Biomass value chains: Creating value from invasive alien vegetation

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1 Biomass value chains: Creating value from invasive alien vegetation

2 1. Contents Introduc)on 01 Impact of alien vegeta)on 4 02 Biomass beneficia)on 5 03 Benefits 6 04 Beneficia)on value chain 7 05 Biomass applica)on examples Biomass to energy: Sappi - Energy landscape in South Africa - Biomass fuel for export : Coega - Heat energy: Biomass pellets - Biochar for soil condi)oning - High value product: Ac)vated carbon - Compos)ng: Carbon reservoirs - School desks from alien biomass 06 Key takeaways 16 Contribu)on & thanks 17 About us Contacts 18 2

3 Introduc2on Many species of invasive alien vegeta2on (IAV) have higher evapora)on rates than indigenous species and use more water than the vegeta)on they replace. The reduc2on in the amount of water in rivers where they are oten found, reduces the rivers dilu)on capacity, resul)ng in increased concentra)on of nutrients and pollutants, increased salinity and altered buffering capacity of the ecosystem. All of this can have a severe impact on water supply in neighboring ci)es. These findings were a key factor in the ini)a)on of the Working for Water Programme in South Africa, in October Eight per cent of South Africa s land area produces 50% of our surface water. If we can protect this 8% we will go a long way to ensuring a watersecure future for South Africa. Figure 1: WWF- SA Water source areas map 3

4 1. Impact of alien vegeta2on Invasive alien vegeta)on in South Africa s strategic water source areas u)lise water in excess of 400 million m 3 /year, which is equivalent to the Ethekwini (city of Durban) municipality s water use for 3.5 million residents. The removal of invasive alien vegeta)on species could poten)ally unlock significant quan))es of water and is a cri)cal pre- requisite for a water secure future for South Africa. But finding a suitable use for the significant amount of biomass generated from the removal of invasive alien species has been a long- standing local challenge that also presents a unique opportunity. Op)mising the value of biomass generated could help to cover the costs of clearing, poten)ally making it more economically viable and crea)ng more jobs. Private Sector Government Funding Landowners WWF Water balance Land- User incen2ves Working for water Alien vegeta2on clearing Wood fires Charcoal kilns Biomass kilns Coffins Furniture Timber Fiber Biochar Chipping Compos)ng Energy Market Timber & Fiber Market Carbon / Compost Market Figure 2: Invasive alien vegeta2on beneficia2on poten2al 4

5 2. Biomass beneficia2on There are several op2ons available to beneficiate biomass, depending on availability, cost and type of biomass. Strictly, invasive alien vegeta)on is not a renewable resource. If let unconsumed once cleared, it can become a fire hazard. It is however, a readily available resource that has to be removed and can be used in a complementary way with other resources, depending on applica)on. Figure 3: Biomass sources Biomass Innova2on Centre 5

6 3. Benefits Economic Beneficia)ng biomass through alien vegeta)on removed from waterways can assist in off- sedng clearing costs and create new jobs in typical farming and rural areas. Industry value chains can be created to support applica)ons such as biochar manufacture, biomass to energy and compos)ng. These applica)ons form part of developing the green economy, boos)ng local industries and communi)es. Environmental Assist water management through removal of alien vegeta)on. Replace tradi)onal applica)ons with clean, renewable sources. Several applica)ons have the poten)al added benefit of carbon sequestra)on to help offset the effects of global warming. Social impact Job crea)on and skills development. Poten)al investments into educa)on, SMMEs, community health and infrastructure development. Combus2ble renewable energy (CRE) or tradi2onal biomass energy contributes around 10% of the world s Total Primary Energy Supply and cons2tutes 80% of the total renewable energy. It is consumed mainly in developing countries. - Bahuet, Christophe, New Era of Plan7ng Energy Forum, UNDP China 6

