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Challenges and opportunities for mobilizing sustainable bioenergy supply chains Tat Smith University of Toronto & IEA Bioenergy Task 43 “Biomass Feedstocks for Energy Markets” Theme 3: Reducing Our Carbon Intensity Biological Solutions Forum “Meeting Our GHG Goals”

Challenges and opportunities for mobilizing sustainable bioenergy supply chainsbio.albertainnovates.ca/media/60582/smith.pdf ·  · 2016-01-08Challenges and opportunities for mobilizing

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Challenges and opportunities for mobilizing

sustainable bioenergy supply chains

Tat Smith University of Toronto

&

IEA Bioenergy Task 43 “Biomass Feedstocks for Energy Markets”

Theme 3: Reducing Our Carbon Intensity

Biological Solutions Forum

“Meeting Our GHG Goals”

Acknowledgements

Colleagues involved with IEA Bioenergy inter-Task Strategic Project

‘Mobilising sustainable bioenergy supply chains’

Agricultural residues for bioenergy and bio-refineries

• Supply chain project leadership:

• Niclas Scott Bentsen (supply chain leader) & Inge Stupak

• University of Copenhagen

• Maria Wellisch and colleagues

• Agriculture and Agri-Food Canada

Boreal & temperate forests

• Supply chain project leadership

• Evelyne Thiffault

• NRCan – Canadian Forest Service

• International colleagues from 9 countries incl. Canada

Overall message—

Mobilizing Sustainable Bioenergy Supply Chains

The foundation for mobilising sustainable bioenergy supply

chains should be a competitive business case that is efficient

along the whole supply and value chain from the growing side to

energy markets and consumers.

Sustainability criteria can often be viewed as constraints on the

system, but also provide an adaptable framework that provides

an opportunity for all actors to engage and contribute to

sustainable deployment of bioenergy systems.

Challenges to resolve: • Develop competitive supply and value chains

• Quantify (+ / -) sustainability impacts of bioenergy supply chains

• Simplify governance of supply chains

GLOBAL BIOENERGY PERSPECTIVES

• Deployment level of IPCC scenarios by 2050

– 440-600 ppm CO2eq target: 80-150 EJ/year

– <440 ppm CO2eq target: 118-190 EJ/year

• Current bioenergy

– Modern bioenergy: 10-15 EJ/year

– Total bioenergy: 50 EJ/year

• Current production of other biomass

– Industrial roundwood: around 15 EJ/year

– Major agricultural crops: about 60 EJ/year.

Is a 10-fold increase likely, desirable, sustainable?

Forests and farms will continue to be a globally

important bioenergy feedstock… can we get greater

penetration?

Market penetration depends on: • Energy market development and penetration

• Feedstock supply chain complexity and cost

• Confidence in feedstock inventory estimates

• Development status of major conversion technologies

• Sustainability considerations

Forests and farms will continue to be a

globally important bioenergy feedstock… can we

get greater penetration?

Market penetration depends on: • Energy market development and penetration

• Feedstock supply chain complexity and cost

• Confidence in feedstock inventory estimates

• Development status of major conversion technologies

• Sustainability considerations

Source: The Globe & Mail, 12 Sept 2011

Canada’s electricity feedstocks, 2009

… a challenge to penetrate this sector by replacing existing capacity

8

Biomass share of total energy production

What challenges to moving % biomass up significantly?

(EIA, 2008; EUROSTAT, 2009)

FI & SE 80% share in

forest sector

( 320 PJ & 400 PJ

TGC)

CA ~80% share

in forest sector

(~600 PJ TGC)

Forests and farms will continue to be a

globally important bioenergy feedstock… can we

get greater penetration?

Market penetration depends on: • Energy market development and penetration

• Feedstock supply chain complexity and cost

• Confidence in feedstock inventory estimates

• Development status of major conversion technologies

• Sustainability considerations

Consider complexity of feedstock supply chains

All flows of assortments – farm & forest food, fuel, fibre

Sources: Filsberg et al. 2010 & http://www.openideo.com/

Swedish forest bioenergy supply chain Food supply chain

Forests and farms will continue to be a

globally important bioenergy feedstock… can we

get greater penetration?

Market penetration depends on: • Energy market development and penetration

• Feedstock supply chain complexity and cost

• Confidence in feedstock inventory estimates

• Development status of major conversion technologies

• Sustainability considerations

Source: Smith et al. 2009.

Biomass inventory studies conducted in Canada

for forest and agriculture sources of biomass

Huge variation in some estimates

… and what amount is sustainably and commercially available?

Forests and farms will continue to be a

globally important bioenergy feedstock… can we

get greater penetration?

Market penetration depends on: • Energy market development and penetration

• Feedstock supply chain complexity and cost

• Confidence in feedstock inventory estimates

• Development status of major conversion technologies

• Sustainability considerations

Conversion pathways – feedstocks to bioenergy and bio-based products

Source: E4tech 2009

IEA Bioenergy: ExCo:

2009:05

Development status of main technologies – upgrade, heat & power

Source: E4tech 2009

IEA Bioenergy: ExCo:

2009:05

Development status of main technologies – biofuels for transportation

Source: E4tech 2009

IEA Bioenergy: ExCo:

2009:05

Forests and farms will continue to be a

globally important bioenergy feedstock… can we

get greater penetration?

