Procurement costs of cereal straw and forest chips for biorefining in South-East Finland

Abstract

In Finland the increasing use of biofuel in transport presupposes a search for new raw material sources for biorefining. The aim of this study was, at the regional level, to compare the procurement costs of logging residues, stumps, delimbed stems and cereal straw for biorefining. The accumulation and procurement costs of forest chips and cereal straw were estimated within a 100-kilometre transporting distance via existing road network from an end-use-facility located in Kouvola in South-East Finland. The analyses were performed as simulated treatments in thinnings of young stands, cereal fields and regeneration fellings using existing productivity and cost functions and yield calculations based on crop statistics, the forest industry stand data and the sample plots data of the National Forest Inventory of Finland. Accumulation of raw material assortments and costs of production stages were defined per dry tonnes. Subsidies and raw material prices were excluded from consideration in the study. The results indicate that recovering logging residues requires lower costs than utilization of stumps, delimbed stems or cereal straw. Cereal straw represents an important source of biomass in Kouvola but the cost competiveness is poor compared the procurement costs of forest chips. When the annual procurement volume of biomass was 50 000 dry tonnes the cost at the plant was 49 € dry tonne and biomass was comprised totally of logging residues. Procurement cost grew to 59 € dry tonne when the annual procurement volume of biomass was doubled to 100 000 dry tonnes. Of that amount, the proportion of logging residues was 58.4%, stumps 24.3% and delimbed stems 17.3%. First cereal straw dry tonnes were delivered to end-use-facility, when procurement cost grew to 60 € dry tonne and annual procurement volume of biomass was 110 000 dry tonnes.–1–1–1