7 4. Beneficia2on value chain Developing the biomass beneficia)on value chain could unlock significant quan))es of biomass currently removed as alien vegeta)on. This not only has a benefit of improving South Africa s water security but could poten)ally unlock a number of jobs through the green economy. Looking deeper into the beneficia)on value chain also iden)fies gaps or opportuni)es that allow the product to go to market sooner or to grow small businesses in rural communi)es. Process biomass Alien vegeta2on biomass Biomass applica2on value chain Trunks Debris Chips Energy Timber & Fiber Carbon / Compost Logis2cs Manufacturing End product Figure 4: Biomass beneficia2on value chain 7

8 5. Biomass to energy: Sappi Sappi Southern Africa is set to build a 25 MegaWa[ biomass power plant at its Ngodwana Mill in Mpumalanga. Sappi have invested in the expansion and modernisa)on of the plant, enabling higher produc)on capacity in biomass fuel. Biomass is currently sourced in Sappi planta)ons. 344 jobs have been created during the 24 month construc)on phase and 120 direct jobs during opera)ons and maintenance phase. 1,5% of revenue during the opera)onal phase will be spent on socio- economic development, represen)ng a long- term commitment in skills development, educa)on, nutri)on and social welfare. The project will contribute to the growth and development objec2ves of the Na2onal Government, Mpumalanga province, the communi2es and businesses in the vicinity as well as Eskom and the ci2zens of South Africa SA Forestry, April 15,

9 5. Energy Landscape in South Africa South Africa has a high level of Renewable Energy poten2al with a target of 10,000 GigaWa[. Almost 4,000 MegaWans energy is targened from renewable sources to ensure con)nued uninterrupted supply of electricity. South Africa is becoming a world player in renewable energy and on its way to achieving government s goal of 30% clean energy by 2025, according to a report from the Department of Energy (DoE). This is being achieved through focusing on alterna2ve sources of energy - Alien vegeta)on like indigenous vegeta)on has it s uses in providing alterna)ve sources of energy. In 2012 South Africa produced 10.7% of it s energy through biofuels and waste this is expected to increase to 18.2 GigaWan by 2030 according to DoE. The Loma2 biomass power genera2on project (in Mpumalanga) using biomass generated energy for power supply to specific sec)ons of it s own planta)on, along with supply of 562,183 MegaWan renewable electricity annually to the grid, reducing annual carbon emissions to around 55 kilotons per year. Government is commi[ed to diversifying its energy mix and this include the introduc2on of renewable energy at a large scale 9

10 5. Biomass fuel for export: Coega Coega Industrial Development Zone, outside Port Elizabeth, secured R70- million investment in 2007 for biomass fuel pellets project. Exported wood pellets used in Europe for private homes and to fire power sta)ons. Biomass sourced from forest residue, sawmill waste and alien vegeta)on from the Eastern Cape with some scrap wood from government's Working for Water programme. 100 Jobs created during plant construc)on with further 60 direct and 3,000 indirect jobs. 2011/2012 Annual report iden)fied world demand for wood biomass pellets as Million tons annually, with forecast to exceed 45 Million tons over next two years. 10,000 Tons per month supplied to developing European markets. 10

11 5. Heat energy: Biomass pellets Wood pellets are a renewable and sustainable biomass fuel. They are generally small, highly dense and compact, unlike other biomass fuels such as wood chips. These characteris)cs make a stack of wood pellets easy to store and transport. Their small, regular, uniform shapes enable them to flow like a fluid, resul)ng in easy feeding of automated hea)ng systems. Although South Africa is well posi2oned to take its share of this globally growing market, there is currently limited wood pellet produc2on with most exported. There are power plants and hea)ng plants in Europe running on 'green' fuel shipped from South Africa. Biomass pellets can provide an ideal solu)on to the growing sustainable energy challenge. Direct thermal conversion of three million tons of wood pellets displaces the equivalent of almost 1,4 billion litres of fuel oil. 11

