The Winston Churchill Memorial Trust of Australia

Report by Phoebe Maroulis 2003 Churchill Fellow

The Swire Group Churchill Fellowship to investigate the commercial and technical feasibility of supplying rural and remote communities with renewable energy, particularly bioenergy opportunities as a combined management tool for woody shrub invasion and energy supply

I understand that the Churchill Trust may publish this Report, either in hard copy or on the Internet or both, and consent to such publication.

I indemnify the Churchill Trust against any loss, costs or damages it may suffer arising out of any claim or proceedings made against the Trust in respect of or arising out of the publication of this Report submitted to the Trust and which the Trust may place on a website for access over the Internet.

I warrant that my Final Report is original and does not infringe the copyright of any person, or contain anything which is, or the incorporation of which into the Final Report is, actionable for defamation, a breach of any privacy law or obligation, breach of confidence, contempt of court, passing-off or contravention of any other private right or of any law.

Signed

Dated

Index
Introduction Executive Summary Programme Main Body Conclusions Recommendations Bibliography Recommended Contacts Definitions 2

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Introduction
My Churchill Fellowship to study the use of woody weeds as a bio-energy source involved visiting cooperative research centres, universities, private companies and individuals in Canada, the United States and the United Kingdom.

The main issues I examined were: a broad overview of renewable energy generation and storage technologies provision of energy in remote regions biomass as a feedstock for electricity generation biomass as a liquid or gaseous fuel

The aim is renewable energy production that reduces greenhouse gas emissions, enhances ecosystem functions and contributes to robust rural and regional economies Brian Keating, CSIRO Sustainable Ecosystems 1993

I would like to acknowledge the enormous amount of time and support given to my pursuits by Philip Hams, without Philips input my batteries would have been flat long ago. Thankyou also to Sharon Knight and Michael Mangold for what has been a lengthy period of support and encouragement and to Phil Johnson for committing to assist me in achieving the commercialisation of a bioenergy industry.

I would also like to acknowledge the generous support of The Swire Group through their sponsorship of my fellowship and support upon my return home.

Thankyou to the companies and individuals with whom I met and who assisted in the preparation of my visits, in particular Alan Stewart and Bob Wynne.

Thanks must of course also go to my family, you know who you are and how you supported me.

Executive Summary
Phoebe Maroulis Cicero Design Sustainable Design and Development Consultancy Pine Hill, Dry Bogan Road Bourke, NSW, 2840

pine.hill@bigpond.com
Ph/Fax: 02 6870 1681

There has been a growing realisation amongst land managers and the wider community that many of our historical agricultural systems are becoming less productive and have limitations to ecological and economic sustainability. This realisation has led to a growing interest in understanding and assessing resource capability. This report aims to assist such a process by providing opportunity for alternate income generation through the utilisation of woody weed biomass.

Woody weeds is a term given to a number of native Australian plants, which are rapidly infesting large areas of the semi-arid and arid regions of NSW. Growing up to 3m high, woody weeds occur as individual plants, in clumps, or more commonly as dense stands. Woody weeds cause a range of management difficulties for graziers and are greatly inhibiting the viability of Western Division grazing country.

Currently there are a range of bio products for which workable technology exists to convert woody weed biomass to energy and bi-products. These technologies would add to the potential grazing enterprise mix thus aiding both the ecological and economic sustainability of the agricultural operation. The limiting factor is bringing the cost of these technologies down in order to make the products fossil fuel competitive or alternatively by realising the potential of alternate industries to add to the existing land management mix.

The main biomass technologies identified as showing potential for the Bourke region were thermochemical processing technologies. Whilst combustion technologies have been proven and are currently operational, the industry believes the future lies in small-scale biorefineries generating high value fuels and bio-products using advanced technology such as hydrolysis and thermochemical conversion rather than the direct production of heat and electricity through combustion. These biorefineries can be scaled to operate on a property level through to a regional level, depending on the technology used, availability of woody weed matter and the outputs required.

The key method of pursuing this potential will be through close alliance with both The Bourke Shire Council Economic Development Unit and the Western Catchment Management Authority.

