Chapter 12 Bioenergy 12.1Summary Key messages • Bioenergyisaformofrenewableenergyderivedfrombiomass(organicmaterials)togenerate electricityandheatandtoproduceliquidfuelsfortransport. • ThepotentialbioenergyresourcesinAustraliaarelargeanddiverse.Unusedbiomassresidues andwastesareasignificantunder-exploitedresource. • Bioenergyoffersthepotentialforconsiderableenvironmentalbenefits.Atthesametime,good managementoftheresourceisneededtoensurethatproblemsassociatedwithuseoflandand waterresourcesareavoided. • Commercialisationofsecondgenerationtechnologieswillresultinagreateravailabilityofnonediblebiomass,reducingtheriskofadverseenvironmentalandsocialimpacts. • Australia’sbioenergyuseisprojectedtoincreaseby60percentfrom2007–08to2029–30. 12.1.1 World bioenergy resources and market • Currentglobalbioenergyresourcesusedfor generating electricity and heat are dominated by forestryandagricultureresiduesandorganicwaste streams.Asmallproportionofsugar,grainand vegetableoilcropsareusedforbiofuelproduction. • Bioenergyrepresentsaround10percentofthe world’sprimaryenergyconsumption.Around81 percentofworldbioenergyconsumptionoccurs innon-OECDcountries,whereitismostlyused fordirectburning. • In2007,theglobalshareofbioenergyintotal electricitygenerationwasonly1.3percent. However,worldelectricitygenerationfrom bioenergyresourcesisprojectedbytheIEAinits referencecasetoincreaseby5percentperyear to2030anditsshareofbioenergygenerationis projectedtoreach2.4percentin2030. • Biofuelscurrentlyrepresent1.3percentofglobal useoftransportfuels.By2030,theshareof biofuelsintotaltransportfuelsisprojectedbythe IEAtoincreaseto4.0percent. 12.1.2Australia’sbioenergyresources • CurrentlyAustralia’sbioenergyuseforgenerating heatandelectricityissourcedmainlyfrom bagasse(sugarcaneresidue),woodwaste,and captureofgasfromlandfillandsewagefacilities (figure12.1). • Biofuelsfortransportrepresentasmall proportionofAustralia’sbioenergy.Ethanolis producedfromsugarby-products,wastestarch andgrain.Biodieselisproducedfromused cookingoils,tallowfromabattoirsandoilseeds. • ThereispotentialtoexpandAustralia’sbioenergy sectorwithincreasedutilisationofwoodresidues fromplantationsandforests,wastestreamsand non-edible biomass. 12.1.3KeyfactorsinutilisingAustralia’s bioenergy resources • Theproportionofbiomasspotentiallyavailable forbioenergyisdependentonawiderange offactorssuchasfeedstockprices,seasonal availabilityandtherelativevalueofbiomassfor theproductionofothercommodities. • Akeyconsiderationintheexpansionofthe bioenergy industry is to ensure sustainable use ofresourcestoavoidanypotentialnegative environmental and social impacts. • Thecommercialisationofsecondgeneration technologieswillopenuparangeofnew feedstocksfromnon-ediblebiomass(e.g.woody partsofplants)forbiofuelsandelectricity generation.Thesesecondgenerationfeedstocks canbeproducedonlessfertileagricultural lands and can potentially provide environmental benefits.Somesecondgenerationfeedstocks, suchasalgae,canbegrownwithsalineorwaste waterratherthanutilisingfreshwaterresources. AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 309 310 Figure 12.1 LanduseandbioenergyfacilitiesinAustralia Note: Areasdepictedasunderirrigationareexaggeratedforpresentation source: GeoscienceAustraliaandBureauofRuralSciences 12.1.4Australia’sbioenergymarket • Bioenergyaccountedforonly4percentof Australia’sprimaryenergyconsumptionin 2007–08,butitrepresented78percentof Australia’srenewableenergyuse. • ThemajorityofAustralia’sbioenergyuseis sourcedfrombagasseandwoodwaste,which represents92percentofbioenergyusefordirect heatandelectricitygeneration.Biogasrepresents 6percentofbioenergyuseandtheremaining2 percentisbiofuelsfortransportfuel. • ABARE’slatestAustralianenergyprojectsinclude theRenewableEnergyTarget(RET),a5percent emissions reduction target and other government policies.BioenergyuseinAustraliaisprojected toincreaseby2.2percentperyearto340 petajoules(PJ)in2029–30(figure12.2). • Electricitygenerationfrombioenergyisprojected toincreasefrom2terawatthours(TWh)in2007– 08to3TWhby2029–30growingatanaverage rateof2.3percentperyear(figure12.3). AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT 12.2Backgroundinformation andworldmarket 12.2.1Definitions Bioenergydenotestheuseoforganicmaterial (biomass)asasourceofenergyforpowergeneration and direct source heat applications in all energy sectorsincludingdomestic,commercialandindustrial purposesaswellastheproductionofliquidfuels fortransport. Bioenergyisaformofrenewableenergy.Biomass releasescarbondioxide(CO2)andsmallamountsof othergreenhousegaseswhenitisconvertedinto anotherformofenergy.HoweverCO2 is absorbed duringtheregrowthoftherestoredvegetation through photosynthesis process. Biomass is vegetable and animal derived organic materials,whicharegrown,collectedorharvested forenergy.Examplesincludewoodwaste,bagasse andanimalfats. A conventional combustion process converts solid biomass through direct burning to release energy intheformofheatwhichcanbeusedtogenerate C H A P T E R 1 2: B IOENER GY 350 5.0 300 4.4 3 1.0 3.8 2 1.9 100 TWh PJ 2.5 150 % 3.1 200 0.5 % 250 1 1.3 50 0.6 0 0 0 0 1999- 2000- 2001- 2002- 2003- 2004- 2005- 2006- 2007- 202900 01 02 03 04 05 06 07 08 30 1999- 2000- 2001- 2002- 2003- 2004- 2005- 2006- 2007- 202900 01 02 03 04 05 06 07 08 30 Year Year Bioenergy consumption (PJ) Share of total (%) AERA 12.2 Bioenergy electricity generation (TWh) Share of total (%) AERA 12.3 Figure 12.2 Projectedprimaryconsumptionofbioenergy in Australia Figure 12.3 Projectedelectricitygenerationfrom bioenergy in Australia source: ABARE2009a;ABARE2010 source: ABARE2009a;ABARE2010 electricityandheat.Chemicalconversionprocesses breaksdownthebiomassintofuels,intheformof biogasorliquidbiofuels,whicharethenusedfor electricity generation and transport. generate electricity and heat include agricultural and forestresidues,andmunicipalwastesandresidues. Biofuelsareproducedfromwasteproducts,grain (sorghum) and oil-bearing crops. Australian bioenergy production is mainly consumed domestically. Biogasiscomposedprincipallyofmethaneand CO2producedbyanaerobicdigestionofbiomass. Itiscurrentlycapturedfromlandfillsites,sewage treatmentplants,livestockfeedlotsandagricultural wastes. Biofuelsareliquidfuels,producedbychemical conversion processes that result in the production ofethanolandbiodiesel.Biofuelscanbebroadly grouped according to the conversion processes: • First generation biofuels are based on fermentationanddistillationofethanolfrom sugar and starch crops or chemical conversion ofvegetableoilsandanimalfatstoproduce biodiesel. First generation technologies are proven and are currently used at a commercial scale. • second generation biofuels use biochemical or thermochemical processes to convert lignocellulosicmaterial(non-ediblefibrousor woodyportionsofplants)andalgaetobiofuels. Secondgenerationtechnologiesandbiomass feedstocksareintheresearch,developmentand demonstration(RD&D)stage. • Third generation biofuels are in research anddevelopment(R&D)andcomprise integratedbiorefineriesforproducingbiofuels, electricity generation and bioproducts (such as petrochemical replacements). 12.2.2Bioenergysupplychain Figure12.4providesaconceptualrepresentationof Australia’scurrentbioenergyindustry.Currently,there isawiderangeofbioenergyresourcespotentially availableforbioenergyutilisation.Biomassusedto Thereisarangeoftechnologiescurrentlyavailable forconvertingbiomassintoenergyforelectricity andheatgenerationand/ortransportbiofuels. Thetechnologiesarebasedoneitherthermalor chemical conversion processes or a combination. Thefueltype(inparticulartheheatingvalueand moisture) and the conversion technology have an effectonenergyconversionefficiency.Theenergy conversionefficiencyforwoodwasteinadirect combustionfacilityisabout35percent,comparedto between70and85percentefficiencyinacombined heatandpowerfacility. electricity and heat generation InAustralia,biomasselectricitygenerationis predominantlyfrombagasse(sugarcaneresidues) bysteamturbine,withsomecogeneration installation.Severalwoodwastebioenergyfacilities use steam turbines and fluidised bed combustion technologies.Thereisminorelectricitygenerationfrom co-firingwithcoal,andfacilitiesusingurbanwaste. Biogasfromlandfillandsewagefacilitiesarelocated in urban centres and generate electricity bymeansofreciprocatingengineorgasturbine. Somefacilitieshavecogenerationinstallations. Transport biofuels Asmallamountofbiofuelsisusedinthetransport sector.InAustralia,firstgenerationbiofuelsconsist ofethanolproducedfromC-molassesandwheat starchby-productsandgrain(mainlysorghum),and biodieselpredominantlyproducedfromtallow(animal fats)andusedcookingoil. AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 311 Development and Production Resources Processing, Transport, Storage End Use Market Development decision Biogas projects Industry Electricity and Heat Generation Commercial Direct Burning Resource potential Biomass projects Residential Processing Biofuels projects Processing (biofuels) Export Storage Transport AERA 12.4 Figure 12.4 Australia’sbioenergysupplychain source: ABAREandGeoscienceAustralia Table 12.1 Keybioenergystatistics 312 Primary energy consumption unit australia 2007–08 OeCD 2008 World 2007 PJ 226 9317 48980 Shareoftotal % 3.9 4.1 9.7 Averageannualgrowth,since2000 % 0.3 3.0 1.9 255 electricity generation Electricity output TWh 2.2 214 Shareoftotal % 0.9 2.0 1.3 Averageannualgrowth,since2000 % 8.7 4.8 6.0 Electricity capacity GW 0.87 1.6 na Transport PJ 4.9 987 1207 Shareoftotal % 0.4 1.9 1.3 Averageannualgrowth,since2000 % - 29.9 22.9 source: IEA2009a;ABARE2009a 12.2.3Worldbioenergymarket Resources Around10percentoftheworld’sprimaryenergy consumptioncomesfrombioenergy(table12.1). Theshareofbioenergyinprimaryenergy consumptionishigherinnon-OECDcountriesthan inOECDcountries.InAustralia,thebioenergy shareiscomparabletotheOECDaverage,at around4percent.Themajorityoftheworld’s