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Possibilities of reducing CO2 emissions from energy-intensiveindustries by the increased use of forest-derived fuels inIreland

Neil Walkera,*, Morgan Bazilianb, Pearse Buckleyc

aSchool of Geography, Planning and Environmental Policy, University College Dublin, Belfield, Dublin 4, IrelandbElectricity Research Centre, University College Dublin, Belfield, Dublin 4, IrelandcSustainable Energy Ireland, Glasnevin, Dublin 9, Ireland

a r t i c l e i n f o

Article history:

Received 25 July 2007

Received in revised form

15 January 2009

Accepted 6 May 2009

Published online 17 June 2009

Keywords:

Bioenergy

Biomass

Woodchip

Forest residues

CO2 emissions

Co-firing

Cement industry

* Corresponding author. Tel.: þ353 87 969 06E-mail address: neil.walker@ucd.ie (N. W

0961-9534/$ – see front matter ª 2009 Elsevidoi:10.1016/j.biombioe.2009.05.012

a b s t r a c t

A range of EU environmental policies support the goal of reducing fossil-fuel use in

commercial thermal applications. Combustion installations which are covered by the EU

Emissions Trading Scheme now face a substantial opportunity cost for fossil-fuel CO2

emissions. However, it is unclear whether the EU ETS will provide a sufficient incentive for

switching to forest-derived biomass fuel by energy-intensive installations currently firing

on coal or peat. Using Ireland as a case study, the paper analyses the availability and cost

competitiveness of forest residues produced within the vicinity of three cement kilns. EU

Allowance prices observed during much of 2007 and 2008 would appear to be sufficient to

equalise the carbon-adjusted purchase costs between chipped pulpwood and bituminous

coal. However, no such fuel switching has been observed to date by kiln operators and

none appears to be envisaged. The apparent reasons for this include (1) a ready availability

of cheaper substitute fuels such as Meat and Bone Meal; (2) technical issues regarding the

chemical consistency of the woodchip; and (3) the prospect of pulpwood prices rising in the

medium term due a growing supply shortage. The prospect of such a constraint is an

unintended consequence of Irish government policy to promote biomass co-firing in peat-

fired power stations.

ª 2009 Elsevier Ltd. All rights reserved.

1. Introduction According to the European Commission’s Biomass Action

This paper assesses the potential for reducing CO2 emissions

in energy-intensive industries through the partial substitution

of solid fossil fuels with forest-derived fuels. It discusses the

issues in the context of EU climate change policy targets and

illustrates some of the obstacles by reference to the scope for

co-firing in the electricity generation sector and the cement

manufacturing sector within Ireland.

78; fax þ353 1 716 2776.alker).er Ltd. All rights reserved

Plan [1] biomass already accounts for about half of all

renewable energy used in the EU but offers considerable

potential for further growth particularly in the area of heating

and electricity generation. Achieving the targeted 100%

increase will involve a substantial increase in the supply of

dedicated energy crops, although much progress can be made

simply by more effective extraction of conventional forestry

resources. The Biomass Action Plan states, for example, that

.

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 81230

35% of the annual wood growth in EU forests is currently not

used. The Commission has also published a Forest Action Plan

[2] whose priorities include the promotion of forest biomass

for energy generation by means of research and dissemina-

tion of information. It has been actively encouraging Member

States to develop national biomass action plans with the

objectives of improving the environmental sustainability and

security of Europe’s energy supply and stimulating the

economic development of rural areas [3].

A range of EU environmental legislation exists which could

promote the demand for biomass fuel, notably:

� the Renewables Directive [4] which specifies national targets

for electricity generation

� the Biofuels Directive [5] which specifies national targets for

the transport sector, and

� the Emissions Trading Directive [6] which places a cap and

trade obligation on the CO2 emissions from specified

combustion installations and energy-intensive industries.

Nevertheless, the European Commission’s recently-pub-

lished Renewable Energy Road Map [7] argues that the uptake

of biomass has been unduly slow to date, particularly in

commercial and industrial heating applications. It cites inertia

and a lack of coherent policy approach as being responsible

for this lack of progress.

The remainder of the paper is organised as follows. Section

2 briefly sets out the Irish policy framework for bioenergy.