Highlights
The majority of my learning occurred in Colorado with visits to Community Power Corporation, a modular bioenergy research and production facility, and to the US Department of Energy Renewable Energy Laboratory. Both of these facilities highlighted that the future of commercial bioenergy lies in advanced bio-refinery processes such as pyrolysis and gasification rather than the traditional combustion. 3

The trip revealed the enormous breadth of biomass technology that is under development and the exciting potential that is provided in the utilisation of our woody weed resource. I was also encouraged by the fact that the majority of the small-scale technology that is being investigated can be used in conjunction with existing land management processes so that it adds value to existing operations rather than requiring a complete shift in land management operations.

Programme
Date: 11/2/04 15/2/04 Location: Vancouver Contacts: Erica Branda (Institute for Fuel Cell Innovation) & Erin Bigelow (Fuel Cells Canada) Main Purpose of Visit: To learn more about fuel cell technology and identify opportunities for the use of fuel cells in the Bourke Shire. Outcomes: A fuel cell is an electro-chemical energy converter. At the simplest conceptual level it combines hydrogen with oxygen to produce water and (heat) electricity. It is possible to build combined heat and power (CHP) systems based on fuel cells, delivering electricity and heat from 80 to 800 degrees C. At this stage although fuel cell technology would appear to have an important role to play in projects in remote areas such as Bourke, it is not currently economically feasible.

Date: 15/2/04 21/2/04 Location: Whitehorse, The Yukon, Canada Contacts: Doug Maclean, Hector Campbell, Don Flinn, Donna Mercier Company: Yukon Energy & The Energy Solutions Centre Main Purpose of Visit: To discuss strategies for distributed energy supply in a remote region Outcomes: The Yukon has a large supply of electricity through a major hydro power scheme the main requirement is for liquid fuels and distributed energy solutions for the remote parts of the Territory where diesel currently accounts for around 90% of energy production! Due to the geography of The Yukon bioenergy was not deemed to be a feasible alternative and their main focus is on wind generation. Yukon Energy did a feasibility study looking at using the hydro electricity to convert water to hydrogen and then using fuel cell technology, transporting the hydrogen to the remote areas for conversion to electricity. Three years ago this proposal wasnt feasible but improvements in fuel cell technology etc may make it a possibility in the near future. The Canadian experience suggests that hybrid solutions are imperative both economically and logistically. There was an emphasis on the need for full and extensive testing and monitoring prior to project commencement. If the project fails it will set the whole industry back a long way, it is therefore better to take the appropriate time in the first place. Although emissions trading remains an emerging market, Yukon Energy expects that greenhouse gas credits will be a highly valued commodity within a regulated environment. Yukon Energy has a Portable Solar Hybrid Unit demonstration project which is used around the Yukon when additional power is required eg community events. A similar unit based on bioenergy could be used in the Bourke region. We touched on the concept of Municipal ownership and investment in project development. This is an area that should be pursued.

Date: 22/2/04 24/2/04 Location: Tracey Biomass Plant - California Contacts: Jerry DesRoche & Steven Truran Company: National Power & Tracy Operators Main Purpose of Visit: To visit an operating biomass plant and discuss potential for Australian biomass development from the perspective of National Power. Outcomes: Tracy is a viably operating 22Mw biomass generation plant. It is considered an excellent size for biomass generation as it is large enough to achieve required economies of scale and yet is not so big so as to create fuel supply issues, or heavy traffic demands in the area (this starts occurring at around 30Mw) 15 years ago the US government offered a heavily subsidised opportunity for biomass plants 5-6 biomass plants still operate economically in California as a result of this program. The key to the program was that it was long-term so as to provide security of investment and opportunity to pay back capital expenses. Tracy takes 50% of its fuel from the horticulture industry (mainly through the removal of orchard trees and from thinnings and prunings) and 50% from industry wood. Some American States are looking at mandatory renewable energy targets (MRETs) it is felt that this will improve the uptake of bioenergy and that it is important to pursue MRETs in Australia. Fuel supply to the plant door needs to be less than $25/tonne dry (dry means less than 40% moisture content) There is USA CSIRO evidence to show burning for power is better for greenhouse gases than rotting wood. The plant uses approximately 300,000 gallons of water/day (although this figure was sketchy) The plant is open for biomass receivable 24 hours a day 7 days a week with very quick transfer rates this is seen as an advantage. Cost of industrial timber approx $15/tonne, agricultural approximately $30/tonne (this has some subsidy from Government) dry to 30% including transport Images of pollution from ground burning will help sell the technology National Power is looking for 450000 tonnes of biomass at approx 45% moisture (although less would be better) for a 30Mw plant in South Australia

