1 Red - operating 270MW Orange – consented 475MW Yellow – planned 1600MW Total 2345MW...

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1 Red - operating 270MW Orange – consented 475MW Yellow – planned 1600MW Total 2345MW Bioma(dne)ss?

Transcript of 1 Red - operating 270MW Orange – consented 475MW Yellow – planned 1600MW Total 2345MW...

Page 1: 1 Red - operating 270MW Orange – consented 475MW Yellow – planned 1600MW Total 2345MW Bioma(dne)ss?

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Red - operating

270MW

Orange – consented

475MW

Yellow – planned

1600MW

Total

2345MW

Bioma(dne)ss?

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What will they burn?

Status MW MT

Running 270 3.0

Consented 475 5.5

Planned 1600 18.5

Total 2345 27.0

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UK Roundwood production

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Is burning wood a good idea?

• Drax coal plant 4000MWEmits 22MT CO2

5500T CO2/MW

• Eon Lockerbie 44MW burns 0.5MTEmits 0.3MT CO2 7600T CO2/MW 40%

extra/MW

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But FC restocking is only 70% of felled area

Private sector is only 50% of felled area

20% of restocking is hardwoods

UK restocking

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In 2008

6.7kHa Hardwood

0.9kHa Softwood

UK New planting

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Levels of subsidy for biomass

Non CHP plants – 1.5 ROC = £80/MWh

CHP plants – 2.0 ROC = £107/MWh

Current plants £189m

Consented plants £332m

Planned plants £1120m

Total £1.6bn per annum

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Levels of subsidy for forestry

• £72m in 2008

• And it’s hardwood, native woodland, environmental, community woodlands – not rapid carbon sequestering woodlands – shrubberies!

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What could be done?

• Tax breaks for forestry

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What could be done?

• ROC allocation for new plantingreduce allocation to burners

reallocate to planters

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What will happen to sawmills?Roundwood prices will become more volatile and rise rapidly if the supply of other biomass is interrupted.

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What will happen to sawmills?Roundwood prices will become more volatile and rise rapidly if the supply of other biomass is interrupted.

Sawnwood prices will not rise to match this as imports will easily replace domestic production.

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What will happen to sawmills?Roundwood prices will become more volatile and rise rapidly if the supply of other biomass is interrupted.

Sawnwood prices will not rise to match this as imports will easily replace domestic production.

Sawmills that close as a result of this are unlikely to be reopened as the investment will be too great and the returns too small.

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What will happen to sawmills?Roundwood prices will become more volatile and rise rapidly if the supply of other biomass is interrupted.

Sawnwood prices will not rise to match this as imports will easily replace domestic production.

Sawmills that close as a result of this are unlikely to be reopened as the investment will be too great and the returns too small.

We are all doomed!