Memorandum submitted by WWF (Bio 28)
INTRODUCTION
1. The power and the transport sector are
major contributors to the UK's carbon dioxide (CO2)
emissions. If the UK is to play its part in cutting CO2
emissions in line with keeping the global average temperature
below a 2C increase compared with pre-industrial levels—a
widely recognised "tipping point"—then a radical
shift is needed in the UK and globally. As well as greatly improving
our energy efficiency and reducing demand for energy, there must
be a switch from polluting to clean fuels, for the UK's heat,
electricity and transport needs.
2. Modern and carbon-neutral biomass fuels[46]
have the potential to become a key source of electricity and heat
in the next 20 years.[47]
Compared to the intermittent renewable energies, such as wind
and solar, biomass fuels offer the advantage that they can be
stored and therefore used when needed. This increases the application
of biomass fuels as a valuable alternative to replace coal in
power plants, especially if domestic micro-generation and CH/CHP
schemes are properly supported and built. Also, a reasonable amount
(5-10%) of oil in transport fuels could be replaced with bio-fuels
too.
3. Research shows that there is an opportunity
for OECD countries to generate up to 15% of their electricity
requirements from sustainable biomass sources by 2020.[48]
Therefore, the potential global contribution of bio-energy in
2050 could be substantial, with an input estimated at 50%.[49]
Supporting the sustainable production and use of biomass is also
important for many communities in developing countries, as many
still aren't on conventional electricity grids and so rely on
the unsustainable use of firewood, dung and inefficient cookers
for heat, which have been linked to significant environmental
and health problems.
4. However, much more research is required
regarding the growing of bio-energy crops in order to ensure vulnerable
eco-regions are protected, as they may become at risk from expanding
bio-fuel production outside Europe, if robust safeguards and whole
life-cycle, worldwide footprint criteria are not applied as standard.
The eco-regions at most risk from exploitation are probably those
located in low-cost producing countries like Brazil, Zambia and
Australia.
5. Hence, while increasing bio-energy use
can help reduce greenhouse gas emissions, if not properly supported,
safeguarded and managed it could threaten the conservation of
forest, freshwater and coastal ecoregions that are priorities
for WWF.
THE ROLE
AND SCOPE
OF BIO-ENERGY
IN CONTRIBUTING
TO THE
ENERGY MIX
(i) When creating an economic level-playing
field, biomass fuels are cost-effective and easily accessible
sources of energy to replace fossil fuels.
(ii) At present preference should be given
to the use of energy crops in highly efficient combined heat and
power production or in direct heating. These applications offer
a greater carbon saving than using this valuable and finite resource
to produce electricity alone or for transport fuels. Indeed, processes
to produce biofuels for transport are often energy intensive,
significantly reducing the net carbon benefits.
(iii) Currently, bio-electricity represents
about 1% of the electricity production capacity in OECD countries,
with an installed capacity of about 18.4GW. Most bioelectricity
production in OECD countries is associated with forestry and wood
processing industry activities.
(iv) Most plants are of the combined heat
and power type and are based on a variety of combustion technologies,
where the heat produced is generally used for industrial process
heat or district heating. Some countries, such as Finland, have
considerable experience with co-firing biomass with fossil fuels
and waste.
(v) Bio-fuels are a rapidly growing industry:
exports of ethanol increased by 21% from 1990-2002; Brazil's ethanol
exports grew approx. 1000% since 2000, and EU production of biodiesel
grew 81% since 2002.
(vi) Pressure for a substantial increase
in bio-fuel production for transport use is set to increase in
light of the current oil price hikes, both in the developed and
in the developing world.
(vii) While a biomass industry base and
a readily available biomass feedstock are strong factors behind
the relatively more developed bioelectricity sector in some countries,
usually the development of bioelectricity has also been a result
of regulations favouring the input of bioelectricity into the
electricity grid and policies supporting the price of bioelectricity,
or due to taxes on the use of conventional fuels on environmental
grounds.
6. Therefore, a significant increase in
bioelectricity use will require strong policy commitment and needs
to be accompanied by regulations and guidelines that ensure its
environmental sustainability.
BIO-ENERGY
COSTS IN
COMPARISON TO
OTHER RENEWABLES
7. The cost of biomass fuel supply depends
on the cost of producing or recovering the biomass feedstock and
on the costs incurred during its transport and pre-processing
prior to use in electricity generating plants. Biomass feedstock
costs vary widely from negative values, in the case of some residues
requiring disposal, to relatively high costs in the case of some
dedicated energy crops.
8. The final cost of bioelectricity depends
on; the supply economics of biomass feedstock, the power generation
technology, the scale of operation and the extent to which retrofitting
is possible in the case of co-firing or parallel-firing with fossil
fuel (eg coal). Combined heat and power (CHP or cogeneration)
results in a more efficient use of biomass and could contribute
significantly to the economic viability of electricity from biomass.
9. Current bioelectricity costs from dedicated
combustion plants range between €60 and €120/MWh depending
on the type of combustion technology used and fuel cost. However,
much lower costs could be achieved in co-firing applications,
where suitable quantities of biomass can be supplied to existing
coal plants.
10. The largest potential for cost reduction
lies with gasification technologies, in part because of the efficiency
gains over combustion plants. Future bioelectricity cost from
dedicated plants fuelled with energy crops are likely to be about
€50-60/MWh.
11. Biomass energy schemes are estimated
to generate between 400 and 800 full time equivalent jobs per
GW of capacity installed. However, the greatest value of bioelectricity
schemes with regard to employment lies in the fact that quality
jobs could be generated where there is great need for them, in
particular in rural areas.
