European countries will increase imports of solid biofuels to 50-80 million tons by 2020, as according to the REScoop 20-20-20 project it is expected to increase energy production from renewable sources to 20% in the European Union.
The project will be implemented, generally, due to modernization of number of existing power generation facilities and through conversion of power plants from coal to solid biofuels. The goal will be reached through construction of new power plants run on biomass as well.
Thus, Britain, Denmark and Italy are the main consumers on the European pellet market. It should also be noted that solid biofuel consumption in Sweden continues tо grow due to falling production of domestic wood pellets.
In particular, UK plans to start some energy projects soon, among which the important place is taken by Drax Power Station – the first power plant in UK that switched coal on wood pellets. The company plans to convert three of four coal units to biomass for the next 3-4 years. The first unit was successfully converted to biofuels in April of 2013 and its capacity amounted to 600 MW.
Lynemouth Power Station plans to be converted to wood granules too. Biomass will be delivered from North America, some countries of the Baltic region, Portugal and Russia. The project will be finished by the end of 2015.
However, Tees Renewable Energy Plant could become one of the largest energy facilities run on biomass in the world. It is expected to enter commercial operation in 2015.
Dong Company in Denmark also is going to convert its heat and power plant to wood pellets, planned capacity of the facility is 585 MW. The cost of facility modernization is approximately € 14 million.
Biomasse Italia Company, which is one of the largest producers of alternative energy in Europe, in the near future launches two more power plants with production capacity of 500 GW/h.
Sweden will launch several energy projects as well. For example, in 2014 Karistad Enegri is going to convert thermoelectric plant to wood chips, production capacity of the plant is 30 MW. The project costs about € 115 million. It is also planed to launch even larger CHP with capacity of 130 MW on wood chips. The investment of the project amounts to € 500 million.
The analysts of Ukrainian Biofuel Portal pellets-wood.com have got to know that EU would perform more than 20 similar projects by 2020.
It should be noted that the main suppliers of pellets and wood chips to UK, Italia, Denmark and Sweden are USA, Canadian, Russian and some EU companies. Taking into account the trend of consumption of pellets and wood chips on the European market, these companies increase their biomass production.
For example, in Pskov (Russia) GS Group plans to construct wood pellet plant with the production capacity of 90 thousand tons of pellets per year. The entity expects to be finished by the end of 2015. The cost of the project is about € 12 million.
American New Liskeard Wood Pellet Plant plans to supply biomass to Europe as well. Production capacity of the object increases to 200 thousand tons. The cost of the plant amounts to $ 7.5 million.
In Ontario, Western Canada, two wood pellet plants are under construction as well. The project is funded by Rentech Company.
It is seen that in the European Union there is the trend of increasing of wood pellets and chips production that could reach 50-80 million tons by 2020. Mainly, the increase in biofuel consumption is seen in UK, Denmark, Italy and Sweden. USA, Canada and Russia are the main exporters on the EU biomass market.
Author: Ivan Prokhorov