12 5. Biochar for soil condi2oning Biochar is gradually gaining interest globally as a climate change mi)ga)on measure in the agriculture forestry. Biochar is produced in the absence of oxygen through pyrolysis, mainly from biomass material Soil benefits Typically found in soil from vegeta)on fires & historic soil management prac)ces. Can be important tool to increase food security and cropland diversity. Improves water quality and quan)ty by increasing soil reten)on of nutrients and agrochemicals. Environmental benefits Carbon in biochar resists degrada)on. Can hold carbon in soil for hundreds to thousands of years. Sustainable biochar prac)ces can produce oil and gas byproducts that can be used as fuel for clean, renewable energy. Biochar and bioenergy co- produc)on sequester carbon in stable soil carbon pools, may also reduce emissions of nitrous oxide Figure 5: Biochar oveview Biochar Interna2onal organisa2on 12

13 5. High value product: Ac2vated carbon Ac)vated carbon is a highly porous substrate with a large surface area used to purify food, water and metals. Ac)vated carbon has a very high adsorp)ve capacity making it suitable for use in industrial processes and water/wastewater treatment. Its adsorp)ve proper)es makes it an extremely efficient cleaner and is used in industry to clean chimney gas and waste water, to name just a few. Special men)on must be made of the age- old process of making charcoal, pyrolysis. In the last 10 years, pyrolysis has received renewed interest based on its carbon nega)ve poten)al. As pyrolysis plays a greater role in the fight against climate change, so it will lead to further developments in char and ac)vated charcoal. Figure 6: Carbon product value pyramid Adsorb Technologies 13

14 5. Compos2ng: Carbon reservoirs Use of compost can reduce need for fer2liser, improve soil structure and reduce soil borne diseases. At least 30% of biomass waste in landfills can be used to create compost. A significant amount of carbon dioxide can be trapped, preven)ng release to the atmosphere. Compos)ng has many uses as a soil condi)oner and fer)lizer. It can help with erosion control and stream reclama)on. An applica)on rate of 5 tonnes of biochar per hectare can decrease fer)lizer needs by 7% as a result of increased nutrient availability. Unlike manure, compost and fer)lizers, several growing seasons are needed due to its resistance to decomposi)on in soil. 14

15 5. School desks from alien biomass The project started 10 years ago, with a focus on invasive alien biomass to manufacture school desks for the Department of Basic Educa)on. It has benefited 250 learners at Maatla Primary School in Maruleng, Limpopo by providing them with desks The project is expected to create over jobs through the programme, across the country. Currently 226 full- )me job opportuni)es have been created for previously unemployed people at the Ga- Rankuwa factory, mainly from the city of Tshwane s Tshepo programme. Besides the crea)on of employment opportuni)es, the project provides extensive training in fields that have a good absorp)on rate in the public and private sectors. However, experience has shown that employees tend to remain with the factories, as there are career progression opportuni)es. The factory is also embarking on the establishment of a training facility. 15

16 5. Key takeaways 1 The removal of alien vegeta2on will unlock large amounts of water 2 Significant amount of alien vegeta2on can be used for genera2ng energy 3 Biomass applica2ons will be beneficial for the environment 4 5 (Scalable) Biomass beneficia2on will create sustainable skills & jobs in the Green Economy Value Chain development will iden2fy gaps and other poten2al opportuni2es 16

17 Contribu2on & thanks Special thanks: Thank you to WWF South Africa Water Source Areas Program team. Note: All references used in developing this document are available from Tomorrow Maners Now TOMA- Now on request. Videos suppor)ng some of the content can be found on now.com 17

18 About us Contacts Tomorrow Ma[ers Now TOMA- Now is a management consultancy that focuses on results oriented sustainability with tangible business impact. More specifically, we're value chain specialists that create tangible impact for our clients through innova)ve and highly implementable solu)ons. Sustainable innova2on in ac2on Contact us to learn how to develop your value chain. For the latest case studies, best prac)ces and market insights, visit now.com info@toma- now.com T M Tomorrow Maners Now Tomorrow Maners Now TOMA- Now Online 18