Section 3 reviews various estimates of the forest resource

potential in Ireland and the associated supply cost for biomass

fuel. Section 4 describes the expected evolution of demand for

pulpwood and for sawmill residues in Ireland. It discusses the

possibility of a supply shortfall emerging over the period to

2016 as an unintended consequence of Government policy on

renewable generation. Section 5 suggests that various types of

biomass ought to be commercially viable co-firing options for

the cement manufacturing industry but also explains why

cement kiln operators have not utilised forest-derived fuels to

date. Section 6 discusses the technically feasible demand for

woodchip from the cement sector within Ireland. Section 7

presents recent research into the geographic distribution of

forest resources throughout the island of Ireland, providing an

estimate of the local supply availability of pulpwood at three

cement plants located in the Republic. Section 8 concludes

with an assessment of policy implications relating to the

electricity and cement sectors.

1 http://ec.europa.eu/energy/climate_actions/doc/2008_res_directive_en.pdf.

2 www.agriculture.gov.ie/index.jsp?file¼schemes/bioenergy/bioenergy.xml.

3 http://www.agriculture.gov.ie/forestry/woodbiomasscheme/biomassscheme.pdf.

4 Since renamed the Department of Communications, Energyand Natural Resources.

2. The Irish policy context – targets andmeasures

The Irish Government’s 2007 White Paper on Energy [8]

includes the following national renewable energy share

targets.

� RES-H: 12% of thermal energy consumed in 2020 with an

interim 2010 target of 5%.

� RES-E (recently updated): 40% of gross electricity

consumption in 2020 with an interim 2010 target of 15%.

� RES-T: 10% of petrol and diesel transport fuel in 2020 with an

interim 2010 target (recently updated) of 3%.

These targets are broadly consistent with Ireland’s

impending obligations under the Renewable Energy Directive,1

namely a 16% share of final energy consumption in 2020.

The Energy White Paper envisages that solid biomass fuels

will contribute towards the achievement of RES-E targets

through a gradual move towards 30% co-firing in three State-

owned peat-fuelled power stations and through the uptake of

combined heat and power (CHP) projects, supported by

renewable feed-in electricity tariffs. Solid biomass, especially

wood fuel, could also contribute towards the RES-H targets by

displacing oil and kerosene consumption in the industrial and

commercial sector.

As outlined in Howley et al. [9], a range of domestic policy

measures is currently in place to promote the increased use of

biomass energy, including grants for establishing dedicated

energy crops2 as well as for specialised wood harvesting and

chipping machinery.3 These policies have been developed

over a period of several years. A Bioenergy Strategy Group was

first established in 2003 by the Department of Communica-

tions Marine and Natural Resources (DCMNR).4 The Group’s

strategic report [10] identified significant short to medium

term growth potential from wood residues, but also a number

of barriers to achievement. Inter alia, it identified the need for

a clear policy to promote investor confidence, a ‘kick-start’ for

the supply chain enabling wood fuel to compete more effec-

tively against conventional fossil fuels and a streamlining of

the regulatory procedures governing bioenergy projects.

DCMNR subsequently chaired a Ministerial Task Force leading

to the publication of a National Bioenergy Action Plan for

Ireland. The Plan, which contains over 50 action items,

includes proposals for an expansion of the existing commer-

cial combined heat and power (CHP) incentive scheme. The

main emphasis for the industrial sector was on the use of

woodchip for co-firing in existing peat-fired power stations,

whereas the key recommendation for the commercial sector

was on grant support for bioheat systems.

3. Fuel availability and supply cost fromIrish forest resources

3.1. Supply estimates

Excluding forest and sawmill residues, fuelwood in Ireland is

primarily derived from pulpwood, a category of roundwood

with top diameter of 7–14 cm. In 2001, Gallagher and O’Carroll

[11] estimated the total afforested area in Ireland to be 0.65

Million Hectares and the then-current pulpwood production

to be 0.84 Million m3. These statistics imply an annual

300

250

200

150

100

50

02001 2003 SEI

COFORD

Pulpwood Residues

COFORD COFORD

2005F 2010F SEI 2015F

kT

on

ne

s (O

ve

r D

rie

d)

Fig. 1 – Woodchip fuel availability estimates for 2001–2015.

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 8 1231

pulpwood harvest of circa 1.3 m3 per Hectare across all types

of forest. The yield figure may, however, change somewhat

over time reflecting changes in the average age and predom-

inant species. For example, Gallagher and O’Carroll forecast

a near-doubling in the expected production of pulpwood to 1.5

Million m3 by 2015, mainly from spruce varieties in grant-

aided private forest stands which have been established since

the mid-1980s. This is consistent with Fitzgerald [12] who

forecasts 1.6 Million m3 per annum of pulpwood and thinnings

by 2016, with an additional 1.3 Million m3 per annum from

forest residues.