POSSIBLE MEASURES
AND ACTIONS
NEEDED TO
SUPPORT AN
INCREASE IN
BIO-ENERGY
DEMAND
(i) Stimulating bio-energy requires a cross-departmental
approach at government level.
(ii) Governments have a key role to play
in stimulating bio-energy demand through a package of measures
including preferential tariffs or quotas for biomass power, capital
grants, public procurement, demonstration projects, building regulations
and planning regulations.
(iii) Whilst calling for an increased use
of bioenergy, the EU must also endorse the mandatory eco-certification
of all bio-fuels in Europe and potentially heat and power, whether
they originate from domestic or imported sources. Thus, WWF believes
it is imperative that the EU establishes a legally binding eco-certification
scheme for both domestic and imported fuels, as this will help
to protect the environment.
(iv) The eco-certification must also cover
the climate benefits of any potential bio-fuel, as energy intensive
production methods may mean some bio-fuels offer any advantage
over conventional fuels in terms of overall CO2 emissions
reduction.
(v) Bio-energy can be developed without
conflicting or indeed competing with agriculture and forest (timber,
fibre, non-timber forest products) production or nature conservation
needs. National and regional governments should establish energy
strategies that include local and regional planning guidelines
to stimulate the development of biomass generation.
(vi) The raw material sources will need
to be determined at a regional/landscape/catchment level. These
will include existing forest resources, dedicated forests, short
rotation coppice, dedicated agricultural crops, and residues from
existing forest and agricultural operations.
ENVIRONMENTAL IMPACTS
12. The impact of increased biomass production
on water consumption and on freshwater biodiversity depends on
several factors:
(i) Crop type: whether it's biomass waste
or a specific energy crop.
(ii) Land area: whether the crop is replacing
an agricultural crop or requiring new land and new water resources.
(iii) Water availability and growth methods.
(iv) River basin linkage: are there upstream
or downstream impacts from the crops on freshwater eco-regions
and biodiversity?
13. Already millions of hectares of tropical
forest have been cleared to make way for the plantations of palm
oil, soy and sugar—all major sources for bio-fuels—leading
to huge biodiversity losses. As well as polluting soils and waters,
the use of pesticides on the crops also threatens biodiversity.
14. In considering the environmental impacts
of a bio-energy scheme WWF believes that:
(i) Site specific best methods of production
need to be further developed for all raw material sources, backed
up by methodologies ensuring effective implementation and monitoring.
(ii) There should be no conversion of natural
forest or High Conservation Value (HCV) habitats for energy production.
HCVs should be maintained or enhanced.
(iii) Production of biomass fuels should
not result in net negative impacts on habitats and/or biodiversity,
for example over-use of freshwater may need to be monitored and
safeguarded against.
15. WWF believes a number of key principles
are required to ensure that biomass is produced and used effectively
for sustainable electricity production, as summarised below:
(i) Life Cycle Analysis principles should
be applied to bio-electricity chains to ensure that any significant
impacts are dealt with and benefits are captured.
(ii) Bio-electricity schemes need to be
subject to rigorous Environmental Impact Assessments (EIAs) prior
to implementation to address local potential negative impacts
and capture value of benefits.
(iii) Good agricultural/forestry practices
must be followed which have been developed to suit local conditions.
(iv) The continuous development and introduction
of new varieties and clones that are suited to local soils and
climate is necessary to optimise productivity and minimise inputs.
(v) Biomass production practices must protect
and/or enhance soil organic matter.
(vi) The level of freshwater use should
be assessed throughout the production and conversion chain with
particular emphasis on impacts on watersheds.
(vii) Best available conversion technologies
(BATs) should be used to minimise emission to air and to other
environmental media. Combined heat and power (CHP) systems are
preferred.
(viii) Ash quality from conversion processes
should be monitored and efforts made to recycle ashes back to
land.
BIO-ENERGY—WWF
IS COMMITTED
TO:
(i) Promoting bio-energy as a viable alternative,
carbon neutral, renewable and environmentally sound source of
energy to consumers.
(ii) Working with the biomass industry and
the progressive parts of the power sector to promote biomass as
a replacement for unsustainable, dirty energy production and use.
(iii) Working with agriculture and forestry
sectors to promote sustainable supplies of biomass.
(iv) Calling on the national governments,
and intergovernmental organisations and other NGOs to develop
biomass strategies and incentives to stimulate biomass supply
in power generation.
(v) Developing good practice guidelines
for bio-energy raw material supplies.
(vi) Advocating the development of best
practice standards for integrated pollution prevention and control
for power generation plants.
WWF
February 2006
REFERENCES
Bauen et al, 2003, Bio-Power Switch:
a blueprint for achieving 15% of electricity from biomass in OECD
countries by 2020, Imperial College London and E4tech Consulting,
available on www.panda.org/climate.
UNDP, UN Department of Economic and Social Affairs,
World Energy Council, 2000, World Energy Assessment.
WWF-UK's responses to the UK CCP Review (March
2005), the Stern Review (December 2005) and the EAC inquiry "Keeping
the Lights on" (September 2005).
46 Biomass refers to all types of fuel, both
solid and liquid, from biological materials whereas bio-fuels
are liquids such as ethanol (from crops like sugar) or biodiesel
(from oil crops like rape seed and oil palm). Back
47
This paper focuses on modern bio-energy uses, eg conversion of
biomass in heat, electricity or transport fuels through an industrial
process. Back
48
Bauen et al, 2003, Bio-Power Switch: a blueprint for achieving
15% of electricity from biomass in OECD countries by 2020, Imperial
College London and E4tech Consulting, available on www.panda.org/climate. Back
49
UNDP, UN Department of Economic and Social Affairs, World Energy
Council, 2000, World Energy Assessment. Back
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