Despite opportunity, biopower faces risk
June 7, 2013 | By
Barbara Vergetis Lundin
Biomass power (biopower), widely used by industrial facilities and distributed energy customers, currently accounts for 3 percent of global electricity generation capacity and plays a "cornerstone role" in meeting renewable energy targets, according to Navigant Research.
Biopower projects in most jurisdictions, however, remain dependent upon subsidies and future growth depends on breakthroughs in densification processes and the commoditization of biomass resources for power production. In fact, global installed biopower capacity will grow gradually over the remainder of the decade, from 58.6 GW in 2013 to 82 GW in 2020, under a conservative forecast scenario by Navigant Research. Under a more aggressive scenario, installed capacity could reach 128.5 GW in 2020, assuming an accelerated rate of biopower installations across all regions, driven expanding trade flows in densified biomass, a surge in biomass integration across coal-burning power plants, and faster rates of integrated biorefinery infrastructure expansion, as well as other industrial cogeneration opportunities. "While biomass feedstocks are available worldwide, the logistical challenges associated with its collection, aggregation, transportation, and handling, coupled with its poor energy density relative to fossil fuels, make the commercial generation of electricity from biomass viable in only a narrow set of circumstances," said Mackinnon Lawrence, principal research analyst with Navigant Research. "The global biopower market currently faces a number of conflicting signals, and the use of biomass as a source of commercial power -- despite incorporating proven technologies -- still entails financing risk, limiting its expansion in comparison to other renewables." Although the future of dedicated biopower facilities is uncertain, biopower can optimize existing industrial processes, and its outlook for growth remains positive. Biomass is improving the efficiency and profitability of facilities as a fuel for combined heat and power installations; reducing coal emissions through co-firing; and providing onsite generation for industrial facilities like biorefineries. For more:
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