Although pulpwood does have competing non-fuel uses

(notably the manufacture of panel board), some of the

expected future growth in supply is likely to be available for

fuel use. Unfortunately, the available forest data does not

allow a detailed disaggregation across regions and ownership

categories. Nevertheless, there has been a series of recent

studies into the availability and cost of fuelwood across

Ireland. Several of these have sought to assess the feasibility

of co-firing in peat-fired generation. For example, van den

Broek et al. [13] considered the use of a dedicated energy crop

such as Short Rotation Coppice5 for co-firing. They found

considerable uncertainty in the project economics due to

a lack of reliable data on the supply cost. In a follow-up study

[14], van de Broek et al. considered the potential for wood fuel

derived from conventional forestry and sawmill residues.

They estimated a technical potential equivalent to 0.56 Million

Oven Dried Tonnes (ODT) per annum of annual growth not

already committed to other commercial uses, of which nearly

0.2 Million ODT might be suitable for commercially viable

extraction. A subsequent review [15] commissioned by

COFORD (the National Council for Forestry Research and

Development) presented estimates of the then-current

potential, as well as projections to 2015, for forest-derived

fuel. The COFORD figures suggested a significant dip in supply

availability between 2001 and 2005 followed by a strong

increase out to 2015. This projection reflects the trend towards

private forestry holdings, including a large number of small

plantations availing of the EU-funded Forestry Premium grant

scheme. A follow-up study commissioned by Sustainable

Energy Ireland (SEI) [16] resulted in similar supply cost esti-

mates to those in the COFORD report. The various COFORD

and SEI estimates6 of fuelwood availability are collated in

Fig. 1. The SEI study included estimated supply cost curves for

peat-fired power stations located in Edenderry, Shannon-

bridge and Lanesborough. It did so by considering the timber

production across every county in the Republic and calcu-

lating road transport costs from the geographic centre of each

county to the three points of consumption. Each of the supply

curves effectively included the entire estimated national

supply of available pulpwood and forest residues, so poten-

tially includes some double counting. It should in any case be

noted that several of the other studies include the assumption

that such fuels, being bulky and of relatively low commercial

5 Densely planted high-yielding varieties of willow or poplar,typically harvested on a three-year cycle.

6 Conversion from green Tonnes to ODT assumes moisturecontent of 60% for pulpwood and 50% for other forest residues.

value, are likely to be used near to the forest in which they

originate.

Other studies have focused on the potential for local

applications of forest-derived fuel products to contribute to

rural development. Farrelly [17,18] estimates that more than

20,000 separate private holdings have been established since

1990 and that many of these are already overdue for first

thinning. The availability of new markets such as wood

energy could help stimulate harvesting of private forests,

particularly in areas where no competing wood-using facili-

ties are based. The woodchip produced in this way would

most likely be marketed primarily to small commercial heat-

ing or CHP schemes. This minimises the suppliers’ transport

costs and it makes commercial sense because such potential

customers currently use expensive kerosene or heating oil

rather than cheap coal.

Luker [19] considers that the Western Region of Ireland

should be able to maintain a supply of wood fuel which

exceeds the most optimistic market demand up to 2015.

However, this assumes that that the peat-fired power gener-

ators will account for only 10% of regional woodchip demand.

3.2. Supply cost

Analysis by van den Broek [14] suggests that the delivered cost

of fuelwood should be approximately V8 per MWh Net Calo-

rific Value (NCV)7 assuming that:

� a small stumpage fee is paid to the landowner;

� the material is seasoned outdoors to reduce the moisture

content to circa 40% before being chipped; and

� it is transported no more than 40 km to the power station.

Similarly, COFORD [15] have estimated that the cost of

supplying woodchip from such thinnings, including a 40 km

road journey to the point of consumption, should be in the

range V8–V18 per MWh (NCV) depending on the type of

timber. Although the COFORD study included an explicit

treatment of road transport freight rates, it did acknowledge

7 The NCV of oven dried timber is typically 5.4 MWh per Tonne.This is roughly three times higher than that of pulpwood fuel asreceived by the end users.

Table 1 – Woodflow in Ireland for 2006.

