Argus Nordics: Sustainable Biomass
It was a pleasure to participate in the 2022 Argus Biomass Nordics and Baltics Conference, in Copenhagen, to introduce hemp as a “Star Fuel of the Future”.
Let me begin by saying that it was a particularly interesting time to attend this year as the biomass industry is currently under immense scrutiny from the media due to a lot of focus on the actual benefits of burning of forest wood to produce fuel and also the undeniable fact that we are facing a very harsh winter, placing the energy companies under enormous pressure.
I was on a platform with leaders from the sector such as Andy Hill (Chair at the SIA), Carsten Huljus (CEO at the SBP) and Mads Thomsen (Director at CM Biomass). As the hemp biomass expert it was a great honour to present amongst such notable peers.
There were, as you might expect, a few raised eyebrows as I tried to explain the differences between Hemp and Cannabis, but the reception was great overall and I was approached by several attendees who were keen to understand more about the plant, its performance and above all, its impressive sustainability credentials.
I was delighted how receptive many of the attendees were to learn more about how our new software platform could unlock the potential of this crop for the bioenergy, construction and feed sectors. In part, due to its ability to help overcome the considerable obstacles that exist in establishing a sizable agri biomass supply chain for both producers/farmers and buyers/industry customers.
I have always had reservations about the environmental side effects of woody biomass, particularly with shipping them across oceans to Europe to produce heat and power. I would be lying if I said I did not. It was in fact one of the main reasons for founding Rare Earth Global - to explore a local and sustainable alternative. That said, I am fully aware of the enormous pressure facing the energy industry, and that there is no magic bullet at this moment.
The operators and companies I met and heard present at the conference came across as wanting to leave no stone unturned when it comes to traceability and sustainability. Every executive I saw present or met knew the ins and outs of how their supply chains work and placed the environment and its preservation as the nexus and determinant of how good a job they were doing. And believe me, as a former professional interviewer, I can smell the bull faster than most. They meant it.
So, let’s look at the pertinent points - the electricity generated from these operations is fundamental to our way of life. Compared to other renewables, such as wind and solar, biomass derived power generation is not climate dependent and can be relied upon when winter’s darkness comes and the cold sets in. Until battery storage technology and infrastructure is dramatically improved (which is decades away) European economies are under considerable exposure without biomass energy unless they turn back to burning coal.
Also, it is claimed, and in many cases accurate, that the forestry biomass utilised would not be utilised by any other industry offtake were it not for the existence of these supply chains - meaning it would rot on the forest floor and increase CO2 levels exponentially. Even in this regard, these companies have strict quotas to observe regarding the quantity and shape of biomass that is left to rot to ensure that the biodiversity levels within forest soils are given the greatest opportunity to fulfil their natural lifecycle.
In essence, these enterprises ensure that the forests and number of trees planted is never at a deficit as a result of their operations. And they do actually ensure this happens with verification teams and audits on a regular basis. So can we reasonably ask for more from the companies whose heat and power generation we so heavily rely on? Other renewables are certainly not able to account for that baseload required to meet the needs of our households and economies. To suggest that this type of operation is anything but an improvement on just burning fossil fuels such as coal seems farfetched.
In summary, my take away impressions were that the biomass industry has left a lot to do when it comes to communicating its values and what it stands for. What is clear to me now, having just had dozens of interactions at the conference with other movers and shakers in this space, is that the individuals and companies within this sector are suffering as a result of their inability to communicate their position in a clear, concise and credible manner.
My personal journey from critic to grudging admirer of their high standards is thus potentially worth sharing. My business is a disruptor in this space as we focus on agro biomass as a residual from farming. We turn farming waste that would otherwise be burnt in a field into a pellet to be utilised as a feedstock for power generators as a sustainable alternative biomass.
We have our own identity to establish but I do hold hope for two things:
that long term agri biomass sector holds itself as accountable as those I have met on the woody biomass side; and
that the critics take a second to appreciate that we do not have the perfect solution to clean energy today but we will continue to do all we can to make progress.