The GREBE Project has published its fifth e-zine to showcase the activities and ongoing goals of the project.
We held our 6th partner meeting in Narvik, Norway in June, and the Western Development Commission, Action Renewables, the Environmental Research Institute and the Natural Resources Institute attended the Arctic Project Clustering Event in Skelleftea, Sweden, organised by the NPA, Interreg Nord, Botnia-Atlantia and Kolartic Programmes.
Our partners in Finland and Norway held Industry Advisory Group meetings and to coincide with this, a policy workshop was organised by Narvik Science Park. Our work is continuing on other project activities. Narvik Science Park has published a Report on Innovations from Local Technology and Business Solutions. Our Entrepreneur Enabler Scheme in Northern Ireland is complete and we have started to roll it out in Finland and Scotland. Full details are outlined in our e-zine which can be downloaded from the GREBE Project website here
The heat entrepreneurs have been actively involved in the latest developments of the solar power in North Karelia, Finland. Several investments will take place this autumn to provide renewable electricity for district heating plants.
Finnish heat entrepreneurship is mostly based on biomass. The number of heating plants has increased steadily between the early establishments in 1990’s, to 330 plants in 2006 and 618 in 2015. About 25 % of the plants were connected to the district heating network, and the median size of the heating plants is 500 kW. The heat enterprises are mostly private companies (43%), cooperatives (12.7%) and other types of firms, mostly single entrepreneurs (44.5%).
The heat entrepreneurs have become increasingly interested in solar power integrated to the heating plans. The plans have stable electricity consumption profiles, i.e. less hourly variations compared to many other end-users. The systems require very limited service and maintenance work, and profitability is better than in solar thermal. The economic analyses indicate that the new investments in DH plans located in North Karelia will have approximately 11-15 years paybacks and 5-9 internal interest rates.
The Power from the Sun project, run by Kim Blomqvist from GREBE project partner Karelia UAS, has supported the establishment of the systems in four energy enterprises in Eno, Tuupovaara, Kiihtelysvaara, Kontiolahti and Biowin Karelia Ltd. The investments have received 25% energy support from the Finnish Funding Agency for Innovation. Seven solar power plans have total capacity of 70 kW, varying between 5 to 21 kW, and estimated annual production is 52 000 kWh. The systems will be provided by a local company Mirotex Ltd. and installed in September.
Another record in Finland: “Record-high consumption of wood fuels last year”
“In 2016, heating and power plants consumed a total of 19.3 million solid cubic metres of solid fuelwoods, representing an increase of 6 per cent from the previous year, and more than ever before. The total consumption of wood fuels reached an all-time record as well.
In 2016, wood fuels were the most important source of energy in Finland, accounting for 26 per cent of the total energy consumption.
Forest chips used as in the previous year
The most significant solid wood fuel used by heating and power plants was forest chips, the consumption of which increased by one per cent year-on-year to 7.4 million cubic metres.
The use of forest chips in the combined production of heat and power continued to decrease, shrinking by 6 per cent year-on-year to 4.5 million cubic metres, says Senior Statistician Esa Ylitalo of Natural Resources Institute Finland.
However, the use of forest chips in the generation of heat only increased by 14 per cent, to 2.9 million cubic metres. Together with the forest chips burned in small-scale housing, total consumption reached 8.1 million cubic metres.
Small-sized trees the most significant raw material of forest chips
More than half, or 3.9 million cubic metres, of the forest chips consumed by the plants were manufactured from small-sized trees, i.e. pruned small-diameter stems and unpruned small-sized trees. The second most common source, 2.5 million cubic metres, was logging residues. The use of stumps as raw material for forest chips came to 0.8 million cubic metres, and that of large-sized timber, not suitable for the manufacturing of forest industry products, to 0.3 million cubic metres.
The use of solid by-products for energy generation on the rise
Plants consumed 8 per cent more forest industry by-products and wood residues than in the previous year, a total of 10.9 million cubic metres. The main material used in burning was bark, accounting for almost 70 per cent, or 7.3 million cubic metres, of by-product wood. The use of nearly all types of solid wood fuels increased from the previous year. Proportionally, the greatest increase (+31%) was seen in the consumption of wood pellets and briquettes, and recycled wood (+29%).
The consumption of solid wood fuels was highest in the Central Finland region, while most forest chips were burned in Uusimaa and most forest industry by-products and wood residues in South Karelia.
Record-high amounts of wood used in energy generation in 2016
Based on preliminary data by Statistics Finland, the consumption of wood fuels in energy generation was record-high in 2016, a total of 96 terawatt-hours (TWh). Of the total consumption of wood fuels, solid wood fuels of heating and power plants covered 37 TWh, the combustion of black liquor 41 TWh, the small-scale combustion of wood 17 TWh and other wood fuels 2 TWh. Wood fuels were the most important source of energy, accounting for 26 per cent of the total energy consumption.” (Luke News)
The Original news article can be found from Luke´s news section under:
An ongoing study by Karelia UAS, Natural Resources Institute Finland (LUKE) and Finnish Forest Centre analyses local socio-economic impacts of heat entrepreneurship based on local wood fuels.
The study focuses on the case of Eno Energy Cooperative – a local heat enterprise producing annually about 15 500 MWh heat with local woodchips for both public and private customers.