bioenergyisuseddirectlyforheatproduction throughtheburningofsolidbiomass;only4per centisusedforelectricitygenerationandanother 2.5percentisintheformofbiofuelsusedinthe transport sector. Globalbioenergyresourcesaredifficulttoquantify duetotheresourcesbeingcommittedtofood,animal feedandmaterialforconstruction.Theavailabilityof biomassforenergyisalsoinfluencedbypopulation growth,diet,agriculturalintensity,environmental impacts,climatechange,waterandlandavailability (IEABioenergy2008). AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT Currentbioenergyresourcesconsistofresidues fromforestryandagriculture,variousorganicwaste streamsanddedicatedbiomassproductionfrom pastureland,woodplantationsandsugarcane. C H A P T E R 1 2: B IOENER GY Unusedresiduesandwasteareasignificantunderexploitedresource. Atpresent,themainbiomassfeedstocksfor electricityandheatgenerationareforestryand agriculturalresiduesandmunicipalwastein cogenerationandco-firingpowerplants.In2007, fuelwooddominates(67percent)theshareof biomasssourcesinthebioenergymix(figure12.5). Fuelwoodisusedinresidentialapplicationsin inefficientstovesfordomesticheatingandcooking, whichisalsoconsideredamajorhealthissuein developingcountries(IEABioenergy2009a).This traditionaluseisexpectedtogrowwithincreasing population,howeverthereisscopetoimprove efficiencyandenvironmentalperformance. Themaingrowthmarketsforpowergenerationfrom bioenergyaretheEuropeanUnion,NorthAmerica, CentralandEasternEuropeandSoutheastAsia (IEABioenergy2007).Chinacontinuestoincrease powergenerationfromindustry-scalebiogas(mainly livestockfarms)andstrawfromagriculturalresidues. Thesugarindustryinmanydevelopingcountries continuestobuildbagasse-fuelledpowerplants (REN212009). Asmallshareofsugar,grainandvegetableoilcropsis usedfortheproductionofbiofuels.Thereisincreasing interestintransportbiofuelsinEurope,Brazil,North America,Japan,ChinaandIndia(IEABioenergy2007). Thereispotentialtoexpandtheuseofconventional cropsforenergy;howevercarefulconsiderationofland availabilityandfooddemandisrequired. Thereisamaturecommercialmarketforfirst generationbiofuels.Biofuelsfromcommercially available technology are more prospective in regionswhereenergycropproductionisfeasible: forexample,sugarcaneinsubtropicalareasof SouthAmericaandsub-SaharanAfrica,andsugar beetinmoretemperateregionssuchastheUnited States,ArgentinaandEurope.Inthelongerterm, lignocellulosic crops could provide bioenergy resourcesforsecondgenerationbiofuelswhich areconsideredmoresustainable,providelanduse opportunitiesandwillreducethecompetitionwith foodcrops. Primary energy consumption Worldprimaryconsumptionofbioenergywas 48980PJin2007(table12.1).From2000to2007 worldbioenergyuseincreasedatanaveragerate of1.9percentperyear.OECDcountriesaccounted for19percent(9317PJ)ofworldbioenergy consumption;howevertheaveragerateofgrowthin consumptionwas3percentperyearfrom2000to 2008,fasterthantheworldaverage. In2007,Chinawasthelargestuserofbioenergy, consuming8145PJ,followedbyIndia(6771PJ) andNigeria(3582PJ)(figure12.6).Themajorityof Forest residues 1% Charcoal 7% Black liquor 1% Wood industry residues 5% Recovered wood 6% Animal by-products 3% Fuel wood 67% Agriculture 10% Agricultural by-products 4% Energy crops 3% Municipal solid waste and landfill gas 3% AERA 12.5 Figure 12.5 Shareofbiomasssourcesintheworld primarybioenergymixin2007 source: IEABioenergy2009a a) Bioenergy use China India 313 Nigeria United States Brazil Indonesia Pakistan Vietnam Germany Ethiopia Australia 0 2000 4000 6000 8000 9000 PJ b) Share in total primary energy consumption China India Nigeria United States Brazil Indonesia Pakistan Vietnam Germany Ethiopia Australia AERA 12.6 0 20 40 60 80 100 % Figure 12.6 Primaryconsumptionofbioenergy, bycountry,2007 source: IEA2009a AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT a) Electricity generation from bioenergy a) Biofuels use United States United States Germany Germany Japan Brazil Brazil France United Kingdom China Sweden Canada Finland Spain Canada Netherlands Italy United Kingdom France Sweden Australia Australia 0 10 20 30 40 50 60 70 0 80 100 200 300 TWh 500 600 700 b) Share in total transport fuels use b) Share in total electricity generation United States United States Germany Germany Japan Brazil Brazil France United Kingdom China Sweden Canada Finland Spain Canada Netherlands Italy United Kingdom France Sweden Australia AERA 12.7 0 2 4 6 8 10 12 Australia 14 AERA 12.8 0 1 2 3 4 5 6 7 8 % % 314 400 PJ Figure 12.7 Electricitygenerationfrombioenergy, bycountry,2007 Figure 12.8 Biofuelsusefortransport,bycountry,2007 source: IEA2009a source: IEA2009a bioenergyuseinChina,IndiaandNigeriaissolid biomassusedintheresidentialsector.Bioenergy representedarelativelysmallproportionof China’stotalprimaryenergyconsumption,with ashareof10percent,whileNigeria’sbioenergy userepresented80percentofitstotalprimary energyconsumptionandEthiopia’sbioenergyuse represented90percentofitsenergyconsumption (figure12.6). Whilebioenergyuseishigherinnon-OECDcountries, itisofconsiderablymoresignificanceforelectricity generationinOECDcountries.Bioenergyforelectricity generationrepresents17percentoftotalbioenergy consumptioninOECDcountries,comparedtoonly 1percentinnon-OECDcountries(IEA2009a). electricity generation Asmallproportionoftheworld’selectricity generationissourcedfrombioenergy.In2007, theglobalshareofbioenergyintotalelectricity generationwasonly1.3percent(table12.1). Despiteitssmallshare,electricitygeneratedfrom bioenergyincreasedatanaveragerateof6percent peryearfrom2000to2007,toreach255TWh. Insomecountries,theshareofbioenergyintotal electricitygenerationissignificantlyhigherthanthe worldaverage.Finlandhadabioenergyshareof electricitygenerationofmorethan12percentin 2007(figure12.7).TheUnitedStatesisthelargest contributortototalworldelectricitygenerationfrom bioenergy,followedbyGermanyandJapan. AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT Worldwideprimarysolidbiomassisthemajor bioenergyfuelusedforelectricitygeneration.In2007, electricitygeneratedfromsolidbiomassrepresented 62percentofbioenergyelectricity,whilebiogas represented11percentandwasterepresentedthe remaining27percentofelectricityfrombioenergy. Transport biofuels TheUnitedStatesistheworld’slargestconsumer ofbiofuels,using619PJin2007(figure12.8). However,biofuelsrepresentonly2.3percentoftotal transportfuelsuseintheUnitedStates.Germany andBrazilfollowtheUnitedStatesaslargebiofuels users.Biofuelsrepresentalargershareoftotal transportfuelsuseinGermanyandBrazil,7.2per centand6.0percent,respectively. Trade Theincreaseindemandforbiomassfeedstock(e.g. woodchips,vegetableoilsandagriculturalresidues) C H A P T E R 1 2: B IOENER GY andbioenergycommodities(e.g.ethanol,biodiesel andwoodpellets)hasseentherapidgrowthin internationaltrade(IEABioenergy2009b).Themain biomassfeedstocksandbioenergycommodities traded and the trade routes include: oilseedcrops,aswellasutilisingthelargevolumes ofunusedresiduesandwastes.Lignocellulosiccrops areexpectedtocontributeinthemedium-tolongterm.Algaecouldmakeasignificantcontributionin thelongerterm(IEABioenergy2009b). • ethanolfromBraziltoJapan,UnitedStatesand westernEurope; Electricity and heat generation • woodpelletsfromCanada,UnitedStatesand easternEuropetowesternEurope;and • palmoilandagriculturalresiduesfromBraziland SoutheastAsiatowesternEurope. Inaddition,thereisasubstantialamountoftrade withinEurope. World market outlook for bioenergy to 2030 BioenergyuseisprojectedbytheIEAtoincrease moderatelyto2030,withtransportbiofuelsgrowing ataslightlyfasterratethanelectricitygeneration frombioenergy.Amongnon-transportuses,an increasingproportionofbioenergyisprojectedtobe devoted to electricity generation rather than direct burningofbiomass,inlinewithgrowingelectricity demand,particularlyinnon-OECDcountries. Globaldemandforbioenergyresourcesisexpected toincreasewiththeprojectedgrowthinbioenergy use.Intheshort-term,demandforbioenergy resourcesarelikelytobemetbysugar,starchand TheIEAprojectsworldelectricitygenerationfrom bioenergytoincreaseto839TWhby2030,growing atanaveragerateof5.3percentperyear(table 12.2).Theshareofbioenergyinelectricitygeneration isnotprojectedtoincreasesignificantly,reaching only2.4percentin2030,from1.3percent currently.Electricitygenerationfrombioenergyis projectedtoincreaseatafasterrateinnon-OECD countriesthaninOECDcountries,althoughfroma smaller base. Thebiggestincreasesinelectricitygenerationfrom bioenergyareprojectedtooccurintheUnitedStates, EuropeandChina.Thecostsofpowergeneration fromrenewables,includingbioenergy,areexpected tofallovertimeasaresultofincreaseddeployment. Transport biofuels Worldwideuseofbiofuelsisprojectedtoincreaseat anaveragerateof6.9percentperyearto5568PJ by2030(table12.3).Innon-OECDcountries,biofuels useisprojectedtoincreaseatanaveragerateof11.2 percentperyear,whereasitisprojectedtoincrease 315 Table 12.2 IEAreferencecaseprojectionsforworldbioenergyelectricitygeneration OeCD Shareoftotal Averageannualgrowth,2007–2030 Non-OeCD Shareoftotal Averageannualgrowth,2007–2030 unit 2007 2030 TWh 217 492 % 2.0 3.7 % - 3.6 TWh 41 347 % 0.5 1.6 % - 9.7 TWh 259 839 Shareoftotal % 1.3 2.4 Averageannualgrowth,2007–2030 % - 5.2 World source: IEA2009b Table 12.3 IEAreferencecaseprojectionsfortransportbiofuelsconsumption unit 2007 2030 OeCD PJ 963 3056 Shareoftotal % 1.9 5.8 Averageannualgrowth,2007–2030 % - 5.1 Non-OeCD PJ 461 2512 Shareoftotal % 1.0 2.9 Averageannualgrowth,2007–2030 % - 7.6 World PJ 1424 5568 Shareoftotal % 1.5 4.0 Averageannualgrowth,2007–2030 % - 6.1 source: IEA2009b AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 12.3Australia’sbioenergy resources and market atarateof5percentperyearinOECDcountries. However,theshareofbiofuelsintotaltransportfuel useisprojectedtoremainatlessthan3percent innon-OECDcountries,whileinOECDcountriesitis projectedtoincreasetoalmost6percent. 