Market penetration depends on: • Energy market development and penetration

• Feedstock supply chain complexity and cost

• Confidence in feedstock inventory estimates

• Development status of major conversion technologies

• Sustainability considerations

Our responsibility & challenge:

Design low-impact systems • Identify risks to soils, water, biodiversity,

GHG balances

• Identify practices to mitigate risks

Develop standards and C&I for

sustainable management systems • Environmental

• incl. LCA

• Economic

• Social

Commit to certification of whole

value chain

Source: http://msue.anr.msu.edu & N.S. Bentsen 2013

Assessing risks – a soil conservation example

• There are multiple criteria for assessing soil conservation – Soil health

– Nutrient balances and availability

– Base cation status

– Crop growth

– Water quality

– Contribution to GHG balances

• Basis for risk assessment will vary according to intensity of management

… and, should we prevent damage or correct it later?

• Public & ENGO expectations continually increase…

Department of Geosciences and Natural Resource Management

University of Copenhagen

Source: N.S. Bentsen 2013

Straw removal is as

delicate issue. Soil

degradation is a threat to

future crop yields.

In the Danish scenarios,

soils with Dexter Ratio > 10

are excluded of straw

removal apart from straw

required for feed and

bedding.

Dexter ratio is the ratio

between soil carbon

content and clay content.

Soils of Canada

http://atlas.agr.gc.ca/agmaf; updated: 30 May 2011

What soil classification approaches are necessary?

Status of Canadian agricultural & forestry soil risk assessment research?

Increasing demand for Life Cycle Assessment of bioenergy systems…

Bird et al. -- IEA Bioenergy:ExCo:2011:03

A few points about certification systems and trade…

With more than 50 certification systems…

• Governance is increasingly complex

• Potential negative impacts along the whole supply chain

• Overlapping jurisdictions over Chain of Custody

• Trade may be restricted

• Can multiple governance systems be harmonized?

Fig. 10. World wood pellet trade streams above 10 ktonnes in 2010 based on [28,38,42,44,47,48].

Source: Lamers et al. 2012

Wood pellet trade streams, 2010

Global fuel ethanol trade in 2011 (net flow in ktonnes) (Assuming energy content = 27 GJ/tonnes)

(For Brazilian ethanol trade flows: Source: USDA, 2012; SECEX, 2012; CAMEX, 2013;

for the other trade flows: Source: Lamers, 2012)

Global trade in bioethanol, 2011

Global biodiesel trade in 2011 (net flow in ktonnes) (assuming energy content = 37.8 GJ/tonnes)

(Source: Lamers, 2012)

Global trade in biodiesel, 2011

Non-certified forest: 31% of managed forest

Managed Crown forestland in Canada

EU markets

Uncertified, but verified to comply with BMPs

100% certified SFM

Provincial policies and guidelines

EU standards

Voluntary certification: CSA, FSC, SFI

Certified forest: 69% of managed forest

Path 2

Path 1

Path 2

Graphics credit: Jessica Murray, University of Toronto.

Adapted from: Kittler et al. 2012

How well positioned are Canadian producers to deal with

multiple sustainability claims & levels of governance for Canadian exports to

EU markets? Note: EU standards for solid biomass not finalized

Overall message—

Mobilizing Sustainable Bioenergy Supply Chains

The foundation for mobilising sustainable bioenergy supply

chains should be a competitive business case that is efficient

along the whole supply and value chain from the growing side to

energy markets and consumers.

Sustainability criteria can often be viewed as constraints on the

system, but also provide an adaptable framework that provides

an opportunity for all actors to engage and contribute to

sustainable deployment of bioenergy systems.

Challenges to resolve: • Develop competitive supply and value chains

• Quantify (+ / -) sustainability impacts of bioenergy supply chains

• Simplify governance of supply chains

Urgent need for interdisciplinary collaboration

Forming new science-industry-policy communities

ecoENERGY Innovation Initiative

.

IEA Bioenergy inter-Task Strategic Project

„Mobilising Sustainable Bioenergy Supply Chains‟

The overall objective for 2013-15 period is to enhance the

mobilization of sustainable bioenergy supply chains globally.

• Identification of the necessary elements of a successful and

sustainable bioenergy supply chain.

• Develop new and existing frameworks that seek to

understand and explain the underpinning elements that

contribute to sustainable supply chains.

• Include elements of availability of feedstock, applicable

conversion processes, GHG balances, land use issues,

governance mechanisms and other aspects of bioenergy

production and supply.

• Integration across complex systems which leads to transfer

of knowledge to new and upcoming bioenergy technologies

or feedstocks in different regions of the world.

IEA Bioenergy inter-Task Strategic Project

„Mobilising Sustainable Bioenergy Supply Chains‟

Supply chains proposed in Rotterdam (March 2013):

• Boreal & temperate forests

• Regional biogas production from organic residues

• Agricultural residues for bioenergy and bio-refineries

• Integration of lignocellulosic crops into agricultural

landscapes

• Cultivating pastures and grasslands: the sugar cane

ethanol case

Thanks!

Questions?

[email protected]

http://www.ieabioenergytask43.org/