In Eno, replacing heating oil with renewable alternative has resulted 4.1 MEUR cost savings in 2001-2015. The savings, resulting mainly from significant price difference, are allocated to both public municipal customers (1.8 MEUR) and private household customers (2.3 MEUR). As this income is further invested, it generates additional socio-economic benefits. Assuming that public sector used the savings for local social services and households for local retail/commerce, additional induced socio-economic income impact was about 2.85 MEUR and employment impact about 75 jobs.
These impacts, resulting of cost savings, are very significant for the local economy. As the study continues, also the forest owners’ benefits, impacts of the plant construction, and the economic supports will be considered in detail.
Eno Energy Cooperative attends GREBE EES Scheme in Finland (autumn 2017). The Co-op also shares actively identified practices through the networks of heat entrepreneurs both regionally and nationally, and is also know reference site for international visitors.
The total amount of roundwood removed from Finnish forests for the forest industry or energy production was 70 million cubic metres in 2016. The figure was a new record and more than two million cubic metres higher than during the previous year.
According to statistics by the Natural Resources Institute Finland (Luke), a total of 62.1 million cubic metres of roundwood were harvested for export or for the production of forest industry products. Of this volume, sawlogs accounted for 26.3 million cubic metres and pulpwood for 35.8 million cubic metres. The total volume increased by 3.3 million cubic metres or six per cent on the previous year. The industrial roundwood removals exceeded the annual average of the previous ten-year period by 9 million cubic metres or 17%.
A total of 8.2 million cubic metres of stemwood were harvested to be used as wood chips in heat and power plants or as fuelwood in residential housing. The volume decreased by 11% on the previous year, but was eight per cent higher than the average of the previous ten-year period. In addition to stemwood, logging residues and stumps were harvested from forests for energy production, totalling slightly less than three million cubic metres.
Volumes of wood to be used as wood chips are now recorded in the statistics on the basis of information reported by harvesting organisations, while in previous years the statistics were based on consumption volumes. This means that the information relating to the area where the forests are located and the right time, similarly to industrial roundwood, says Senior Statistician Jukka Torvelainen of the Natural Resources Institute Finland (Luke).
Total roundwood removals 70 million cubic metres, more than 85% of the maximum sustainable felling potential
The forest land used for wood production has close to 2,200 million cubic metres of roundwood. Luke estimates based on the results of the National Forest Inventory 11 that 81 million cubic metres of stemwood can be harvested in a sustainable way annually in this decade. Of this volume, 70 million cubic metres or approximately 87% were harvested in 2016. However, there was considerable regional variation in the utilisation rate of felling potential. Roundwood removals exceeded the estimated annual felling potential in many regions in Southeast Finland and in Häme. The utilisation rate for spruce was higher than that for other tree species, says Torvelainen.
Roundwood drain increased to 86 million cubic metres
The total annual drain is the combination of roundwood removals, logging residue left in the forest and naturally dead trees left in the forest. In 2016, the latter two totalled just over 15 million cubic metres, causing the annual drain to reach almost 86 million cubic metres. The volume was four per cent higher than during the previous year.
The annual increment of growing stock totals approximately 110 million cubic metres. It thus exceeded removals and natural drain by almost 25 million cubic metres even last year.” (Luke News)
The Original news article can be found from Luke´s news section under:
An open call for businesses to participate in GREBEs Entrepreneurship Enabler Scheme (EES) in Finland was launched in April 5th and ended in May 12th. The three companies to participate in the EES mentoring process during next autumn are Eno Energy Cooperative, Rajaforest Ltd. and Havel Ltd.
GREBE partner Karelia UAS shared information on the Finnish EES roll-out in public industry events and website. The scheme received the attention of SMEs considering renewing their business strategy and improving production development and efficiency. The selected companies are famous for long-term operation and innovation activities in forest energy.
Eno Energy Cooperative has been an example of heat entrepreneurship based on local forest raw materials. The cooperative with 54 members (mostly forest owners), was rewarded in 2014 as a Heat Entrepreneur/enterprise of the year. The cooperative is also famous as active developer in the sector, and generates significant socio-economic benefits to its surrounding region.
Rajaforest Ltd. is a forest contracting company and a heat enterprise. The company supplies timber and forest fuels, operates three municipal biomass district heating plant in Tohmajärvi, and owns and operates one in Kesälahti.
Havel Ltd. is a metal and plastic products manufacturer located in Ilomantsi. The company is a famous innovative product developer for forest technology and forest energy sector, among others. The company has also significant growth potential, in which GREBE EES can provide tailored support.
The EES in Finland has started with preliminary interviews and mentoring sessions will begin in autumn 2017.
The GREBE project partners are holding their sixth partner meeting this week in Narvik, Norway. The Western Development Commission and the Norwegian partners Narvik Science Park have been working together to prepare a programme to fit in as much as possible.
During the first part of our partner meeting we discussed our activities since our meeting in Finland in February and progress on rolling out our Entrepreneur Enabler Scheme to the partner regions, and plans for the next six months. Discussions are taking place on other work package activities including the development of our online funding options decision making tool, our Virtual Energy Ideas Hub and the development of a Renewable Energy Resource Assessment Toolkit. Tomorrow (Thursday) we will visits to Statkraft, Nordkraft, Fortum Wind Park and meetings with some other SMEs in the Narvik area. We will have details of our activities in future blog posts and our next e-zine.