12.3.1Bioenergyresources Bioenergyresourcescurrentlyused,potentialfuture resources and the bioenergy outputs are summarised intable12.4.Thereisarangeofbioenergyresources (feedstocks)availableformultipleconversion technologies to generate electricity and heat and producebiofuels.Bioenergyresourcesaredifficult to estimate due to their multiple and competing uses.Thereareproductionstatisticsforcurrent commoditiessuchasgrain,sugar,pulpwoodand sawlogs;howeverthesecommoditiesarecurrently largelycommittedtofood,animalfeedandmaterials markets.Theycouldbeswitchedtothebioenergy marketincertainconditions,butthismaynotbethe highestorderuseforthem. Biofuelsuseisnotexpectedtoincreasesignificantly intheshortterm.Thefallinoilpricesattheendof 2008affectedtheprofitabilityofbiofuelsproduction andledtothecancellingofmanyplannedbiofuels projectsaroundtheworld.Manycountrieshave scaledbacktheirbiofuelspoliciesasaresultof concernsovertheimpactofbiofuelsonfoodprices, landandwaterresourcesandbiodiversity,further affectingtheprofitabilityofbiofuelsproduction. Biofuelsproductionanduseisprojectedtorecoverin thelongerterm,however,aidedbysecondgeneration productiontechnologies.Secondgenerationbiofuels areprojectedtorepresentalmost25percentofthe increaseintotalbiofuelsproductionovertheperiod to2030(IEA2009b). Australia’spotentialbioenergyresourcesarelarge. Thereareunder-utilisedresourcesincropresidues, Table 12.4 Currentandfuturebioenergyresources Biomass groups Current resources Agricultural related wastesandbyproducts Livestockwastes: •manure •abattoirwastessolids By-products: •wheatstarch •usedcookingoil P Sugarcane Bagasse,fibrousresiduesof sugar cane milling process SugarandC-molasses P Energy crops Highyield,shortrotationcrops grownspecifically: •sugarandstarchcrops •oilbearingcrops–sunflower, canola,junceaandsoyabeans Forest residues Woodfromplantationforests P Wood related waste Sawmillresidues: •woodchipsandsawdust Pulp mill residues: •blackliquorandwetwastes P 316 Urbansolidwaste Bioenergy P Landfillgas Methaneemittedfromlandfills mainlymunicipalsolidwastes andindustrialwastes P Sewagegas Methaneemittedfromthesolid organiccomponentsofsewage P Note: P=electricityandheatgeneration;T=transportbiofuelproduction source:BattenandO’Connell2007;CleanEnergyCouncil2008 AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT Future resources Bioenergy T Cropandfoodresiduesfrom harvesting and processing: •largescale:ricehusks,cotton ginning,andcerealstraw •smallscale:maizecobs, coconut husks and nut shells P T Trash,leavesandtopsfrom harvesting P T Woody crops (oil mallee) GMcrops Treecrops Woodyweeds (e.g.CamphorLaurel) Newoilseed(Pongamia)and sugar (agave) crops Algae (micro and macro) P T Woodfromplantationforestsand nativeforestryoperations P T Foodrelatedwastes,garden organics,paperandcardboard material and urban timber P C H A P T E R 1 2: B IOENER GY plantationandforestresiduesandwastestreams. Thereisasignificantexpansionintoanewrangeof non-ediblebiomassfeedstockswiththedevelopment ofsecondgenerationtechnologies.Potential feedstocksofthefutureincludemodifyingexisting crops,growingofnewtreecropsandalgae. Therearemanyfactorstobetakenintoaccountfor eachbioenergyresource,suchasmoisturecontent, resourcelocationanddistribution,andtypeof conversionprocess.Differentsourcesofbiomass haveverydifferentproductionsystemsandtherefore caninvolveavarietyofsustainabilityissues.These rangefromverypositivebenefits(e.g.useofwaste material,orgrowingwoodybiomassondegraded agricultural land) through to large scale diversion ofhighinputagriculturalfoodcropsforbiofuels (O’Connelletal.2009a).Thereisalsoarangeof potentialimpactsontheresourcesincludingdrought, flood,fire,climatechangeandenergyprices.Future biomassfeedstocksfromagriculturalproductionare dependentonwhetherproductionareasexpandor reduce or yields increase. Theproportionofbiomasspotentiallyavailable willdependonthevalueofbiomassrelativeto competinguses,impactoftheirremoval(retention ofbiomassinsitureturnsnutrientstosoil,improves soilstructureandmoistureretention),andglobal oilprices.Therighteconomicconditionsmayresult insomeofthebiomasspotentiallybeingused forbioenergyproduction.Dependingontheprice point,biomassmaybedivertedtobiofuelsor electricitygeneration–sawmillresiduesotherwise soldforgardenproducts,forexample,orpulpwood chippedandexportedorusedforpaperproduction maybedivertedtobioenergyifitisahighervalue product. electricity and heat generation Currentbioenergyresourcesusedforgenerating electricityandheatarepredominantlyfromagricultural wastesandby-products,woodwaste,landfilland sewagefacilities(figure12.9).TheCleanEnergy Council(2008)identifiedsignificantpotentialfor growthinbioenergyproductionfromwastestreams, suchaslandfillandsewagegasandurbanwaste. 317 Figure 12.9 Distributionofbioenergyelectricityandheatgenerationfacilities Note: Areasdepictedasunderirrigationareexaggeratedforpresentation source: GeoscienceAustraliaandBureauofRuralSciences AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT A feedstocktoincludesugarcanetrash,topsand leaves. Otheragriculturalwastestreams,includingmanure fromlivestockraisedoryardedinconcentrated areas,aresuitableforgeneratingbioenergy.Waste material can be used to produce stationary energy andassistinreducingenvironmentalproblemsfrom wastedisposal,methaneemissionsandpollutionof watersupplies. Wood waste and forest residues are only used in afewbioenergyplantsinAustraliaforgenerating electricity.Forthepurposesofresourceassessment, itisassumedthatnativeforestwoodwastewill remainconstant;thepotentialfromplantations mayincreaseinlinewithplantationexpansion. Woodrelatedwasteforenergygeneration,while havingeconomicbenefits,alsohastobemanaged intermsofenvironmentalconsiderations.In Australia,governmentsatalllevels,haveestablished regulatorymechanisms,includingRegionalForest Agreements,aswellasotherspecificprovisions undertheRenewableEnergyTargetconcerningthe eligibilityforforestwoodwasteforbioenergyuse 318 Figure 12.10 Distributionofbiofuelplants Note: Areasdepictedasunderirrigationareexaggeratedforpresentation source: GeoscienceAustraliaandBureauofRuralSciences AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT C H A P T E R 1 2: B IOENER GY inordertomanagethesustainableuseofthese products.Theseregulatoryframeworksplacesome limitationsontheuseofwoodwasteinAustraliafor electricity generation. Theuseoflandfill gas (mainly methane) to generate electricityisarelativelymaturetechnology,which involvesinstallinganetworkofperforatedpipesinto anexistinglandfillandcapturingthegasgenerated fromwastedecomposition.Thecapturedgasis used to generate electricity using reciprocating gas engines.Mostfacilitiesarecentrednearthemajor urban centres and used locally. Bioreactorlandfilltechnologyacceleratestherate ofwastedecompositionmaximisinggasproduction byrecirculatingwaterthroughaspeciallydesigned landfill.Thistechnologyisbeingusedatthe WoodlawnBioreactor,adisusedopencutminein NewSouthWales.Thesiteaccepts300000tonnes ofsortedresidualwasteperyearandwillultimately supportupto25Megawatts(MW)ofgeneration capacity. sewage gas can be collected at treatment plants to generateelectricityandheat.Organicwasteisfed into an anaerobic digester to produce a methane-rich biogas then combusted in customised gas engines or gasturbines.Thermalenergyproducedbytheengine during combustion is recovered and used to heat the anaerobic digestion process. Transport biofuels Asatlate2009,therearethreemajorethanolplants andthreemajorbiodieselplantsinoperation,with atotalproductioncapacityofabout330million litres(ML)and175ML,respectively(figure12.10). EthanolproductionisfromC-molassesfromsugar processing,grain(mainlysorghum)andstarchfrom flourmilling.Biodieselproductionisfromtallowand usedcookingoil.Biodieselproductionisconstrained byalimitedavailabilityoflowcostfeedstocks,which areby-productsorwastestreams. 12.3.2Bioenergymarket Primary energy consumption Bioenergyaccountedfor78percentofAustralia’s renewableenergyusebutonly4percentof Australia’sprimaryenergyconsumptionin2007–08. Overthedecadefrom1999–2000to2007–08, bioenergyuseincreasedatanaveragerateofonly 0.3percentperyear.InAustralia,productionand consumptionofbioenergyareaboutequal,because thereiscurrentlyonlyverysmalltradeofbioenergy. Inmid2009Australia’slargestexporterofwood pelletssecuredtwothree-yearcontracts,totalling $130milliontosupplyEurope.Thewoodpelletswill beusedinco-firingplantsandhomeheatingmarkets. ThemajorityofAustralia’sbioenergyisfromwood andwoodwasteandbagasse.Australia’suseof woodandwoodwaste,predominatelyfordirectheat 240 220 200 180 160 PJ 140 120 100 80 60 40 20 0 1960-61 1966-67 1972-73 1978-79 1984-85 1990-91 1996-97 2002-03 2007-08 Year Biofuels Bagasse Landfill gas Wood, woodwaste AERA 12.11 Figure 12.11 Australia’sprimaryconsumptionofbioenergy source: ABARE2009a AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 319 Food, beverages, textiles 57.6% Other industry 1.1% Non-ferrous metals 1.2% Wood, paper and printing 9.3% 320 2.0 0.8 1.5 0.6 1.0 0.4 0.5 0.2 % Residential 29.1% 1.0 TWh Commercial and services 0.4% Road transport 1.4% 2.5 0 0 1989-90 1992-93 1995-96 1998-99 2001-02 2004-05 2007-08 Year Electricity generation (TWh) AERA 12.12 Share of total electricity generation (%) AERA 12.13 Figure 12.12 Australianbioenergyuse,byindustry, 2007–08 Figure 12.13 Australianelectricitygenerationfrom bioenergy source: ABARE2009a source: ABARE application,hasdeclinedovertime.Inthe1960s wooduserepresentedbetween70and85percent oftotalbioenergyuse,butasbagasseuseexpanded, thissharedeclinedto55–65percentinthe1970s andremainedrelativelyconstantinthe1980sand 1990s. predominantlyforheating.Therearealsosmall amountsofbioenergyusedinthetransportand commercial and services sectors. In2007–08,bagasseandwoodrepresented50per centand42percentofbioenergyuse,respectively. Landfillandsewagegasrepresented6percentof totalbioenergyuseandliquidbiofuelscomprisedthe remaining2percent(figure12.11). Bioenergy