Date: 25/2/04 29/2/04 Location: Davis, California Contacts: Bruce Hartsough Company: University of California Davis Campus Main Purpose of Visit: To investigate the Californian experience in relation to Woody Weed management and to identify new industry potential through the utilisation of the bio-matter. Outcomes: I was unable to establish contact with Bruce Hartsough prior to my visit, which was disappointing. As a result I visited with a number of faculties at the University and did extensive research through the University library. Through this research I established that the management techniques that were being used to control the Woody Material were not economically viable as an alternate industry in the United States. This was mainly because the vegetation was not seen to have as significant an economic impact on grazing viability as it does in Australia.

Date: 1/3/04 7/3/04 Location: Power-Gen, Renewable Energy Conference, Las Vegas Key Contacts and Companies: A range of companies and technologies were investigated, with a core list established for follow up. Main Purpose of Visit: To gain an overview of the latest renewable energy technologies and to establish contacts with the key players in the industry Outcomes: The conference provided an excellent opportunity to see the latest technologies and to meet with relevant industry contacts to pursue potential opportunities. The conference was a superb method of gaining a broad industry overview. The main technologies pursued following these conference leads were thermochemical processes.

Date: 1/3/04 Location: Hoover Dam, Nevada Company: US Bureau of Reclamation Main Purpose of Visit: To investigate the impact and potential provided by hydro electricity Outcomes: Hydro electricity is not a viable option for the Western region of NSW

Date: 1/3/04 Location: Las Vegas, Nevada Company: Air Products www.airproducts.com/h2energy Main Purpose of Visit: To investigate the technology surrounding the co-production of hydrogen fuel and electric power. Outcomes: The station requires natural gas as the primary fuel source, which may be feasible with the establishment of a reliable gas supply to Western NSW. The filling stations hydrogen generator produces hydrogen through the reforming of natural gas. This hydrogen is then supplied to both a hydrogen compression unit for fuel production and a 50-kW PEM (proton exchange membrane) fuel cell for electricity production. The technology would be attractive if there were a reliable supply of natural gas or hydrogen through viable electrolysis in the region.

Date: 1/3/04 Location: Las Vegas, Nevada University of Nevada, Las Vegas Centre for Energy Research Company: Amonix www.amonix.com Main Purpose of Visit: To investigate the potential of high-concentration photovoltaics in the Australian context Outcomes: From my discussions and investigations it would appear that high-concentration pv technology has strong potential in the Bourke Shire. I did not pursue the technology in depth as my focus is on bioenergy.

Date: 10/3/04 Location: Kramer Junction, Mojave Desert, California Company: Kramer Junction Company Contact: www.kjcsolar.com Main Purpose of Visit: Investigate the feasibility of solar thermal generation in the Bourke context 7

Outcomes:The KJC plant consists of five SEGS, each producing 30 Mw of power using the sun as the primary energy source. The 5 SEGS cover over 1000 acres at a capital cost of $500 million. Each SEGS has a large solar field and a conventional power plant. The solar field is composed of rows of parabolic trough solar collectors. The collectors are composed of reflector panels or mirrors- which track the sun using sensors and microprocessors.

The sunlight reflected off the reflector panels is focused on specially coated steel tubes (surrounded by a vacuum-insulated glass tube) that contain a heat transfer fluid. This fluid is heated to temperatures of 735F and pumped through a series of heat exchangers in the power block to produce superheated steam, which powers the turbine generator creating electricity.

The SEGS are designed as peaking power plants supplying power to the local utility during its peak demand periods, particularly hot summer afternoons with high electrical use loads.

Solar energy plants have a relatively high capital cost requirement although they are becoming increasingly competitive with conventional energy sources. This will improve with increased government and industry support for renewable energy sources.

Date: 11/3/04 Location: Tehachapi, California Company: Kern Wind Energy Association Main Purpose of Visit: To see first hand, a large scale wind generation site in order to participate in debate on the visual amenity of wind turbines. Outcomes: As of 1999, the Tehachapi Wind Resource area is the largest wind energy producer in the world. Kern County produces as much wind energy as the rest of the United States combined. The Tehachapi Wind Resource area produces more wind energy than Germany or Denmark or Japan, other regions with high interest in the production of electrical power from wind energy.