Source

Coillte

(state forest agency)

80%

Private forestry 7%

Net imports 6%

Recycled material 7%

100%

Application

Sawn timber 32%

Panel Board ingredients 50%

CHP and Boiler fuel 6%

Horticulture/Other 12%

100%

Source: Knaggs and O’Driscoll.

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 81232

the need for a more detailed analysis of the logistics costs. In

particular, it suggested that Geographic Information System

(GIS) technology could be of use in optimising the local supply

chain for each power station location.

Kofman [20] reports the results of more recent research in

Ireland suggesting that that whole tree harvesting and chip-

ping of thinnings can be achieved at a cost of between V16.00

and V21.50 per green Tonne. The resulting delivered cost of

fuel would be equivalent to between V9.00 and V11.00 per

MWh, again assuming a nominal stumpage fee and an

average road journey of 40 km, but an average moisture

content8 of 45%. However, van den Broek’s estimates of the

feasible production cost for dedicated energy crops such as

Short Rotation Coppice were somewhat higher than for

pulpwood and thinnings, ranging between V17 and V30 per

MWh.

4. Demand for timber and wood industryresidues in Ireland

The estimates and projections of woodchip fuel supply

availability presented in Fig. 1 should be viewed in the wider

context of demand for timber products in Ireland. Knaggs and

O’Driscoll [22] describe the structure and evolution of the Irish

timber market, estimating that approximately 3.4 Million m3

of wood was processed in 2006. As summarised in Table 1, the

use of this material for fuel applications currently represents

a relatively small component of overall demand, and there is

direct competition for the pulpwood resource from panel

board manufacturers. Fitzgerald [12] estimates the net

amount available for energy applications in 2007 to be 0.35

Million m3 (thermally equivalent to circa 0.12 Million ODT).9

However, he forecasts a significant increase in demand from

panel board manufacturers. He also estimates that the

demand for wood in energy applications (mainly co-firing)

could increase to the equivalent of 0.5 Million ODT by 2016.

Consequently, he suggests that the overall demand for pulp-

wood and wood residues from the energy sector and panel

board sector in Ireland could outstrip supply by as much as

0.35 Million ODT in 2016. O’Carroll [23] projects an even higher

wood fuel demand figure for 2016, namely 0.7 Million ODT.

About 0.4 Million ODT of this would result from co-firing of

wood in peat-fired power stations in accordance with the

renewable generation target in the Energy White Paper. A

further 33% would be in the industrial and commercial sector,

partly encouraged by SEI equipment grants. The balance of

demand would be in the domestic sector, where equipment

grants are also available.

It may be possible to mitigate the expected shortfall by

increased imports of biomass for energy users located close to

seaports, although there are restrictions on the importation of

8 In a related research project, Kent and Kelly [21] found that thefinal moisture content of bundled Sitka Spruce thinnings rangedbetween 41% and 57% after being stored outdoors over a five--month period in the summer of 2006.

9 This is an approximate figure. The conversion betweenproduction volume and oven dried tonnage will vary dependingon the density and moisture content of the wood being harvested.

products containing bark. Another possibility is that pulp-

wood prices will increase, stimulating investment by forest

farmers in supplying dedicated energy crops such as Willow

or Miscanthus. However, planting of such crops in Ireland to

date has been limited (circa 3000 Hectares in total) despite the

introduction of grants for planting and harvesting machinery.

Clancy et al. [24] present an economic analysis of why this is

the case. Assuming a productive lifespan of 16 years for both

crops; the first harvest takes place after two years for Mis-

canthus and after four years for Willow. Including the benefit

of establishment grants, the estimated payback period is 9

years in the case of Miscanthus and 16 years for Willow. This

appears to be less attractive than the rates of return available

from alternative (arable) crops. Given the restrictions on land

use under the REPS10 scheme, they conclude that it would not

be logistically feasible to supply a peat-fired power station

with sufficient volumes of dedicated energy crops from the

immediate locality. The same logic would presumably apply

to a large industrial coal user such as a cement kiln.

5. Economic value of woodchip to thecement sector

Because cement kilns are covered by the EU Emissions

Trading Scheme the economics of using biomass as a substi-

tute for fossil fuel become more attractive if the perceived cost

of CO2 emissions is high. For each Tonne of CO2 emitted by

a cement kiln in the EU during the period 2008–2012, the

installation operator must surrender a tradable permit known

as an EU Allowance (EUA) to the relevant regulatory authority.