use, by industry Around58percentofAustralia’sbioenergyisused inthefoodandbeveragessector,specificallywithin thesugarindustry,whichusesbagassefromits sugar production to generate electricity and heat. Theresidentialsectoristhesecondlargestbioenergy user,accountingfor29percentofbioenergyuse (figure12.12).Thisisintheformofwoodused Electricity generation In2007–08,woodandwoodwasteandlandfill andsewagebiogasfuelinputstopublicelectricity generation(excludingcogeneration)were19.7PJ, whichgenerated2.2TWhofelectricity.Inaddition, 112PJofbagassewereusedasfuelwithinthefood, beveragesandtextilessector,themajorityofwhichis usedinsugarrefineriesincogenerationplants. Thecontributionofwood,woodwasteandbiogasto Australia’selectricitygenerationhasincreasedover thepasttwodecades.From1989–90to2007–08 bioenergyelectricitygenerationgrewatanaverage rateof6percentperyear.Theshareofbioenergyin totalelectricitygenerationincreasedmodestlyfrom 0.5percentto0.8percentoverthatperiod(figure 12.13). Table 12.5 Capacityofelectricitygenerationfrombioenergy(MW),2009 Biogas Bagasse Wood waste Other bioenergyb Total bioenergy NewSouthWalesa 73 81 Victoria 80 0 42 3 199 0 34 114 Queensland 19 377 15 4 415 SouthAustralia Western Australia 22 0 10 0 32 27 6 6 63 102 Tasmania 4 0 0 0 4 NorthernTerritory 1 0 0 0 1 australia 226 464 73 104 867 Shareoftotalrenewableelectricitycapacity(%) 2.2 4.4 0.7 1.0 8.3 a IncludestheACT.bUnspecifiedbiomassandbiodiesel source:GeoscienceAustralia2009 AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT C H A P T E R 1 2: B IOENER GY 5.0 Incontrast,biogas-fuelledplantsatlandfilland sewagefacilitiesarecentrednearmajorurban centresacrossallstatesandterritories.Thesesites compriseatotalinstalledcapacityof226MW.Wood wastefacilitiesrepresent0.7percentofrenewable energycapacityandhaveatotalcapacityof73MW (table12.5). 4.5 4.0 3.5 PJ 3.0 2.5 2.0 1.5 Transport biofuels 1.0 0.5 0 2002-03 2003-04 2004-05 2005-06 2006-07 Year 2007-08 AERA 12.14 Figure 12.14 Australianbiofuelsproduction source: ABARE2009a Table 12.6 BiofuelsproductioninAustralia 2005–06 2006–07 2007–08 2008–09 mL mL mL mL Biodiesel 21 54 50 85 Ethanol 42 84 149 209 Total 63 138 199 294 S Thetotalcapacityofelectricitygenerationfrom bioenergyrepresented1.6percentofallelectricity generationcapacityin2008.Bagasse-fuelled electricitygenerationfacilitiesrepresent54percentof totalbioenergycapacity,at464MW.Thesefacilities arelocatedpredominantlyinQueenslandwheresugar productionplantsarelocated(table12.5). Biofuelscomprisedabout0.5percentofAustralia’s transportfuelsupplyin2007–08.Australianbiofuels productiondecreasedbyabout40percentfrom 2002–03to2004–05to1.3PJ.However,from 2004–05to2007–08biofuelsproductionincreased almostfourfoldto4.9PJ(figure12.14). In2007–08,Australia’sethanolproductionis estimatedat149MLandbiodieselproductionat 50ML.Ethanolproductionhasincreasedasaresult ofthenewDalbyplantinQueenslandandasmall expansionattheManildraplantinNewSouthWales. In2008–09ethanolproductionincreasedto209 ML.Biodieselproductionfellslightlyfrom2006–07 to2007–08,duetothreeplantstemporarilyhalting productionin2007and2008(table12.6).In 2008–09,biodieselisestimatedtohaveincreased toabout85ML. Therearecurrentlythreemajorethanolplantsin operation.ThelargestoperatorisManildraGroupin NewSouthWaleswithtotalproductioncapacityof 180ML.Threemajorbiodieselplantsareinproduction withatotalproductioncapacityof175ML.Thetotal operatingbiofuelsproductioncapacityinAustraliais around600MLayear(table12.7). Table 12.7 LiquidbiofuelsproductionfacilitiesinAustralia,2009 Location Capacity mL/yr Feedstocks Fuel ethanol ManildraGroup,Nowra,NSW 180 CSRDistilleries,Sarina,Qld 60 Wastewheatstarch,somelowgradegrain C-molasses DalbyBiorefinery,Dalby,Qld 90 Sorghum Total 330 Biodiesel BiodieselIndustriesAustralia,Maitland,NSW 15 Usedcookingoil,vegetableoil BiodieselProducersLimited,Wodonga,Vic 60 Tallow,usedcookingoil SmorgonFuels,Melbourne,Vic 100 Drylandjuncea(oilseedcrop),tallow,usedcookingoil, vegetable oil Various small producers Total 5 Usedcookingoil,tallow,industrialwaste,oilseeds 180 Biodiesel plants with limited production AustralianRenewableFuels,Adelaide,SA 45 Tallow AustralianRenewableFuels,Picton,WA 45 Tallow Total 90 Biodiesel plants not in production Eco-TechBiodiesel,Narangba,Qld 30 Tallow,usedcookingoil S AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 321 Table 12.8 Bioenergyprojectsrecentlydeveloped,asatSeptember2009 Project Company state Type start up Capacity (mW) electricity and heat generation Tumut Visy Paper NSW Woodwaste 2001 17.0 RockyPoint NationalPowerandBabcockand BrownJointVenture QLD Bagasse 2001 30.0 Stapylton GreenPacificEnergy QLD Woodwaste 2003 5.0 SouthCardup LandfillManagementServicesLtd WA Landfillmethane 2005 6.0 Werribee (AGL) AGL VIC Sewagemethane 2005 7.8 Pioneer 2 CSRSugarMills QLD Bagasse 2005 63.0 Woodlawn WoodlawnBioreactorEnergyPtyLtd NSW Landfillmethane 2006 25.6 CarrumDowns1&2 MelbourneWater VIC Sewagemethane 2007 17.0 EasternCreek2 LMSGenerationPtyLtd NSW Landfillmethane 2008 8.8 Condong SunshineElectricity NSW Bagasse 2008 30.0 Broadwater SunshineElectricity NSW Bagasse 2008 30.0 DalbyBiorefineryLtd QLD Ethanol 2008 90.0 Transport biofuels Dalby S Recent bioenergy projects 322 Eleven bioenergy electricity projects have been commissionedinAustraliasince2001,witha combinedcapacityof240.2MW(table12.8). Bagasse-fuelledbioenergyplantsaccountedfor mostofthecommissionedcapacity.Australia’s largestrecentlycommissionedbioenergyplantisCSR SugarMillsinQueenslandwithacapacityof63MW. Australia’sfirstgraintoethanolplantatDalby, QueenslandcommencedoperationinDecember 2008.Theplantprocesses220000tonnesofdry grain(sorghum)asitsfeedstockwithacapacityof 90MLofethanolperyear. 12.4Outlookto2030for Australia’sresourcesandmarket Thereissignificantpotentialtoexpandtheuseof biomassforelectricity,heatandtransportbiofuels production.Thereisadiversityofbioenergy resources and conversion technologies that can provide greenhouse gas emissions savings and reducewastedisposalissues.Theremaybe opportunitiesforthebioenergysectortosupport agricultural industries and rural communities through growingcomplementaryenergycropsand indevelopingregionalenergyfacilities. 12.4.1Keyfactorsinfluencingtheoutlook ThefuturegrowthofAustralia’sbioenergyindustry willdependonitscompetitivenessagainstother energysources,thecommercialisationofefficient conversiontechnologiesandavailabilityofbioenergy resources. Thecostcompetitivenessofbioenergywith alternativeelectricitygenerationandtransportfuels AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT willdependonthecostofresources(bothbioenergy andalternatives),conversiontechnologiesand relevantgovernmentpolicies,particularlythose thataffectboththeavailabilityofresourcesand their price. Costfactorsaside,thegrowthofthebioenergy industrywillbeinfluencedbythecommercialisation ofsecondgenerationtechnologies,whichwillalso increasetherangeofbioenergyresourceoptionsand reducecompetitionforresourcesbetweenbioenergy feedstocksandagricultural/forestrycommodities. Developmentofeffectiveharvestingandprocessing methodsandimprovedtransportationandstoragewill alsobeimportantfactorsinachievingefficienciesin bioenergy production. Availabilityofbiomasswillbecentraltotheexpansion ofthebioenergysector.Theavailabilityofbiomassis influenced by: • diversionofcurrentbiomassproductionand wasteandresiduesstreams.Biomassresidues fromforestry,agriculturalharvestandprocessing, andwastestreams,suchaslandfillandsewage gas,offeralargeunder-utilisedenergyresource, whichcanalsoassistinwastedisposalissues; • changeinharvestingregimesforcropsorforests (e.g.stubblefromagriculturallandsandthinnings fromforests);and • newproductionsystemswhichmayincludeland usechange,inturninfluencedbyavailableland, croporforesttypesandproductivity.Theamount oflandavailableforbiomassdependsonthe amountoflandusedforagriculturalandforestry products and that devoted to nature reserves. Thedemandforfood,whichisafunctionof populationanddiet,hasadirectimpactonland C H A P T E R 1 2: B IOENER GY useandavailabilitytogrowprimarybiomass resourcesforbioenergy.Theamountofbiomass producedisafunctionofthequalityoftheland, theclimate,wateravailabilityandmanagement practices. Therearepotentialrisksintheexpansionof biomass production into areas that provide valuable ecosystems that support high biodiversity and may result in nutrient pollution. Cost competitiveness Bioenergyproductioncostsareafunctionofbiomass feedstock,labour,transportation,capitaland operating costs. Thecostoffeedstocksdependsonwhetheritisa primary biomass (energy crop) or residue biomass fromanagricultural,forestryorurbanactivity.Cost variationsareduetoinputandharvestcostsfrom productionsystems.Solidbiomasscanbebulky, difficulttohandleandtransport,andmaydecayover time.Onsitepre-processingofmaterials,suchas chipsorwoodpellets,mayincreasethelabourand processingcosts,butreducetransportandstorage costs. Bioenergybecomesacompetitivealternativein situationswherecheapor‘negative-cost’residues orwastesareavailableandusedonsite(IEA Bioenergy2007).Themosteconomicalbioenergy productionmodelistheproductionofenergyatthe biomasslocationsuchasatlandfillandsewage sites,papermills,sawmillsorsugarmills. InAustralia,alargeproportionofbioenergy production occurs in small to medium cogeneration plantsbuiltatsugarmillsandotherfoodprocessing plantsthathaveaccesstosignificantlowcost biomasswastestreams. Largescalebioenergyproductionrequiresfurther development in conversion technologies and biomass productiontobecompetitivewithfossilfuels(IEA Bioenergy2007). Electricity and heat generation Electricity and heat generation through biomass combustionisamature,efficientandreliable technology.Incaseswherelowcostfeedstocksare availableforco-firingschemes,electricityandheat productionfrombioenergyiscostcompetitivewith fossilfuels(IEABioenergy2007). Anassessmentoftheelectricitygenerationcosts