Case study in Finland

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1 Marja Kolström, Matias Pekkanen, Michael den Herder and Heikki Karppinen Case study in Finland Forest use for bioenergy in North Karelia

2 Forest use for bio-energy in North Karelia North Karelia is a pioneer in forest bio-energy utilization in Finland nearly 9 % of the land area is forested land wood is the main energy source in the region Use of forest wood chips in North Karelia 1 m Year

3 How we used ToSIA in North Karelia? To assess impacts of increasing production and use of forest wood chips for heating Comparison of heat production in small and medium scale heating plants Scenario Heating oil free North Karelia Multi-criteria-analysis (MCA): to support the Regional Forestry Council to choose suitable option for using forests of North Karelia

4 Heat production in small and medium scale Two example cases of forest bio-energy utilization for heating Tuupovaara Energy Co-operative small scale district heating plant Outokumpu Energy medium scale district heating plant Outokumpu Tuupovaara 23/8/211 4

5 Forest fuel supply chains Medium scale heating plant Outokumpu Small scale heating plant Tuupovaara Kallio & Leinonen 25

6 Results GHG emissions from machinery, kg CO 2 eq./mwh Production costs, /MWh 7 6 6, ,97 16,71 21,41 13, , Production costs Tuupovaara Production costs (Subsidized) Outokumpu 1 Employment, person a/1 MWh,87 Tuupovaara Outokumpu,8,6,57,4,2 Tuupovaara Outokumpu

7 Scenario of the small heating plant What if we have more efficient chipper? Production costs, /MWh ,97 28, ,41 21, ,5 4 3,5 3 2,5 2 1,5 1,5 Greenhouse gas emissions from machinery, kg CO 2 eq./mwh 3,85 3,81 5 Current machinery New chipper Production costs Production costs (new chipper) Production costs (Subsidized) Production costs with (new chipper, subsidized)

8 Scenario for medium scale heating plant What if we need to increase transport distance? ,71 17,12 Production costs Production costs, /MWh Production costs (inc. trans. distance) 13,83 14,24 Production costs (Subsidized) Production costs (inc. trans. distance, subsidized) GHG emissions from machinery, kg CO 2 eq./mwh 6,2 Current distance 6,89 Increased transport distance

9 The frame of the regional development strategies International environmental conventions UN Framework Convention on Climate Change and Kyoto Protocol European Union Strategy on Climate Change Lisbon strategy National programmes and strategies (Finland) National Forest Programme Long-term Climate and Energy Strategy Regional programmes and strategies (North Karelia) Regional Plan Regional Strategic Programme Regional Forest Programme Climate and Energy Programme

10 Forest wood chip production in North Karelia Harvesting of energywood in young forests Harvesting of mature forests: Harvest residues Stumps Forwarding Forwarding Chipping Chipping Transportation to the powerplant Transportation to the power plant Combustion of woodchips at the power plant

11 Regional Forest Programme Define strategy for forestry, utilisation and protection of forests in the Forestry Centre territory Regional Forestry Council (RFC) Developing sustainable forestry in the region Participating in the preparation of the regional forest programme and monitoring its implementation Consist of key forest sector actors and stakeholders fine possibility for multi-stakeholder dialogue

12 ToSIA application with RFC To compare the scenario alternatives in terms of six indicators Three future alternatives for the use of North Karelian forests were evaluated (cutting levels) with multi-criteria-analysis The scenario aiming for the max economic profit received the highest score among the stakeholders

13 ToSIA application with RFC Results triggered an active debate about methodological and technical issues of ToSIA and MCA Critical points were scenario setup and available indicator information

14 Regional Climate and Energy Programme Programme started 21, will be finished and published autumn 211 Energy includes renewable energy production and use as well as energy effectiveness and savings Participatory open process in programme planning Steering group 4 Working groups together with 5 experts One group was Energy production and use & Forestry SOVA group handling (impact assessment group)

15 Heating oil free region what it means? personyear Impact on employment in North Karelia Transporting and use of heating oil Production of pellets Production and use of forest wood chips Gg CO 2 eqv. Impact on greenhouse gas emissions of fossil fuels Combustion of heavy heating oil Combustion of light heating oil Production of pellets Procurement of heating oil

16 Conclusions Transparency and the structured framework as such were seen to be positive and useful. The discussion process and better understanding of different perspectives on forest-wood-chain sustainability between stakeholders were positive lessons learnt. FWC and indicator data make research knowledge visible to regional decision making.

17 Thank you! More information:

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