Cement kilns in Ireland and elsewhere in the EU are typically

fuelled by bituminous coal and/or petroleum coke. The

combustion of one Tonne of these fuels results in approxi-

mately 2.7 Tonnes of CO2 being emitted to atmosphere.

The ‘carbon-adjusted’ cost11 of burning coal depends very

much on the market price of EUAs. Three feasible Allowance

10 http://www.agriculture.gov.ie/index.jsp?file¼schemes/reps_cover.xml.

11 Coal prices and calorific value are based on current SEIdata [25].

Table 2 – Fuel and emissions costs for a coal-fired cementkiln.

Low EUAprice (V1)

Medium EUAprice (V20)

High EUAprice (V35)

Cost per Tonne

of fuelaV79.00 V79.00 V79.00

EUA opportunity

cost

V2.70 V54.00 V94.50

Carbon-adjusted

fuel cost

V81.70 V133.00 V173.50

NCV of coal (MWh

per Tonne)

7.8 7.8 7.8

Adjusted cost

per MWh

V10.47 V17.05 V22.24

a Typical ex works cost for industrial users, October 2008.

Table 3 – CO2 emissions and implied coal consumption bycement plant.

Cement plant CO2 emissionsrecordedin 2005

(000 Tonnes)

Implied consumptionof bituminous coal

(000 Tonnes)a

Irish Cement,

Platin – Drogheda

1460 205

Irish Cement,

Mungret –

Limerick

840 118

Quinn Cement –

Ballyconnell

1030 145

Lagan Cement –

Kinnegad

470 66

Total 3800 534

Source: EPA.

a Fuel-related emissions represent circa 38% of total plant

emissions.

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 8 1233

price scenarios are shown in Table 2. The medium one

corresponds roughly to the forward EUA prices for 2008 as

reported in Point Carbon12 throughout much of 2007. In this

scenario, the adjusted cost of coal would be above the V9–

V11/MWh range for woodchip energy cost as estimated by

Kofman. However, the use of dedicated energy crops (typi-

cally costing rather more than V17/MWh) would be unat-

tractive unless EUA prices were to approach V35, as was the

case during 2008 immediately prior to the ‘credit crunch’.

Understandably, EUA prices have since eased back consid-

erably, trading at circa V15 in January 2009. However, even

at these Allowance prices, it ought to be commercially

feasible for the operators to co-fire their kilns with woodchip

biomass from conventional forestry resources. Nevertheless,

none of the cement producers in Ireland or in any other EU

Member State has so far expressed any interest in pursuing

this option.

One possible reason for the apparent lack of interest is that

the woodchip supply chains in most Member States are

currently geared to local markets which command substan-

tially higher prices than the marginal cost of production.

Another key factor is that EU cement firms can obtain alter-

native sources of biomass which are cheaper than woodchip.

For example, in countries where livestock farming is prevalent

(such as Ireland) there is a supply of Meat and Bone Meal

(MBM). A significant proportion of this material needs to be

disposed of by incineration. In some EU countries, notably the

UK, cement producers have sought and obtained permission

to burn other materials such as Solid Recovered Fuels from

commercial waste, and used tyres. In such circumstances the

kiln operator can often charge a fee for using the waste

material as fuel. By contrast, pulpwood and wood industry

residues do not pose any particular disposal hazard.13

Consequently, these materials will not be marketed as wood

fuel unless they command a market price comparable to that

non-fuel uses. It is evident that although many cement firms

12 www.pointcarbon.com.13 One reported exception [26] is a cement plant located in

Colorado USA. The use of woodchip appears to be commerciallyfeasible there despite the absence of any emissions tradingobligation, primarily because the organised removal of forestresidues is necessary in order to reduce the hazard of forest fires.

are actively pursuing opportunities for substitute kiln fuels,

they currently regard woodchip as a relatively unattractive

option.

6. Potential demand for woodchip in theIrish cement sector

Ireland’s four cement factories account for about 5% of the

country’s total emissions of CO2. The recorded emissions from

each plant in 2005, and the implied annual coal usage, are

summarised in Table 3.