frombiomasswasundertakenbyIEABioenergy (2007),whichprovidesacomparisonforthree biomasstypes.Itshouldbenotedthattheactual costsmaynotbedirectlyapplicabletoAustralia.In theshortterm(about5years)thecostsofgenerating electricityrangefrom�0.03–0.15(US$0.04–0.21)/ kilowatthour(kWh)(in2007dollars),depending onthebiomassfeedstock,technologyandscale ofgenerationplant(table12.9).Inthelongerterm (morethan20years)biomasselectricitycostsare expectedtodeclineto�0.02–0.08(US$0.03–0.11)/ kWh(in2007dollars)withadvancesintechnologies. Themainvariabilityincostswillarisefromthecostof biomass supply. Arelativelylowcapitalcostoptionforimproving systemefficiencyandreducingcarbonemissionsis retrofittingofco-firingboilerswithbiomassdelivery systems.Totalcostsvarydependingonthetype andconditionoftheboilerbeingmodifiedandthe biomassdeliverysystem,withseparatefeedsystems costinguptofourtimesasmuchasablended deliverysystem(Grabowski2004).IntheUnited States,theannualfuelcostsareoftenlowerincofiringplantsthaninplantsburningpurecoal.These annual savings can result in payback periods on initialinvestmentoflessthan10yearsandreduce productioncostsbetween$US0.02–0.22/kWh.In addition,theuseofbiomassasasupplementary fuelincoal-firedplantsreducessulphurdioxideand nitrogenoxidesemissions(EESI2009a). Table 12.9 Electricitygenerationcostsforthreebioenergyresources Biomass electricity generation short term Longer term Organicwaste •municipalsolidwaste Less than �0.03–0.05(US$0.04–0.07)/kWh Similarrange Forstate-of-the-artincinerationand Improvementsinefficiencyand co-combustion technology environmentalperformance Residues •forests •agriculture �0.04–0.12(US$0.05–0.16)/kWh Lowercostincombinedheatandpower operations Majorvariableisbiomasssupplycosts �0.02–0.08(US$0.03–0.11)/kWh Majorvariableisbiomasssupplycosts Energy crops •oilseeds •sugar/starch •shortrotationcroppingtrees �0.05–0.15(US$0.07–0.21)/kWh Highcostsforsmallscaleplants, lowercostsforlargescale(over100MW) state-of-the-artcombustion �0.03–0.08(US$0.04–0.11)/kWh Lowcostsduetoadvancedco-firing schemesandintegrationgasificationusing combinedcycletechnologyover100MW Note: Costsin2007dollars source: IEABioenergy2007 AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 323 Transport biofuels Themaincomponentofbiofuelsproductioncosts isthecostoffeedstock,whichvariesconsiderably accordingtothetypeoffeedstockused.Lowcost biofuelscanbeproducedfromcropsgrowninthe mostsuitableclimatezonesandusingcommercially availabletechnologies,suchasethanolfromsugar canegrownintropicalregions.Biofuelproduction costsarelowinBrazil,forexample,largelybecause oftheavailabilityoflowcostsugarcane.Sugar caneethanolinBrazilhasalowercostthanpetrol (WorldwatchInstitute2006).Ethanolproduction costsvarysignificantlysubjecttothelocationand thefeedstockused.Sugarcaneethanolproducedin BrazilcostsaboutUS$0.20perlitre,whereasinthe UnitedKingdomcostswereaboutUS$0.81perlitre (IEA2006b). Theproductioncostoffirstgenerationbiofuelsin Australia is highly variable due to variations in the costoffeedstock.Ethanolfromstarchwasteand C-molassesandbiodieselfromusedcookingoilcan beproducedatacostlessthanA$0.45perlitre,in 2007dollars(comparativecostofoilatUS$40per barrel).Ethanolfromsugarandgrainandbiodiesel fromtallowandoilseedcrops(canola)canbe producedfromlessthanA$0.80perlitre,in2007 dollars(comparativecostofoilatUS$80perbarrel) (O’Connelletal.2007). 324 InAustralia,expansionandconstructionoffirst generationbiofuelfacilitieswereplannedin2007as aresultofgovernmentsubsidiesandhighoilprices. However,manyoftheseplanswerepostponeddue tohighfeedstockpricesandfallingcrudeoilprices attheendof2008.Uncertaintyaboutfuturechanges inoilandfeedstockpricescontinuestorestrict investmentinnewcapacity. Thedevelopmentofsecondgenerationbiofuels fromlignocellulosicbiomasswillnotonlyincrease therangeoflowcostfeedstocksbutwillincrease conversionefficienciesandlowerproductioncosts (IEABioenergy2007). Thecostofsecondgenerationlignocellulosicbiofuel productionisestimatedtobelessthanUS$1.00 perlitre.Costisexpectedtodecreasetobetween US$0.55andUS$0.70perlitreinthelong-term depending on the technologies and improvements Table 12.10 Productioncostsforsecondgeneration biofuels second generation technologies Production cost Us$/litre gasoline equivalent 2010 2030 Biochemicalethanol 0.80–0.90 0.55–0.65 BiomasstoLiquids (BTL)diesel 1.00–1.20 0.60–0.70 S AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT intechniques,up-scalingofproductionfacilities andlowerfeedstockcostusingbiomassresidues (table12.10). Technology developments – more efficient, using a greater range of non-edible biomass resources Thereisarangeoftechnologiescurrentlyavailable andindevelopmentforconvertingbiomassinto energy(box12.1).Energyisreleasedeitherinthe formofheatorisconvertedintoanotherenergyform suchasliquidbiofuelsorbiogas. Electricity and heat generation Electricityandheataregeneratedbycombustion, cogenerationandgasificationofbiomassandfrom methanegascapturedfromlandfillandsewage facilities.Theburningofsolidbiomassisthe dominantmethodofenergyconversionforelectricity andheatproduction.Increasedefficiencycanbe gainedthroughfluidisedbedcombustionandco-firing ofbiomass(e.g.woodresidue)withcoal.Thereis potential to increase bioenergy production through utilisationofunder-exploitedbiomassresiduesand wastesfromforestryandwoodprocessingfacilities. Theseresidueandwasteresources,ifusedmore effectively,canassistinthereductionofgreenhouse gas emissions. Transport biofuels Firstgenerationbiofuelsaremainlyproducedfrom sugarandstarchby-products,grainoilcrops,used cookingoiloranimalfat(box12.2).Giventhe limitedsupplyofthesefeedstocksinAustralia, firstgenerationbiofuelswillnotbeabletosupplya largeproportionoftransportfuelneedsuntilsecond generation technologies become commercially viable. Secondgenerationbiofuelsarethesubjectof activeRD&D(box12.2).Theyareproducedfrom lignocellulosicfeedstockssuchascropandforest residuesandwoodprocessingwastes,whichdo notcompetedirectlywithfoodcrops.InAustralia, secondgenerationbiofuelsshowpromiseformaking agreatercontributiontotransportfuelsupply,butthis isdependentonsustainableproductionofbiomass atacompetitivecost(Wild2009). Thefarmingofalgaetoproducebiofuelsisanarea ofactiveresearchworldwide.Algaecultivationisnot newtechnology–ithasbeenusedtoproducefood supplementssuchasbeta-carotene,andspirulina. Bothmicroalgaeandmacroalgae(e.g.seaweed)are beinginvestigatedasfeedstocksforbiofuels.Algae canbegrownonnon-arableland,insalineandwaste waterandhasahighoilyield.MicroalgaecanfixCO2 fromtheatmosphere,powerplantsandindustrial processesandsolublecarbonate,howeveronlya smallnumberofmicroalgaearetoleranttohighlevels ofsulphuroxidesandnitricoxidespresentinflue gases.Therearechallengeslimitingthecommercial C H A P T E R 1 2: B IOENER GY BOx 12.1 BIOENERGyTECHNOLOGIESFORELECTRICITyANDHEATGENERATION Thermalconversionusesheatasthedominant mechanism to convert biomass to energy. Combustionisthesimplestmethodbywhich biomasscanbeusedforenergyandhasbeen usedformillenniatoprovideheat.Conventional combustion technologies involve biomass being burnt inthepresenceofairinaboilertogenerateheatto producehotair,hotwaterorsteam,whichisusedin a steam turbine to generation electricity. Combustion technologies Thethreemainbiomasscombustionconversion technologiesaregrateboilers,fluidisedbed combustion(gasification)andco-firinginutilityboilers. Grate boiler technology is the oldest combustion principleandwasthemostcommondesignofsmallsizeboilers.Itremainspopularforrelativelysmall boilers(lessthan5MW)incountriesusingfuelssuch aswoodpellets,strawandmunicipalsolidwaste (IEA2008). Fluidisedbedcombustionusesupwardblowingjets ofairtosuspendsolidfuelsduringthecombustion processforincreasedefficiency.Theprocesscontrols thesupplyofoxygenand/orsteam.Thebiomassis devolatilised and combusted to produce a biogas thatcanbeburntforheatorusedinagasturbinefor electricity generation. Therearetwomaintechnologies,bubbling fluidisedbed(BFB)andcirculatingfluidisedbed (CFB)technologies.BFBcombustionoffersbetter temperaturecontrolandismoresuitablefor non-homogeneousbiomass.CFBcombustion usespulverisedfuelthatdoesnotrequireahigh temperatureflameandallowsbettercontrolofthe furnacetemperature. Co-firingreferstothesimultaneouscombustionof abiomassfeedstockandabasefuel(e.g.coal)to produceenergy.Themostcommonbiomassinclude lowvaluewood,cropresiduesandmunicipalwaste. Mostbiomassfeedstockmustundergoprocessing beforeitcanbeutilisedforco-firing(EESI2009a). Processedsolidbiomassisaddedtotheco-fired boilersalongwiththefossilfuel.Ithelpsreduce relianceonafiniteresourceandcanmakea significantcontributiontoCO2 emission reductions (MassachusettsTechnologyCollaborative2009;IEA 2006a). Biomassco-firinginmodern,largescalecoal powerplantsisefficientandcanbecosteffective. Thetechniquehasbeensuccessfullydemonstrated inmorethan150installationsworldwide.Abouta hundredoftheseareoperatinginEurope,around 40intheUnitedStatesandafewinAustralia. Anumberoffuelssuchascropresidues,energy cropsandwoodybiomasshavebeenco-fired. Theproportionofbiomassinthefuelmixhas rangedbetween0.5and10percentinenergy terms(IEA2008). Forco-firingofupto10percentofbiomassmixed withcoalorfedthroughthecoalfeedingsystem,only minor changes in the handling equipment are needed. Forbiomassexceeding10percentorifbiomassand coalareburnedseparately,changesinmills,burners and dryers are needed. Thedevelopmentofbiomassfuelpreparation anddryingtechnologiessuchastorrefaction (thermochemicaltreatmentthatlowersthemoisture content and increases the energy content) and pelletisingofbiomass,increasetheefficiencyof plants.Inaddition,thebiomassisverycompact, stableandeasiertotransport,storeandhandle. Wood pellets are rapidly becoming an important sourceoffuelforco-firedplants.Woodpelletsor DensifiedBiomassFuel(DBF)aremanufactured fromlowvaluetreesandfromsawdustandother pulpwaste.Woodpelletsareincreasinglyusedas