There are more than 4,600 wind turbines in the Tehachapi area. These wind turbines collectively generate 1.4 billion kilowatt-hours of electricity per year. (The typical fluorescent lamp fixture with two 4foot bulbs requires 100 watts of power, so 1.4 billion kilowatt-hours of electricity could continuously and simultaneously create light from nearly two million such lighting fixtures.)

Each wind turbine includes automatic controls, which sense wind direction and speed. When the wind is low the turbines are disconnected from the power grid. When the wind is too high for safe operation, the turbines are braked to avoid overstressing the equipment. During appropriate wind speeds the turbines are automatically pointed into the wind to maximise power generation. Newer turbines also adjust turbine blade angles so as to generate more power over a wider range of wind speeds.

Due largely to capitalisation expenses, the cost of electricity from wind turbines is about 7 cents per kilowatt-hour, somewhat higher than the cost of producing electricity using coal or atomic energy. This

factor, combined with the fact that my research was mainly centred around bioenergy meant that I didnt pursue wind generation in depth.

Date: 13/3/04 Location: Cameron, Arizona Contact: Darren Schmidt Company:Energy & Environmental Research Centre Main Purpose of Visit: To visit an operational small-scale bioenergy plant Outcomes: Unfortunately the pilot plant was not operation in time for my visit. I was able to gather extensive information on the process for commercialising the technology and the fact that the facility was not open reveals some of the glitches that can (and do) occur with a project of this nature.

Date: 19/3/04 Location: Littleton, Colorado Contact: Rob Walt Company: Community Power Corporation Main Purpose of Visit: To see small-scale biomass equipment first hand and to meet with a commercial company to discuss the applications for the technology in an Australian context. Outcomes: CPC is one of the more advanced players in the modular biomass market and are close to commercialising small scale heat and power units for use in schools, hospitals and distributed energy situations. They are also developing modular thermochemical technology in order to produce a higher value product. At this point they were unable to provide conclusive data re capital and maintenance costs however they are confident in the technology they have developed and foresee financial feasibility within the next 3-5 years.

Date: 19/3/04 Location: Golden, Colorado Contact: John Scahill Company: Department of Energy Main Purpose of Visit: To learn more about the various biomass technologies being investigated by the US Department of Energy and to discuss opportunities for the Australian setting. Outcomes: The future appears to be in biofuels rather than direct combustion of biomass as this is a more efficient process with a higher value and more flexible end product.

Biomass combustion, such as burning wood, has been one of man's primary ways of deriving energy from biomass from prehistoric times to the present. It is not, however, very efficient. Converting the solid biomass to a gaseous or liquid fuel by heating it with limited oxygen prior to combustion can greatly increase the overall efficiency, and also make it possible to instead convert the biomass to valuable chemicals or materials. U.S. Department of Energy Biomass Program researchers are helping lead a national effort to develop thermochemical technologies to more efficiently tap the enormous energy potential of lignocellulosic biomass. In addition to gasification and pyrolysis and other thermal processing,

program research focuses on cleaning up and conditioning the converted fuel, a key step for effective commercial use of thermochemical platform chemicals.

Date: 26/3/04 Location: New York Contact: Jeffrey Lawrence Company: SG Barr Devlin Main Purpose of Visit: To discuss the requirements for financing of renewable energy projects Outcomes: There are many unknowns in terms of carbon trading and environmental trading mechanisms however the general feeling is that renewable energy credits are a developing market and it is anticipated that strong international incentives for renewable energy products will be developed over the next 5-10 years.

Date: 30/3/04 Location: London, United Kingdom Contact: Tim Bridgeman Company: The Swire Group Main Purpose of Visit: To meet with scholarship providers and to present findings of trip and to learn of the potential for bioenergy within The Swire Group of Companies. Outcomes: Not only did I achieve the objectives of my visit but I also received tremendous hospitality and was provided with vital information pertaining to the finer points of rugby and rowing, which have placed me in excellent stead in many conversations since!