In preparing Ireland’s National Allocation Plan (NAP) for

the 2008–2012 EU Emissions Trading Period, the Department

of Environment Heritage and Local Government (DEHLG)

commissioned a consultancy study [27] which suggested the

possibility of avoiding nearly 700,000 Tonnes per annum of

fossil-fuel CO2 emissions, at an abatement cost of less than

V17 per avoided Tonne, by substituting woodchip for up to

40% of the coal currently consumed in Irish cement kilns. This

implies the displacement of more than 200,000 Tonnes of coal,

and hence a requirement for the equivalent of 0.3 Million ODT

of woodchip. However, the consultants’ report acknowledged

considerable uncertainty over the supply availability, and

recommended a more detailed empirical analysis. Moreover,

the Irish NAP assumed that emissions abatement projects

would occur only up to a marginal abatement cost of V15 per

avoided Tonne of CO2. The potential contribution from

woodchip biomass in cement kilns was therefore not included

in the national emissions projections for 2008–2012. Never-

theless, as previously noted, EU Allowances for 2008 were

traded at well above V17 for most of 2007 and 2008. It is

therefore appropriate to consider whether the degree of kiln

fuel substitution envisaged in the DEHLG study is actually

capable of being achieved in each cement plant locality

through conventional forest resources.

The next section describes empirical work recently con-

ducted by the authors with the objective of generating

a detailed estimate of the potential supply availability of forest-

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 81234

derived biomass in the immediate vicinity of three cement

factories located in Ireland. A fourth plant (Lagan Cement) was

excluded because it has already sought and received permis-

sion from Westmeath County Council and from the EPA to burn

Meat and Bone Meal as a substitute kiln fuel.

7. Spatial analysis of forest fuel availabilityfor the Irish cement sector

Data on the spatial distribution of forest resources in the

Republic of Ireland was obtained from the Department of

Agriculture and Food’s Forest Service14 and from the Northern

Ireland Forestry Service. A map showing the location of each

of the four plants, and tabular summaries of the spatial

distribution of forest parcels, are shown in the Appendix. The

analysis was conducted at University College Dublin using Arc

GIS Network Analyst software.

In order to convert forest land areas into feasible estimates

of woodchip supply availability, it was necessary to make

assumptions about the effective yield of pulpwood per planted

Hectare of forest. As a first approximation, the above-

mentioned analysis by Gallagher and O’Carroll suggests

a figure of 1.3 m3 (equivalent to 0.44 ODT15) per Hectare.

However, in reality, most of the pulpwood from thinnings and

clearfelling in Coillte forests is likely to be contractually

committed, given that this state-owned firm operates two

board mills in the Republic.16 The cost of diverting such

supplies to fuel usage would probably be prohibitive. The

extent of contractually uncommitted resource is not known,

but it probably corresponds to a sub-set of the private forest

stands, particularly those in the ‘Planting Grant Application’

category. Within this group, there may be local variations in

yield because of differences in forest age profiles or in the

willingness or ability of owners to undertake thinning opera-

tions. The latter depends partly on economies of scale in

harvesting but also on the perceived risk of wind-throw

damage with/without thinning. For this reason, the following

resource estimates should be treated with caution. However,

it is evident that even the theoretically available quantity of

fuelwood within the vicinity of each plant is substantially

lower than that required for a 40% substitution target.

7.1. Irish cement, Platin, Drogheda, Co Louth

Circa 59% of the theoretically available local forestry land

(i.e. within 60 min drive of the plant) is privately owned. The

estimated pulpwood resource in these private forests

amounts to 2400 ODT per annum, of which 17% is in the

14 This analysis was conducted using the Forest Inventory andPlanning System (FIPS) 1998 database. An updated version (FIPS2007) has since been released.15 This equates to 367 kg/m3 dry matter, consistent with a typical

range of 350–400 kg/m3 for Sitka spruce. http://www.woodenergy.ie/iopen24/pub/firewood.pdf.16 There is a possibility that the state forest agency Coillte will

increasingly seek to supply quantities of pulpwood from theprivate sector, partly to meet growing demand from its boardmills, but possibly also to replace supplies that are currentlybeing transported long distances.

Planting Grant category. The hypothesized 40% substitution

rate would entail using 120,000 ODT per annum of wood fuel.17

7.2. Irish cement, Mungret, Co Limerick

Circa 33% of the theoretically available forestry land is

privately owned. The estimated pulpwood resource in these

private forests amounts to 16,200 ODT per annum, of which

58% is in the Planting Grant category. The 40% substitution

rate would entail using 71,000 ODT per annum of wood fuel.

7.3. Quinn cement, Ballyconnell, Co Cavan

Circa 27% of the theoretically available local forestry land is

privately owned. The estimated pulpwood resource from

these private forests amounts to 9400 ODT, of which 54% is in

the Planting Grant category. The 40% substitution rate would

entail using 87,000 ODT per annum of wood fuel.