arenewablefuelforpowergenerationincountries suchasJapan,Canada,SouthAfricaandparticularly inEurope.Muchofthenewgenerationcapacityin Europeisbasedondedicatedpellet-fuelledcombined heatandpowerplants.Europeanproductionhas beenbasedonbothscarcesawmillwasteand, increasingly,imports.InAustralia,woodpelletuse remains limited but supply to the domestic market andexportmarketisexpectedtoincrease. Cogeneration technology Inthemostefficientelectricitygenerationplant around30percentoftheenergyinthebiomassis convertedintoelectricity;therestislostintotheair andwater.Cogenerationorcombinedheatandpower (CHP)plantshavegreaterconversionefficienciesas they produce both electricity and process heat. Thereisanumberofdifferenttypesofcogeneration technology.Formanyyears,allcogeneration installationswerebasedontheuseofconventional boilers,withsteamturbinesforelectricitygeneration. Gas turbine technology has largely superseded steamturbinetechnologyformediumsizeinstallation (Saddleretal.2004).Bagasse,sludgegasfrom sewagetreatmentplantsandmethanefromlandfill sitesareusedasfuelincogenerationplants.Where acogenerationplantispoweredbywastegases, fugitivegasesarecapturedandutilisedtodrive gasturbineswhichinturngenerateelectricity.In Australia,sugarmillsruncogenerationplantswhich arefuelledbybagasseleftoveraftercrushingthe sugar cane. Trigeneration technology Trigenerationtechnologyprovidescoolinginaddition toheatandelectricitygeneration.Theprocess wasteheatcanbeusefullyappliedforheatingin winterand,viaanabsorptionchiller/refrigation, AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 325 forcoolinginsummer.Refrigerationandairconditioning normally require a compressor driven by electricity.Theabsorptionchillerusesaheatsource toprovideenergytodrivethecoolingsystem.The combinationoftechnologiestoconvertwasteheat into cooling can reduce peak summer electricity consumptionandgreenhousegasemissionsfrom air-conditioningbyabout25percent. A small scale trigeneration option is an Organic RankineCycle(ORC)enginewhichusesanorganic fluidwithalowboilingpoint,ratherthansteam andhencelowercostinvolvedingatheringheat. Abiomass-firedORCtrigenerationsystemisable to generate electricity and provide heating and cooling demands. Gasification and pyrolysis technologies (thermochemical processes) Theuseofgasificationismoreefficientforenergy recoveryintermsofelectricitygenerationthan traditionalcombustion.Ingasification,solidbiomass isheatedtohightemperatures(800–1000°C) inagasifierandconvertedtoasyngasprimarily composedofhydrogen,carbonmonoxide,carbon dioxide,watervapourandmethane.Therearelower amountsofsodiumoxides,nitrousoxidesanddioxins emissions than in a traditional combustion process. 326 Thesyngascanbeusedincombustionengines (10kWto10MW)withefficiencyof30to50per centingasturbinesorcombinedcycles(IEA2007a). Biomassintegratedgasification/gasturbines(BIG/ GT)arebeingdeveloped.Tareliminationisoneofthe areasofresearch,whichisexpectedtobeovercome developmentofalgaebiofuelssuchasalgaespecies thatbalancesrequirementsofbiofuelproduction, equipmentandstructuresneededtogrowlarge quantitiesofalgaeandthenegativeenergybalance afteraccountingforwaterpumping,harvestingand extraction. Researchisbeingundertakenintoproduction systems such as open ponds and closed loop systems,algalstrainsandfertilisationwithnutrients andCO2.Openpondsystems(e.g.sewageponds) requireanalgaestrainthatisresilienttowideswings intemperatureandpH,andcompetitionfrominvasive algaeandbacteria.Inaclosedsystem(notexposed toopenair)alsoreferredtoasaphotobioreactor, nutrient-ladenwaterispumpedthroughplastictubes thatareexposedtosunlight.Photobioreactorshave several advantages over open systems by reducing contaminationbyorganismsblowninbytheair, controlledconditions(pH,light,temperatureandCO2) andpreventingwaterevaporation. InAustralia,thereisanumberofR&Dprojects investigatingbiofueltechnologiesfrommicroalgae. AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT inthemediumterm.Thefirstintegratedgasification combinedcycle(IGCC)plantrunningon100percent biomass(straw)hasbeensuccessfullyoperatedin Sweden. Pyrolysisisthermaldegradationofbiomassto producebio-oil,syngasandcharcoalatmedium temperatures(350–800°C)intheabsenceofair. Pyrolysisencounterstechnicaldifficultieswhichhave prevented its implementation on a commercial-scale. Theseincludeeffectiveheattransferbetweenthe heat carrier and biomass particles or the quenching ofvapourstostopfurtherreactionsthatresultin bio-oil quality variations. Anaerobic digestion technology Anaerobicdigestionisatechniqueusedfor producingbiogaswhichisusedcommercially worldwide,especiallyforwasteeffluentssuchas wastewater,sewagesludgeandmunicipalsolid waste.Anaerobicbacteriadigestorganicmaterial intheabsenceofoxygenandproducebiogas. Anaerobic processes can be managed in a digester orairtighttankorcoveredlagoon.Thereisincreasing useofthistechnologyinsmallscale,offgrid applicationsatthedomesticandfarm-scale. Inmodernlandfillsites,methaneproductionranges between50and100kgpertonofmunicipalsolid waste(MSW).Ingeneral,some50percentofbiogas canberecoveredandusedforpowerandheat generation.Afterpurificationandupgrading,biogas canbeusedinheatplantsandstationaryengines, fedintothenaturalgasgridorusedasatransport fuel(compressednaturalgas)(IEA2007b). InVictoria,theUniversityofMelbourneisresearching efficientseparation,processingandutilisationof algalbiomass.AlgalFuelsConsortiumisdeveloping apilot-scalebiorefineryinSouthAustraliafor sustainablemicroalgalbiofuels.Ajointprojectbetween MurdochUniversity,WesternAustralia,andUniversity ofAdelaide,SouthAustraliaisworkingonallsteps intheprocessofmicroalgalbiofuelsproduction, frommicroalgaeculture,harvestingofthealgaeand extractionofoilforbiofuelsproduction.Construction commencedinJanuary2010onapilotplanttotest thewholeprocessonalargerscaleinKarratha, north-westWesternAustralia,andisexpectedtobe operationalbyJuly2010. ThirdgenerationtechnologiesareintheR&D stage.Thetechnologyinvolvesthedevelopment oflignocellulosicbiorefineriesthatproducelarge volumesoflowcostbiofuelandtheoverallprocess issupportedthroughtheproductionofbioenergy andhighvaluebioproducts.Internationallythereis commercialandR&Dinterestindevelopingbiobasedproductsfrombiorefineries.DuPontand theUniversityofTennesseeplantoconstructa C H A P T E R 1 2: B IOENER GY BOx 12.2 BIOFUELTECHNOLOGIESFORTRANSPORT Conversiontechnologiesusearangeofbiochemical and thermochemical processes to convert biomass intobiofuels. S First generation technologies use conventional processes,fermentationofsugarandstarchcrops forethanolproductionandtrans-esterificationof oilseedcrops,usedcookingoiloranimalfat(e.g. beeftallow)forbiodiesel.Thechemicalreaction (trans-esterification)involvesreactionofanoily feedstockwithanalcohol(methanolorethanol)anda catalysttoformesters(biodiesel)andglycerol. Advancesinfirstgenerationbiofuelsarefocused onfeedstocks,suchasGMcrops,newnon-edible oilseedsandnewsugar(agave)crops.Theuse ofnon-edibleoilseedplants,suchasJatropha, hasbeenexploredaspotentialfeedstockinthe PhilippinesandIndia.Jatrophaproductionmaybe expandedwithoutdirectlycompetingwithnatural forestsorhigh-valueagriculturelandsusedforfood productionasitcangrownonlessfertileland(FAO 2008).InAustralia,Jatrophaisbannedasitisan invasiveplant.However,thereispotentialforusing other non-edible oilseed plants (e.g. Pongamia and Karanja). pilot-scalebiorefineryinTennessee,UnitedStates (TheUniversityofTennessee2009).TheNational RenewableEnergyLaboratoryintheUnitedStates isinvolvedwithsixmajorbiorefinerydevelopment projectsthatarefocusedonintegratingthe productionofbiomass-derivedfuelsandother productsinasinglefacility(NationalRenewable EnergyLaboratory2009). CurrentlyinAustralia,onlyafewcompaniesare pursuingthelignocellulosicbiorefinerymodel. TheOilMalleeprojectsuccessfullyusesMallee eucalyptsforproducingeucalyptusoil,activated carbonandbioenergyfrom1kWintegratedwood processingdemonstrationplantinNarrogin,Western Australia(OilMalleeAssociation2009).TheMallee eucalypts are planted as a complementary crop on landusedforgrowinggrain.There-sproutingabilityof theMalleeeucalyptsallowforcoppicing(harvesting ofbranches)everysecondyearindefinitelywithout replanting.Italsoprovidesanenvironmentalbenefit asthedeepmalleerootssoakupgroundwater andassistinmitigatingdrylandsalinity(OilMallee Association2009). Biomass resources – reliable and environmentally sustainable supply Biomassproductionisasignificantpotentialsource ofrenewableenergythatcanprovidegreenhousegas reductionbenefitswhenreplacingfossilfuels.However, akeyfactorinthegrowthofthebioenergysectoris thesustainablemanagementofbiomassexploitation andtheavoidanceofpotentialnegativeenvironmental impactsofbioenergyfeedstocksproduction. Theexpansionofthebioenergyindustrycanprovide greenhouse gas savings and other environmental benefits,suchasimprovedbiodiversityaswellas opportunitiesforsocialandeconomicdevelopment inruralcommunities.Thegreenhousegassavings dependonthebiomassfeedstockcultivationmethod, changesinlanduse,thequantityoffossilfuel inputs and the technology used. Waste and residue biomassdoesnotrequiresignificantenergyinput andgenerallyhaslowergreenhouseemissionswhen compared to energy crops. However,theexpansionofbioenergyproduction createssomechallenges,suchaspotential competitionforlanduse,andbiomassuseforfood andstockfeedandpotentialimpactsonbiodiversity. Asalreadynoted,theavailabilityofbiomassis alsoinfluencedbypopulationgrowth,diet,water availability,agriculturaldensityandtheenvironment (Hoogwijk2006). Energy crops are dependent on land being available thatisnotbeingusedforforestryandagricultural products,environmentalprotectionorurbanareas. Theamountofbiomassproduced(cropproductivity) isafunctionofthequalityoftheland,theclimate, waterresourcesandmanagementpractices. Increaseduseoffertilisersandpestcontrolto AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 327 improve crop yields may lead to increased pollution fromnutrientandbiocides/pesticides. Residuesfromforestsandwoodprocessingand organicwastestreamsarelargeuntappedresources, andeffectiveandsustainableuseoftheseresources canmakeacontributiontoenergysupplywhile reducingwastedisposalproblemsandavoiding thepotentialenvironmentalimpactsofdedicated bioenergy crops. Electricity and heat generation InAustralia,bioenergyforelectricityandheat generationisproducedpredominantlyfrombyproductsofsugarproductionandwastestreams. Futureenergycropsmayincludetreecrops,woody weedsandalgaeaswellasexpansionintocropand foodresidues.Themainfactorsaretechnologycosts, reliablesupplyandconsistentqualityofbiomass. Inurbanregions,capturingwastegasfromlandfill andsewagefacilitiesprovidesdualbenefitsof generating bioenergy and eliminating methane emissions.Thewastestreamsuppliestothese facilitiesarerelativelyconstantandifwastegases arenotcollectedandusedforbioenergyproduction, thegaswouldbeflaredorventedinto theatmosphere.Generationofelectricityandheat frombiogaswillreduceemissionsandcanreplace theuseoffossilfuelsasclean,costeffective, renewableenergy. 