Date: 1/4/04 Location: Notts, United Kingdom Contact: John Strawson Company: Renewable Energy Growers Limited Website: www.energycrop.co.uk Main Purpose of Visit: To investigate the viability of growing short rotation energy crops in the UK and to determine potential markets and viability for Australia Outcomes: Unfortunately contact with John Strawson was unable to be made. As a result my research in this area had to be web and phone based. Viability of energy crops in the UK is dependent on the demand for fuel, which is higher in Europe due to the high demand for heat as well as power.

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Main Body
Sustainable regional development will require a radical transformation in the way we create wealth from our land resource. One such transformation will be the way in which we procure and use energy in our regions. A second transformation will be the way in which we manage and utilise our natural resources. My Churchill Fellowship investigated the sustainable management of woody vegetation in the Western Catchment for the development of an alternative regional energy industry.

There are six key sustainability issues to be considered when looking at potential regional development projects. They are Greenhouse gas/energy balance Air quality and health impacts Land and water impacts Biodiversity outcomes Social consequences Economic costs / benefits

The Bourke Shire

Bourke Shire is located in northwestern NSW and covers an area of over 40,000km2. The Shire is sparsely populated with 4,400 residents recorded in the last census.

The Bourke Shire is predominantly leasehold land, administered under the Western Lands Act (1901) by the Department of Land and Water Conservation. There are more than 635 pastoral and agricultural holdings in the catchment. Predominant land uses in this semi-arid zone are grazing, irrigated cotton and horticulture, tourism and nature conservation.

The landscape in the Bourke Shire is semi-arid with low, highly variable rainfall that is winter dominant in the south and summer dominant in the north. Severe droughts and floods are a common feature. Evaporation is high and relative humidity low. Summers are hot and winters are mild. The terrain is flat and low, with no mountain ranges high enough to affect climate.1

There is a growing realisation amongst land managers and the wider community that many of our historical agricultural systems are becoming less productive and have limitations to ecological sustainability. This realisation has led to a growing interest in understanding and assessing resource capability, so as to provide a sound basis both for resource allocation and to guide day-to-day management decisions and practice.

Western Catchment Regional Strategy (1997) 11

In a survey of community responses to natural resource management issues in the Western Catchment Management Area2, of which Bourke Shire forms a part, undertaken in August 1997, woody weed management was identified as a priority issue. In particular the community sited lack of incentives to undertake woody weed control, limitations imposed by Government regulation (eg SEPP 46 and Threatened Species legislation), lack of funding and practical application of research, as priority issues. The issue of woody weed management was ranked second, only to water quantity and equitable sharing of water flow, in workshops held throughout the region. We are not alone in this respect with over 62 million hectares also being affected by woody weeds in the USA. To date woody weed management has been viewed as a burden to economically and ecologically sustainable land management, my research suggests that these woody weeds are in fact a resource, which if strategically managed, can add to the sustainable management of our natural resources and agricultural enterprises.

Woody Weeds
Woody weeds are native plants, which are rapidly infesting large areas of the semi-arid and arid regions of NSW. Their distribution and density is increasing owing to favourable environmental conditions, certain unsustainable land management practices and the lower incidence of fire. Growing up to 3m high, woody weeds occur as individual plants, in clumps, or more commonly as dense stands.

Woody weeds severely restrict the growth of surrounding pastures due to competition for moisture and light. This results in very poor pasture cover or bare ground. Consequently, shrub invasion increases the susceptibility of land to sheet, rill, gully and wind erosion. Moreover, because the shrubs are unpalatable, livestock concentrate in and overgraze adjoining areas not affected by woody weeds. As a consequence, these areas also become more susceptible to degradation.

Other land management and livestock problems associated with high densities of woody shrubs include difficult stock mustering and surveillance, severely reduced grazing capacities, less drought resistant pastures, greater stock losses during periods of flystrike, lower lambing rates and an increased incidence of stag rams. Woody weeds also harbour feral animals and hamper attempts to control them. For these reasons, the land value may differ by about $45 per dry sheep area between country infested with woody weeds and more open country.3

The following species are considered the main woody species Common name Turpentine Budda Narrowleaf hopbush Broadleaf hopbush Scientific name Eremophila sturtii Eremophila mitchellii Dodanaea attenuata Dodanaea viscosa var angustifolia

2 3

Survey of Community Responses to Natural Resource Management Issues, August 1997 Rangeland Management in Western NSW 12

