissions, Malmsheimer says the Manomet study had a very specifi c purpose and a very specifi c question, which was answered. “The prob-lem with that study is that the question was wrong: what is the carbon accounting on a single plot of land? We don’t manage just one plot; we manage hundreds of thousands of stands. Granted, some stands are just getting

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to a point of carbon defi cit, and some are further away, but you have to look at multiple stands over long periods of time. It’s impossible for [wood energy] to be worse than coal, because you have to go back to the very basic idea that with coal you’re taking geologic carbon and putting it into the atmosphere.”

Though the team had the study in mind, Malmsheimer says it was not intended to be anti-Manomet. “We believe we provide informa-tion in our report that addresses it directly, but we were much more in-terested in a broader look at forests and carbon accounting and wood products. There are a lot of people who have done those kinds of analyses and we didn’t think it would be helpful to have one more.”

Instead, the study is intended to serve as a guide for not only landowners, but policymakers as well.

Pushing for Sound PolicyFrom Bowyer’s perspective, policy shouldn’t be infl uenced by

anything other than science. “In all environmental decision making, we need to move as rapidly as possible away from decisions based on intuition, emotion, and politics to decisions based on scientifi c, systematic and comprehensive assessment of the likely environmental impacts of possible alternatives,” he says. “One key is far greater use of life-cycle assessments (LCA) in environmental decision making.”

There is one caveat, Bowyer says. Assessments must follow inter-national protocols for the conduct of life-cycle inventory and assess-ment, as spelled out in the International Organization for Standard-ization (ISO) 14000 series. “Several recent studies of biogenic carbon emissions that have supposedly been based on LCA have completely ignored established protocols, with the result that their fi ndings are completely meaningless. Nonetheless, they have still been dutifully re-ported in the media.”

Malmsheimer says the group is working on publicizing its study, and perhaps most important, getting it into the hands of policymak-ers. Because studies such as this one generally have a technical nature and are oftentimes diffi cult for congress members to fully compre-hend, Bowyer has authored a nontechnical, 15-page version through Dovetail Inc., an authoritative information company focused on the impacts and trade-offs of environmental decisions, including con-sumption choices, land use, and policy alternatives. “Realizing that most decision makers at all levels of government are, in fact, not sci-entists, we prepared the Dovetail summary with the goal of bringing a summary of recent science on forests and carbon balances to those people so as to provide a basis for reasoned and informed debate,” Bowyer says.

As to whether he thinks the study will infl uence policymakers, Malmsheimer says the team hopes so. It has sent a copy of the study to state landowner organizations and is working on a two-page sum-mary for Capitol Hill. “We’ve learned it’s not ‘if you build it, they will come,’” he adds. “You have to build it, and then bring it to them.”

Author:Anna AustinAssociate Editor, Biomass Power & Thermal


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February 2012 Biomass Power & Thermal

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