None of the three plants in question has so far expressed

any interest in developing indigenously-grown woodchip as

a substitute kiln fuel. Nor do any of the plants appear willing

to consider the use of imported wood fuel. This partly reflects

legitimate technical concerns which are specific to clinker

production; variations in the chemical or thermal properties

of the kiln fuel material may cause temperature fluctuations

in the clinkering process and hence affect the quality of the

final cement product. However, the unwillingness may also

reflect logistical problems which presumably would also apply

to peat-fired power stations. Woodchip has a much lower

calorific value per delivered Tonne than coal or peat, and its

bulk density is substantially lower than that of these fuels.

Additional investment in materials handing equipment would

therefore be required in the case of retrofit to existing plants.

Moreover, supplying 40% of a cement kiln’s thermal load with

wood fuel would entail a doubling of the number of daily fuel

deliveries by lorry. In this regard, it is worth noting that one of

the main environmental concerns expressed by local resi-

dents objecting to the proposal by Lagan Cement to burn Meat

and Bone Meal was the likely impact on noise and traffic

congestion. The plant operator was able to demonstrate that

the use of MBM would entail only a minor increase in local

traffic.

8. Conclusions and policy implications

8.1. The Irish context

Although the supply of pulpwood and wood industry residues

in Ireland is set to increase by 30% over the period to 2016, the

demand for these products could feasibly increase by more

than 70% over the same period. Much of the expected demand

growth is expected to result from energy and environmental

policy initiatives developed in response to EU Directives.

17 The kiln was replaced in 2008. The new plant is more ther-mally efficient but has a higher daily throughput. Consequently,the annual fuel requirement is broadly similar to that of the oldplant.

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 8 1235

Despite the reference in Ireland’s NAP to the potential for

fossil-fuel substitution by forest-derived biomass, there is no

specific obligation on Ireland’s cement producers to undertake

such conversion projects. Of the four plants operating in

Fig. 2 – Forest parcels in proximity

Ireland, two would appear to have reasonable access to local

forest resources. However, neither of these producers appears

to regard the opportunity as commercially attractive at

present. Technical and logistical concerns, along with the

to cement plants in Ireland.

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 81236

prospect of a supply shortfall, would appear to be the major

barriers to adoption.

The largest contributors to expected demand growth in

Ireland are its peat-fired electricity generators. The use of

woodchip by such installations is likely to be driven by the

asset-owner’s ‘command and control’ target of 30% fuel

substitution by 2015 rather than any market-based incentive

from the EU ETS. The expected fuel switching could therefore

entail a marginal abatement cost which is substantially higher

than that associated with the prevailing cost of EU Allow-

ances. Such an obligation would impact directly on the costs

faced by State-owned electricity generators but could also

indirectly affect the competitiveness of other biomass users

such as CHP installations and firms in the panel board sector.

Such potential for unintended consequences means that the

situation needs to be kept under continual review.

8.2. The international context

Ireland is somewhat unusual in having peat-fired power

stations operating as base load electricity generators.

However, the interaction of national and EU climate change

policies on biomass-fired electricity generation does have

parallels in other Member States, notably the UK where

several coal-fired stations have recently started co-firing with

up to 10% crop-derived biomass, much of which is imported.

The relevant UK policy instrument is a Renewables Obligation

Certificate scheme which, it is hoped, will promote an

increased domestic supply of dedicated energy crops. In this

regard, it has been estimated [28] that the long term energy

potential from Short Rotation Coppice is vastly greater than

that from conventional forestry.

Although the economics of switching from coal to biomass

in cement production could in principle become commercially

viable as a result of Emissions Trading, the scope for increased

Table 4 – Hectares of forestry within 60 min drive of Irish cem

Ownership Category 0–30 min

Coillte Broadleaf forest 60

Cleared 2

Conifer forest 100

Mixed forest 51

Other forest

Coillte Total 213

Private Broadleaf forest 584

Cleared 9

Conifer forest 23

Mixed forest 143

Other forest 24

Planting Grant App 99

Private Total 882

Total – Republic

of Ireland

1095

Northern Ireland 0

Overall Total 1095

Source: FIPS.

use of forest-derived fuel within the European cement sector

appears to be very limited in the short term. The longer-term

use of dedicated energy crops as a substitute kiln fuel might be

logistically feasible, but it would require EU Allowance prices

to remain substantially higher than the levels currently

expected for 2008–2012. Moreover, whatever the level of EU

Allowance prices, there are likely to be other sources of

biomass (e.g. MBM) which offer a greater profit opportunity.