Punty bush Silver cassia

Cassia eremophila Cassia artemisioides

Other plants, not listed by the Act, can also grow in dense stands and create the same problems. They include: Common Name Dense Cassia Harlequin fuchsia bush Mulga White cypres pine Mesquite African boxthorn Scientific name Cassia sturtii Eremophila duttonii Acacia aneura Callitris glaucophylla Prosopis juliflora Lycium ferocissimum

The occurrence and density of these species has been assessed in a survey conducted in 19894. The survey found that almost 70% of the Western Catchment is affected by woody weed infestation. Severe infestations occur on the sandplains in the Bourke-Wanaaring district. Moderate infestations occur in a substantial portion of the Western Catchment covering the region bounded by Enngonia, the Bulloo Overflow, White Cliffs, Wilcannia and Nymagee. These figures need to be updated as anecdotal evidence suggests extensive increases in infestation have occurred throughout the Western Division. A report compiled by the Office of Energy5 suggests that there was close to 48 million tonnes of woody weeds in the Bourke Shire in 1995. Anecdotal evidence suggests this figure would since have increased.

The average long-term carrying capacity in the semi-arid woodlands is about 1 dry sheep equivalent (d.s.e.) to 2.2-5 ha, but it varies substantially depending upon the density of woody weeds. Some badly infested paddocks can no longer support profitable grazing of sheep. A paper presented by John Murphy at the Woody Weed Task Force, National Workshop, June 17th-19th 1992, suggests the following gross margins of two levels of woody weed invasion/encroachment

Gross margin for country severely affectected by woody weeds Per ewe $5.26 Per dse $2.50 Per ha $0.31 Ha/dse 8 Per ha $0.63 Ha/dse 4

Gross margin for country not severely affected by woody weeds Per ewe $15.77 Per dse $7.51 Per ha $1.50 Ha/dse 5 Per ha $3.76 Ha/dse 2

Land Degradation Survey NSW 1987-1988, Soil Conservation Service of NSW, Sydney ISBN 0 7305

6392 8
5

Fraser (1995) 13

The basal wool price used for these calculations is for a market indicator in the range of 570-600c/kg. These figures will obviously have changed over the past 12 years however they will provide an indication of the costs of woody weed infestation.

There is good evidence that prior to settlement most of the mulga was open woodlands. Today, it is not uncommon for mulga densities to exceed 5,000 stems per ha or one stem for every two square metres. In some areas, woody weed species, such as hopbush and turpentine can exceed 15,000 stems per ha.

Capitalisation on this prolific vegetative growth through selective harvesting and management of the woody weed resource could greatly aid property viability and assist in the more sustainable management of the overall landscape. The successful control of woody weeds depends on the integration of all aspects of property management with the options for woody weed control. All control programs should consider financial, livestock, grazing and alternative enterprise management.

Bioenergy
Biomass energy sources include wood, crops, crop residues and manure. Biomass can be burnt to produce useful heat and/or electricity, or converted into liquid or gaseous fuels, for the production of electric power, heat, or chemicals or for use in engines. Provided the biomass which is used in this way is replanted, the combustion of biomass or biomass fuels produces no net increase in greenhouse gas emissions. In comparison, the traditional methods of disposing of woody vegetation via burning produce unfiltered emissions and waste heat energy. In addition there is no economic return to the landholder through in paddock burning.
Biomass Processes Biomass

Thermal Processing

Biochemical

Mechanical

Combustion

Gasification

Pyrolysis

Anaerobic Digestion

Fermentation

Oil Extraction

The biomass processing techniques that are of particular interest in this study are combustion, thermochemical processing (gasification and pyrolysis), biochemical and essential oil extraction. The outputs of which are as follows Combustion Gasification Heat and Power Heat and power Chemical feedstocks Pyrolysis Heat and power Chemical feedstocks Biochemical Oil extraction Liquid fuels Valuable essential oils

The most desirable factors in a biomass feedstock are high residue density, high annual production, low moisture content, high availability (few competing uses), high calorific value, low ash content, good collection conditions, low collection costs, close proximity to the point of end use and eligibility for 14

renewable energy status. Woody weed species rate well on most, if not all of these points, making them an ideal biomass feedstock, particularly if property scale biorefineries are used.

