SeriesBiomass Heating 101: The Basics

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1 SeriesBiomass Heating 101: Case Study The Basics Presentation to: Vermont Woodchip and Pellet Conference January 16, 2012 Sarah Galbraith Operations Manager Sarah Galbraith, Operations Manager Biomass Energy Resource Center

2 Definition of Biomass Biomass is any organic matter that can be used for energy. Forest-Derived Wood chips Wood pellets Cordwood Agricultural Residues Methane Manure Corn stover Energy Crops Corn Hybrid poplar Willow Grasses

3 Vermont s Biomass Fuels

4 What Are the Benefits of Local Biomass Energy? Offsets fossil fuel & electric use for heating Reduces heating costs Keeps energy dollars in the community Increases energy security Uses a locally-available available renewable resource Acts as a force for sustainable forestry Can be a meaningful way to address climate change Supports forest-products industry and creates jobs

5 US Energy Consumption by Energy Sector Thermal Electric Transport Source: US Energy Information Administration

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7 U.S. Dependence on Foreign Oil Use Oil Have Oil U.S. 26% Saudi Arabia 26% Japan 7% Iraq 11% China 6% Kuwait 10% Germany 4% Iran 9% Russia 3% UAE 8% S. Korea 3% Venezuela 6% France 3% Russia 5% Italy 3% Mexico 3% Mexico 3% Libya 3% Brazil 3% China 3% Canada 3% Nigeria 2% India 3% U.S. 2% Updated August 2002 Source: International Energy Annual 1999 (EIA), Tables 1.2 and 8.1.

8 Crude Oil Production in the US Peak Production in 1970 Crude Oil Annual Production, Billion Barrels

9 Biomass for Heat: A Cost-Effective Fuel $45.00 $40.00 $35.00 Heating Fuel Costs (per MMBtu after Combustion) $40.76 $33.82 Cost ($ $/MMBtu) $30.00 $25.00 $20.00 $15.00 $15.00 $19.34 $13.39 $10.00 $7.22 $5.00 $0.00 Natural Gas ($12.00/dk) Oil ($3.50/gal) Propane ($3.00/gal) Fuel Type Woodchips ($50/ton) Wood Pellets ($240/ton) Corn ($140/ton) Heating with biomass is less expensive than heating with fossil fuels. Biomass Energy Resource Center, 2010 All Rights Reserved

10 Cost-Effectiveness Some Additional Perspective. Pi Price of fwoodchips Equivalent Price of Heating Oil $30/GT $40/GT $50/GT $60/GT $70/GT $80/GT $90/GT $100/GT $0.51/gallon $0.68/gallon $0.86/gallon $1.03/gallon $1.19/gallon19/gallon $1.37/gallon $1.53/gallon $1.70/gallon

11 What Are the Benefits of Local Biomass Energy? Offsets fossil fuel & electric use for heating Reduces heating costs Keeps energy dollars in the community Increases energy security Uses a locally-available available renewable resource Acts as a force for sustainable forestry Can be a meaningful way to address climate change Supports forest-products industry and creates jobs

12 Local Energy A relationship between communities and their forests

13 Woody Biomass Fuels Cordwood Woodchips Wood Pellets

14 Technology Options BIOMASS FEEDSTOCKS FEEDSTOCK STORAGE FEEDSTOCK HANDLING HEAT DISTRIBUTION Woodchips (hardwood, softwood, bole, whole-tree chips) Pellets (Grass, sawdust, agricultural residues) Below-grade bin Above-grade (on slab storage) Silo (inside, under a roof, or outside) Fully -automated Semi -automated t Manual Hot water Steam Hot air Cordwood Agricultural crops (corn)

15 The concepts are the same Emissions Fuel Fuel Storage Boiler Fuel Conveyor Ash but the technology is quite but the technology is quite different.

16 Wood Fuel Comparison: Best Applications for Woodchips Larger facilities/districts, generally over 2.0 MMBtu/hour systems Where fuel cost savings are very important Where there s room for: new boiler, fuel storage bin, tractor trailer access In/near forested areas with active forest products industry, usually within 50 mile radius Can acquire a wider range of fuel qualities

17 Wood Fuel Comparison: Best Applications for Wood Pellets Residential use (stoves & central heat) Smaller commercial facilities, less than 2.0 MMBtu/hour Locations with limited space Sites not far from a pellet plant

18 Wood Fuel Comparison: Best Applications for Cordwood Facilities with small to moderate heat loads Where fuel cost savings are very important Where facility managers can handle the increased labor time In/near forested areas with active forest products industry Where high quality fuel is not often available, or facility has access to scrap wood, agricultural feedstocks, etc.

19 Selecting a Technology Building Size (square feet) 25,000 50,000 50, ,000 > 100,000 System Size (likely) MMBtu/hr MMBtu/hr MMBtu/hr Fuel Type (likely) Pellets Pellets or Woodchips Woodchips System Type (likely) Fully automatic Fully or Semi-automatic Fully automatic Storage (likely) Outdoor silo Outdoor silo or slab-on-grade Below-grade concrete bin

20 Technical Assistance Determination of energy requirements Identification of best options Feasibility assessment Equipment sizing System layout Financing Fuel contracting and quality assurance Commissioning

21 More Resources Wood Pellet Heating: A Reference on Wood Pellet Fuels and Technology for Small Commercial and Institutional Systems Woodchip Heating Systems: A Guide for Woodchip Heating Systems: A Guide for Institutional and Commercial Biomass Installations

22 Biomass Energy Resource Center (BERC) BERC is a national not-for-profit organization working to promote responsible use of biomass for energy. BERC s mission is to achieve a healthier environment, strengthen local economies, and increase energy security across the United States by developing sustainable biomass systems at the community level.

23 BERC Services Fuels For Schools and Communities Feasibility studies System design and technology recommendations Fuel availability and quality assessments Emissions testing and analysis Technical assistance Information and outreach

24 Community Scale Biomass Energy Database

25 Thank You! Contact Information Sarah Galbraith Operations Manager Biomass Energy Resource Center 43 State Street, Montpelier, VT x130 g