Nevertheless, during the run-up to EU Emissions Trading, the

EU’s leading cement producers lobbied the European

Commission about their concerns about loss of international

competitiveness as a result of EU Allowance costs. More

recently [29] the same producers have also expressed

concerns about the potentially damaging consequences of any

imposed technology standard that might set minimum

amounts for biomass use in the European cement industry.

They argue that placing such an obligation on the cement

sector could lead to increased competition for a scarce

biomass resource.

Acknowledgements

Neil Walker’s research at UCD was funded by an SEI/IRCSET

Special Energy Scholarship. The authors are grateful for the

information provided by the DAF Forest Service, the NI Forest

Service and COFORD. Assistance with the GIS analysis was

provided by Daniel McInerney of UCD’s Urban Institute. The

obi data was licensed through UCD UII.

Appendix.

The colour-shaded areas in Fig. 2 show the regions within

a journey time of 30, 45 or 60 min respectively from one or

ent (Drogheda).

31–45 min 46–60 min Total

20 47 127

102 104

214 1866 2180

22 356 430

1 1

256 2372 2842

968 1212 2764

1 10

87 132 242

530 613 1286

44 105 174

146 673 918

1777 2735 5394

2033 5108 8236

0 920 920

2033 6028 9156

Table 6 – Hectares of forestry within 60 min drive of Quinn cement (Ballyconnell).

Ownership Category 0–30 min 31–45 min 46–60 min Total

Coillte Broadleaf forest 111 406 344 861

Cleared 1753 2736 1321 5811

Conifer forest 6384 10596 7510 24489

Mixed forest 165 350 505 1019

Other forest 1 3 1 5

Coillte Total 8414 14090 9683 32187

Duchas Broadleaf forest 18 18

Conifer forest 14 14

Mixed forest 24 24

Duchas Total 56 56

Forest Parks Broadleaf forest 1 1

Cleared 13 17 33 62

Conifer forest 21 21 42

Parks Total 13 38 54 105

Private Broadleaf forest 1448 1181 2751 5381

Cleared 381 144 284 809

Conifer forest 548 540 684 1772

Mixed forest 484 395 871 1750

Other forest 70 45 99 215

Planting Grant App 3142 2918 5403 11,464

Private Total 6074 5224 10,092 21,390

Total – Republic

of Ireland

14,500 19,352 19,885 53,737

Northern Ireland 9307 8503 6914 24,723

Overall Total 23,807 27,855 26,798 78,461

Source: FIPS.

Table 5 – Hectares of forestry within 60 min drive of Irish cement (Limerick).

Ownership Category 0–30 min 31–45 min 46–60 min Total

Coillte Broadleaf forest 201 431 491 1123

Cleared 533 5831 9160 15,525

Conifer forest 1968 23,774 29671 55,413

Mixed forest 401 950 726 2077

Other forest 1 3 4

Coillte Total 3103 30,987 40,051 74,141

Duchas Broadleaf forest 18 98 116

Cleared 8 8

Conifer forest 5 101 106

Mixed forest 26 260 286

Duchas Total 49 466 515

Forest Parks Broadleaf forest 3 3

Cleared 42 27 69

Conifer forest 55 11 9 76

Parks Total 59 53 36 148

Private Broadleaf forest 1444 3864 3139 8447

Cleared 70 1036 1066 2172

Conifer forest 155 1089 733 1976

Mixed forest 684 882 1081 2647

Other forest 95 109 101 304

Planting Grant App 1737 9699 9870 21,306

Private Total 4185 16,678 15,990 36,853

Overall Total 7346 47,768 56,543 111,657

Source: FIPS.

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 8 1237

b i o m a s s a n d b i o e n e r g y 3 3 ( 2 0 0 9 ) 1 2 2 9 – 1 2 3 81238

more cement plants. Within each colour band, the forest

parcels are shown by dark shading.

Tables 4–6 respectively present a more detailed analysis of

the forest parcels by ownership and species type in the

vicinity of three of the four plants, namely

� the Irish Cement plant in Platin (Drogheda)

� the Irish Cement plant in Mungret (Limerick) and

� the Quinn plant in Ballyconnell.

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