328 Similarly,conversionofanimalwastestobiogas can also provide energy and reduce environmental problemsassociatedwithanimalwastes.The anaerobic digestion process can control manure odourandreduceharmfulwaterrun-off. TheBerrybankpiggerynearBallarat,Victoriahasa 0.225MWplantthathasbeengenerating3.5MWh ofelectricityperdayfromanimalmanuresince 1991.TheCleanEnergyCouncil(2008)estimates thatabouthalfoftheexistingpigherdinAustralia isatpiggeriesofsufficientscaletoalloweconomic implementationofenergygenerationfromthewaste stream,withalong-termpotentialfromthisindustry ofabout200Gigawatt-hours(GWh)peryear. Forestryandagriculturalresidueandwoodwaste bioenergy plants rely on a constant supply and consistent gradeofbiomass.Woodwasteforelectricitygeneration ispredominantlybyco-firedcoalplants.Forestresidues, woodprocesswastesandmunicipalsolidwasteshave thepotentialtobeusedaslignocellulosicfeedstockin second generation technologies. Transport biofuels Firstgenerationbiofuelsfromenergycropsare constrainedbytheamountoflandavailableandthe limitedsupplyofsugarandstarchby-products,animal fatsandusedcookingoilfeedstocks.Forbiofuelsto contributesignificantlytotransportfuelconsumption, AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT alargeproportionofarablelandwouldhavetobe devotedtoenergycropsproduction.In2005,the EuropeanUnion(EU)used3percentofitstotalarable landforbiofuelfeedstocksproducing4.9billionlitres ofbiofuels,whichrepresentedaround1percentof liquidfuelsconsumptionintheEUtransportsector (EuropeanCommission2007;IEA2007b). Firstgenerationbiofuelsfromenergycropsrequire sustainable agricultural practices to minimise environmentimpacts,theadoptionofcroprotation withanenergycropdiversifiesthecropsgrown,which canimprovethelandfortraditionalcroppingand provideahighvaluecrop(FAO2008).InAustralia, biofuelproductioniscurrentlytoolowtoaffectthe productionofagriculturalcommodities. Secondgenerationbiofuelswillbeproducedfrom specialisedenergycrops,suchastreecropsand algae,aswellasfromresidueandthewaste streams.Theutilisationofresidueandwaste materialforbiofuelsrequiresnoadditionalland. Secondgenerationbiofuelfeedstocksmayalso begrownonlessproductivelandsanddegraded agricultural land that do not compete directly withgrowingfood,stockfeedandfibrecrops (IEABioenergy2008).Somesecondgeneration feedstocks,suchasalgaeandoilmallee,donot competeforfreshwaterresources. Worldwide,investmentinsecondgeneration technologies is being undertaken to ensure these characteristics–environmentalandeconomicviability andavoidanceofcompetitionforproductiveland withfoodandfibreproduction–areachievableand thereforethatthefutureproductionofbioenergycan proceedinasustainableway. 12.4.2Outlookforbioenergyresources Thebioenergysupplychainiscomplexbecause ofitsinteractionwithothersupplychainssuchas agriculturalandforestry.Thereisscopetooptimise currentproductionsystemsforthebioenergymarket withoutdivertingbiomassfromcurrentuses(e.g. plantationthinnings).Theproductionofsecond generationfeedstocksonlessproductiveorunderutilisedlandscouldpotentiallyprovideeconomic, environmentalandsocialbenefits(O’Connellet al.2009a).Theuseofsuchlandmayprovide opportunitiesfor:farmerstodiversifyexisting systems;thedevelopmentofindustriesinrural regions;andimprovementsinbiodiversity.Currently, secondgenerationbiofuelsarenotcommercially competitiveinanycountry.Thetransitionfrom firsttosecondgenerationtechnologieswillrequire significantR&Dinvestmentwhich,inturn,will onlybeattractedbyanindustrywithasignificant andsustainablefuture.Theindustryneedsto demonstratethatthepotentialitoffersmeets these criteria. C H A P T E R 1 2: B IOENER GY Table 12.11 PotentialforstationarybioenergygenerationinAustralia Biomass Quantity 2005–06 Conversion technologies electricity generation gWh/yr 2010 2020 2050 AD/RGE - 90 848 P - 207 207 agricultural related wastes Poultry 94384000population Cattle(feedlots) 870025population AD/RGE;DC/ST - 112 442 Pigs 1801800population AD/RGE 1 22 205 Dairycows 1394000population AD/RGE - 22 89 Abattoirs 1285000t AD/RGE 337 1773 Nutshells - DC/T Stubbleresiduesfrom grain and cotton crops 1 1 24000000t DC/ST;G/GT;P Bagasse(sugarcane residue) 5000000t DC/ST 1200 3000 4600 Sugarcanetrash,topsand 4000000t leaves DC/ST - 165 3200 - - 47000 energy crops Algae - AD/RGE;P Oil mallee - DC/ST;G/GT;P 112 484 - DC/ST;G/GT;P 83 20 Woody weeds Camphorlaurel Forest residues Nativeforest (public and private) 2200000t Plantation (public and private) 3800000t Sawmillandwoodchip residues 2800000t 329 AD/RGE;DC/ST; briquettingandpelletising; G/GT;charcoalproduction; Co-firing 79 2442 4554 Pulp and paper mills wastes Blackliquor - DC/ST 285 365 365 Woodwaste - DC/ST 60 85 85 Recycledpaperwetwastes - AD/RGE 2 8 8 Paperrecyclingwastes - DC/ST 12 48 48 AD/RGE 13 126 565 DC/ST 16 141 189 - 37 186 29 84 275 DC/ST - - 1548 P - 38 191 Urban waste Food and other organics 2890000t Garden organics 2250000t Paper and cardboard 2310000t Wood/timber 1630000t DC/ST 45 295 1366 Landfillgas 9460000t Sparkignitionengine; co-firing;flaring 772 1880 3420 Sewagegas 735454t AD/RGE;DC/ST 57 901 929 P AD/RGE AD =anaerobicdigestion;RGE=reciprocatinggasengine;P=pyrolysis;DC=directcombustion;ST=steamturbine;G=gasification; GT=gasturbine source: CleanEnergyCouncil2008 AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT E Currentlyelectricityisgeneratedpredominantlyfrom bagasseandlandfillandsewagesitesandtoalesser degreewoodwaste,pulpandpapermillwaste.The CleanEnergyCouncil(2008)identifiedsignificant potentialforgrowthinbioenergyproductionfrom wastestreams,suchaslandfillandsewagegasand urbanwaste. Anappraisalofbioenergyresources,primarilywaste streams,forstationaryenergywasundertakenby theCleanEnergyCouncilin2008toestimatethe potentialby2020andinthelong-term(2050). Theassessmentisbasedonbiomassquantities potentiallyavailablein2005–06.Thebiomass feedstocksaregroupedintoagriculturalrelated wastes,energycrops,woodyweeds,forestresidues, pulpandpapermillwastes,andurbanwastes(table 12.11). agricultural related wastes in total are a very large resourcebutcurrentlyarenotusedasfeedstocks. Theresourcesarewidelydispersedandcanhavea rangeofalternativeusesincludingcompostingand feedforanimals. 330 Thesugarcaneindustry,alreadyoneofthefew industriesselfsufficientinenergythroughitsuse ofbagasse-firedcogeneration,hasthepotential toincreaseelectricitygenerationefficiencywith integratedgasificationcombinedcycletechnology aswellasbiomassexpansiontoincludesugarcane trash,topsandleaves. Cropresiduesfromgrainandcottoncropsarea potentialresource.However,cropscanbesubjectto largeannualvariationsofquantitiesproduceddue toenvironmentalandclimaticfactors.Anoptionto reducethevariabilityofresourcesistoprocessa widerangeofbiomassmaterialsuchasresidues fromgrain,rice,cottoncropsandleft-overplant matterfromvegetablesandfruits. Thepotentialestimatedstubbleresiduesthatcan becollected,takingintoaccountthataproportionof thecropisleftonthelandformaintenanceofsoil health,isestimatedtobe24Mtperyear.However, thehighcostoftransportofahighlydispersed resourcemeansthattherewillbelittleorno contributionfromthissectorto2020.Forthissector to contribute to energy production there needs to be furtherinvestigationofenergyconversionprocesses (e.g.gasificationandpyrolysis)andwaystoreduce transportcosts.Along-termestimateofpotential energyis47000GWhperyear(CleanEnergyCouncil 2008). Largescalelivestockfeedlots,piggeries,dairy andpoultryfarmswiththeirmixedwastestreams ofanimalbeddingandmanurearesuitablefor generating bioenergy. Waste material can be used to produce stationary energy and assist in reducing AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT environmentalproblemsfromwastedisposal, methaneemissionsandpollutionofwatersupplies. TheCleanEnergyCouncilestimatedthatthelongtermpotentialforfeedlotcattleandpiggeriesare about440GWhperyearand200GWhperyear, respectively.However,thereareuncertaintieswith moisturecontentandsuitabilityforcombustionor anaerobicdigestion.Poultryfarmwasteisestimated tohavealong-termpotentialintherangeof840GWh peryear.Thisestimatedoesnottakeintoaccount that some operations may be too small to be viable orthatpoultrymanureisusedforfertiliser. Inaddition,thereisalsothepotentialofsolid wastesfromabattoirs.TheCleanEnergyCouncil indicatedthatthereareapproximately0.77Mt to1.8Mtperyearofsolidwasteproducedfrom about150abattoirs.Ifby2020,30abattoirs implementanaerobicdigestioncogenerationplants, these projects have the potential to produce about 340GWhperyear,withalong-termestimateof about1770GWhperyear. Nativeforestwood waste is assumed to remain relativelyconstant:howeverthepotentialfrom plantationwoodwasteshouldincreaseinlinewith plantationexpansion.Australiangovernments,at alllevels,haveestablishedregulatorymechanisms