Tree-based Bioenergy Opportunities A primer on tree-based bioenergy for power, heating and industrial use

Meghan  Sapp  Secretary  General              

Types of tree-based biofuels � Liquid fuels

�  Biodiesel from oilseeds �  Electricity �  Cooking �  Transport

� Solid fuels �  Forestry & wood residues � Wood

�  Combined Heat & Power (CHP/co-generation) �  Pellets

�  Co-firing �  Torrefaction

� Gaseous fuels �  Dry waste or woodàGasification � Wet wasteàBiogas

Uses for biofuels

Industrial Electricity Heating Cooling

Household Electricity

Heating Cooking

Transport Blending Drop-in Aviation

Tree-based biofuels in practice •  Zambia: Copperbelt Energy Corporation

•  1 million litre/day biodiesel production for internal use •  1MW gasification plant for rural electrification

•  Kenya: EcoFuels Kenya (EFK) use moringa for biodiesel, chicken feed, fertilizer & briquettes

•  US: 2015 est. wood biomass power production 118,000 MWh/day •  59,000 MWh per day from waste biomass •  2014 production up 7.5% over 2013 at 43.05 million MWh

•  UK: Entrade’s E3 22kW gasification mini-CHP in Cheshire with 4-year payback

•  UK: Twinwoods Heat & Power in Bedfordshire 3.4MWe CHP biomass power station will produce 27,000 MWh of electricity and 8,000 MWh district heating

Tree-based biofuels in practice

Value  addi4on  

Product  diversifica4on  

Mul4ple  markets  

Energy  independence  

Job  crea4on  

Economic  sustainability  

Market & trade opportunities

Trade Opportunities

Pellets & briquettes

Transport fuels • Regional fuel market • B2-B100 • Ag machinery

On-grid

Off-grid

Industrial & agriculture co-location • Cooling • Heating

Investment needs

Project Development

Finance Project

Bundling Blended Finance

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PANGEA,  Everest  Energy  &  GMSP  

OUR  SERVICES  

Qualita4ve  Analysis  

Quan4ta4ve  Analysis  

Investment  presenta4on  

 

Informa4on  Memo   .  Risk  

Analysis  Risk  

Evalua4on  Risk  

Cockpit  Policy  Advice  

Investor  Presenta4on  

Fund  Development  

Investment  nego4a4on  

Bridging the finance gap

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Preliminary  Project  Screening  

Project  Structuring  Investment  

Pitch  Match  Making  

EVEREST  ENERGY  

Funding    Closure  

Bridging the finance gap

Policy needs

National mandate with targets • EU 20-20-20 • EU 2030 targets: 27% bio-power • US: Northeast bio-heat mandates

Support programs • USDA Rural Energy for America Program: $68 million for 580 projects in 2014 • Began under 2008 Farm Bill, renewed under 2014 Farm Bill

• EU double-counting for waste-based fuels

Enabling frameworks • FiTs • Mini-grid policy • Sustainability criteria • US: Proposed Clean Distributed Energy Grid Integration Act and the Heat Efficiency through Applied Technology (HEAT) Act

Role of SE4ALL •  Overview of SE4ALL •  PANGEA: Africa lead for Sustainable Bioenergy HIO •  Focus areas:

•  Sustainable transport •  Reducing post-harvest losses •  Financing bioenergy

•  Engaging private sector to promote project implementation

12

PANGEA-ARE bioenergy "mini-grids paper �  Technology overview

�  Biogas �  Solid biomass �  Co-generation �  Liquid biofuels

�  Sustainability requirements

�  Regional case studies �  South Africa �  Philippines �  India �  Liberia

�  Policy recommendations

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Policy recommendations

�  Set policy targets to promote biomass-powered mini-grids, reducing investor risk and encouraging private sector investment �  « Open for Business »

�  Match policy targets with awareness raising for both communities and investors

�  Public sector and donor support to help bridge the financing gap to achieve project bankability

�  Support for community financing models to ensure farmer participation

�  R&D support for technology development, adaptation and inclusive business models

PANGEA-ARE bioenergy "mini-grids paper

Thank you for your attention.

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