concerningtheeligibilityforforestwoodwaste forelectricitygenerationinordertomanagethe sustainableuseoftheseproducts. Urban waste,includingfood,garden,urbantimber, paperandcardboardwastes,issteadilygrowingand hassignificantpotentialforenergygeneration.The decompositionofthesewastesinlandfillresults inmethanegeneration,whichisnotappropriately capturedandutilised,particularlyinolderand smallerlandfillsites.In2002–03approximately 9.5Mtperyearoforganicurbanwastewassentto landfill.Thepotentialelectricitygenerationfor9Mtof urbanwasteis103GWh,withalong-termestimate ofabout4300GWh(CleanEnergyCouncil2008). Thereispotentialforgrowthofbiogaspower generationfromlandfillsitesandsewagetreatment plantsinurbanandruralcentresforlocaluse. Convertingbiogastoenergywouldprovidedual benefitsofenergysupplyandreducedgreenhouse gasemissions.Ifthesewastesarenotcollected andusedforbioenergyproduction,thegaswould be flared or vented into the atmosphere. Thereisanumberofpotentialenergy crops that mayprovidefuelforfuturebioenergyaswellas providingenvironmentalbenefits.Theintegrationof complementaryenergycropsandwoodyperennials intoexistingagriculturalsystemsmaybeableto reduce dryland salinity and land erosion. TheOilMalleeprojectinWesternAustralia C H A P T E R 1 2: B IOENER GY Table 12.12 Estimatedenergyandfuelyieldsfordifferentfeedstocks Feedstock ethanol L/t Biodiesel L/t synfuel* L/t electricity mWh/t First generation Cereals 360 400 Oilseeds Sugarcane Molasses 280 Sugar 560 second generation Cereals 335 246 1.02 Woodwaste 240 246 1.35 Algae 495 0.27 Sugarcane Whole plant Bagasse 465 246 0.80 300 246 0.80 Forestry Sawmillresidues 233 246 1.35 Harvest residues 233 246 1.35 Pulpwood 240 246 1.35 Bioenergyplantations 260 246 1.35 Grasses 323 246 1.02 *Production usinggasification,gasconditionandcleaningfollowedbyFischerTropschsynthesisandrefiningtoproducesyngasolineand syndiesel source: O’Connelletal.2009b successfullydemonstratedtheuseofMallee eucalyptstoproduceeucalyptusoil,activated carbonandgenerateelectricity.Woodyweeds,such asCamphorLaurel,areabundantbuteitherneed researchintotheirsuitabilityasfeedstock,oraretoo dispersed in nature to be economical to harvest. R&Dintoalgaeisdrawingattentionbecauseofits potentialhighhydrocarboncontent,highoilyieldsand abilitytobegrowninsalineandwastewater.Algae grownandharvestedfrompurpose-builtpondsand photobioreactorshasthepotentialtobeafeedstock forbiofuelsandpowergeneration. Transport biofuels Firstgenerationbiofuelsarenotexpectedtomake alargecontributiontoAustralia’sfuturebiofuels supplyasthereislimitedavailabilityoflowcost firstgenerationfeedstocks.Secondgeneration technologiesmayprovideagreaterrangeofbiomass feedstocksandpotentialgreenhousegasemissions savings.Secondgenerationtechnologieswilluse lignocellulosicmaterial,specialisedcropssuchasoil mallee,non-foodcomponentsofcropsandalgae. O’Connelletal.(2009b)estimatedyieldsofbiofuels andelectricitygenerationfromdifferentfeedstock forthefirstandsecondgenerationtechnologies (table12.12).Theanalysiswasrestrictedto Queenslandanddidnotprovidespatiallyexplicit analysisofbiofuelfeedstockproduction.However, itdoesprovideuseful‘firstcut’estimatesofthe possibilities.Currenttechnologiescanproduce280 to560litresofethanolpertonneofbiomassand 400litresofbiodieselpertonneofoilseeds.The secondgenerationtechnologieswilluseawider rangeofbiomassfeedstockstoproduceethanol, biodiesel,synfuelandgenerateelectricity.That reportestimatedthatapproximately55Mtofstubble residue biomass per year can be produced based on20percentofthecurrent45millionhectares ofgrazingandcroppingland,andthatthereis potentiallyabout6tonnesofbiomassperhectare peryear.Thisbiomassresourcecouldproduce approximately82TWhperyearofelectricityor17GL peryearofsyngasolineandsyndiesel. 12.4.3Outlookforbioenergymarket Bioenergyhasthepotentialtomakeagrowing contributiontoAustralia’senergyuse,andto electricitygenerationinparticular.Australia’scurrent bioenergyproductionisprincipallysourcedfrombyproductsofproductionprocessesorwasteproducts. Therearestillunder-utilisedwasteproductsthatmay beusedforbioenergyinthefuture. InABARE’slatestenergyprojections,whichinclude theRenewableEnergyTarget,a5percentemissions reductiontarget,andothergovernmentpolicies, bioenergy use in Australia is projected to increase by 60percentto340PJin2029–30,representing anaverageannualgrowthrateof2.2percent (figure12.15). AU S T RA LIA N E N E RGY RE S O U RC E A S SES SMENT 331 350 5.0 300 4.4 1.0 3.8 2 1.9 100 TWh PJ 2.5 150 % 3.1 200 0.5 % 250 1 1.3 50 0.6 0 0 0 0 1999- 2000- 2001- 2002- 2003- 2004- 2005- 2006- 2007- 202900 01 02 03 04 05 06 07 08 30 1999- 2000- 2001- 2002- 2003- 2004- 2005- 2006- 2007- 202900 01 02 03 04 05 06 07 08 30 Year Year Bioenergy consumption (PJ) 332 3 Share of total (%) AERA 12.2 Bioenergy electricity generation (TWh) Share of total (%) Figure 12.15 Projectedprimaryconsumptionof bioenergy Figure 12.16 Projectedelectricitygenerationfrom bioenergy source: ABARE2009a;ABARE2010 source: ABARE;ABARE2010 Australia’slargepotentialbioenergyresources, theRenewableEnergyTargetandthepotential commercialisationofsecondgenerationtechnologies areallexpectedtodriveanincreaseinelectricity generationfrombioenergy.However,growthislikely tobeconstrainedtosomeextentbycompetition forlandandwaterresourcesandlogisticalissues associatedwithhandling,transportandstorage.Some secondgenerationfeedstockssuchasalgaeandsolid biomasswastesmaysubstantiallyreducetheproblems associatedwithlanduseandwaterresources. Electricity and heat generation Electricitygenerationfrombioenergy(excluding cogeneration) is projected to increase at an average rateof2.3percentperyearfrom2TWhin2007–08 to3TWhby2029–30(figure12.16).Morethan 60percentoftheprojectedgrowthintheuseof bioenergyforelectricitygenerationisprojectedto occur in Queensland. Bioenergy project developments AERA 12.3 Thereareseveralproposedbioenergypowerplants usingarangeofbiomassfeedstocks,suchas animal,municipalandsawmillandpulpmillwood wastesandforestryandplantationsresidues.There are research projects on methane capture systems fromuncoveredeffluenttreatmentlagoonsand energygenerationfromintensiveanimalindustries suchasdairyfarms,beefcattlefeedlotsand piggeries. InVictoria,thereisaproposaltousefire-affected treeresiduesfrombushfire-affectedareas. TreePowerAustraliahasundertakenafeasibility studyfora1MWbiomassfiredOrganicRankine CyclecogenerationpowerplantnearMarysville, Victoria.Thecompanyisconsideringatrigeneration option,inwhichsome(orall)oftheheatoutput woulddriveanabsorptionchillerprocessfor cooling outputs. AsatOctober2009,therewerethreeprojectsunder developmentinAustralia(table12.14).InTasmania, Gunns Ltd plans to develop a large cogeneration powerplantof200MWcapacityatitsBellBay pulpmill.WABiomassPtyLtdplanstoconstruct andoperatea40MWpowerplantfuelledbyup to380000tonnesperyearofplantationwaste inWesternAustralia.NationalBiodieselLtdplans to construct a soybean processing and biodiesel productionfacilityatPortKembla,NewSouthWales. Thefacilitywillprocessoveramilliontonnesof soybeanperyearintohighqualitysoybiodiesel®, soybeanmeal(animalfeed)andpharmaceutical grade vegetable glycerine. Transport biofuels Inaddition,thereisanumberofR&Dprojects investigating bioenergy technologies and biomass potential across Australia. RuralIndustriesResearchandDevelopment Corporation(RIRDC)hasaBioenergy,Bioproducts and Energy program to conduct research into AUSTRA L I AN E N E R GY R E S O U R C E A S S E S S M E NT InAugust2009,theAustralianGovernment announcedA$15millionfundingforprojects undertheSecondGenerationBiofuelsResearch andDevelopmentProgramtodemonstratethe sustainabledevelopmentofthebiofuelsindustry. Theprojectsincluderesearchingbiofuelfrom microalgae,developingapilot-scalebiorefineryfor sustainablemicroalgalbiofuelsandvalueadded products,investigatingtheproductionofbiofuels frommalleebiomassbypyrolysis,developingasugar canebiomassinputsystemforbiofuelproduction andcommercialdemonstrationoflignocellulosics to stable bio-oil. C H A P T E R 1 2: B IOENER GY Table 12.14 Bioenergydevelopmentprojects,asatOctober2009 Project Company Location status start up Capacity Capital expenditure a$million BellBayPower Plant Gunns Ltd Northof Launceston, Tas On hold due to uncertainty ofpulpmill construction NA 200MW NA WABiomass PowerPlant WABiomass Pty Ltd Manjimup, southwestWA Feasibility study under way NA 40MW 110 Soybean Processing andBiodiesel Production Facility National BiodieselLtd PortKembla, NSW Development approval NA Soybiodiesel® 288MLper year 240 Note: Onlyincludespowergenerationprojectsforwhichgenerationcapacityisproposedtoexceed30MW source: ABARE2009b anddevelopsustainableandprofitablebioenergy andbioproductsindustries.Researchhasbeen completedonidentifyinganddevelopingAustralian nativespeciesasbiofuelcropsandresearchis inprogressinevaluatingbiodieselpotentialof Australiannativeplants,Indianmustardseedand biofuelproductionofgiantreedgrass.RIRDCis compilingadetailedlistingofprojectscurrently underwayinAustralia. TheNationalCollaborativeResearchInfrastructure Strategy(NCRIS),anAustralianandStategovernment partnershipisenhancingAustralia’scapacityto producebiofuelsderivedfromnon-foodbiomass. NCRISinvolvesthedevelopmentoffiveintegrated sitestoprovideresearcherswithaccesstoquality facilities,technologicallyadvancedequipment,and technicalexpertise.MacquarieUniversity,University ofSydneyandUniversityofNewSouthWalesare providingaccesstofacilitiesfortheconversionof lignocellulosicandmicroalgaebiomasstobiofuels (ethanolandbiodiesel).Twopilot-scalemanufacturing facilitiesarealsobeingestablished: • abiomassbiorefineryatQueenslandUniversity ofTechnology,fortheconversionoflignocellulosic biomasstoethanol,ligninandothercommodities and; • aphotobioreactorfacilityatSouthAustralian ResearchandDevelopmentInstituteforthe demonstrationofmicroalgaebiomassculture forbiodieselproduction. 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