In order to maximise returns on investment and further assist process feasibility there are a number of issues relating to the production of woody weeds that could be looked at. Whilst these factors were not investigated in depth during my travels they are included here as a point of discussion. Such areas requiring investigation include Plant physiology Optimised agronomy to maximise sustainable biomass production Optimised feedstock collection and harvesting practices

Biomass combustion, such as burning wood, has been one of man's primary ways of deriving energy from biomass from prehistoric times to the present. The majority of biomass electricity is generated using a steam cycle: biomass material is converted to steam in a boiler; the steam then turns a turbine, which is connected to a generator. Biomass combustion is not, however, very efficient. Converting the solid biomass to a gaseous or liquid fuel by heating it with limited oxygen prior to combustion can greatly increase the overall efficiency, and also make it possible to convert the biomass to valuable chemicals or materials as well as generating electricity if desired.

The research undertaken during my Churchill Fellowship shows that the main thrust in biomass research on an international level is in the development of thermochemical technologies to more efficiently tap the enormous energy potential of lignocellulosic biomass. In addition to gasification, pyrolysis, and other thermal processing, research and development is focusing on cleaning up and conditioning the converted fuel, a key step for effective commercial use of thermochemical platform chemicals. The key outputs of these processes are fuels, chemicals, materials and power.

Due to the vast dispersion of biomass material in the Bourke district, my studies indicate that the main potential for woody weed biomass lies in small, modular units or distributed energy systems. Distributed energy systems are advantageous in that they supply electrical power or biofuels on site where the biomass is available for feedstock. Small systems (with rated capacities of 5 megawatts and smaller) can provide power to villages or remote industry or can provide local supplies of biofuels and chemicals, and have a great potential market in this region.

The advantages of a distributed energy approach are: For businesses, Distributed Energy Systems can reduce peak demand charges, reduce overall energy use, ensure greater power quality and reliability, supply input fuels and chemicals and reduce emissions For large utilities and power producers, DES can augment overall system reliability, avoid large investments in transmission system upgrades, reduce transmission losses, closely match capacity increases to demand growth, supply input fuels and chemicals and open markets in remote or environmentally constrained areas. For communities there is local employment, retention of monies otherwise leaving the community for payment of power, fuel and chemical bills and diversification of industry 15

Such distributed energy systems are currently being developed in the United States through the U.S. Department of Energys Small Modular Biopower Systems Project (www.eren.doe.gov/biopower ). The project consists of feasibility studies, prototype demonstrations, and system integration based on a business strategy for commercialisation of the small-scale systems. Small modular biomass systems typically convert a solid biomass fuel into a gaseous fuel through a process called gasification. The resulting gas, comprised primarily of carbon monoxide and hydrogen, is then cleaned before use in a gas turbine or internal combustion engine connected to an electrical generator. Waste heat from the turbine or engine can also be captured and directed to useful applications. Small modular systems lend themselves to such combined heat and power operations much better than large central facilities.

The intended power range for these systems is from 5 kilowatts to 5 megawatts of electricity generation or the production of biofuels for use in transport or later heat and power production. I took the opportunity to meet with John Scahill, Senior Engineer at the National Renewable Energy Laboratory in Golden, Colorado, to discuss the progress of this project. The general opinion of participants in the program is that future developments will lie with thermochemical processing such as gasification or pyrolysis rather than with the more traditional combustion and steam generation technology. The small-scale modular systems offer great flexibility both in terms of sourcing biomass feedstocks and markets for outputs.

Thermochemical Processing
The fuel-to-electricity efficiencies of thermochemical processes are much higher than those of combustion, (combustion converts 20-25% of embodied energy, gasification converts approximately 35%) but so are the capital costs as these processes use more demanding technology. These factors will influence the method of processing used and will influence the timeframe for commercialisation of emerging technologies. Leaders in the industry predict that gasification technology will be commercially comparative with fossil fuel technology within 5-10 years.

Community Power Corporation is a participant in the Small Modular Biopower Systems Project and I met with Robb Walt, President of CPC, whilst in Colorado. CPC are developing a system called the BioMax which uses a thermochemical (gasification) technology to convert woody materials to a clean fuel gas for heat, power and cooling. At this point they do not have a commercial system and are still investigating the following technical issues; system capacity load following ability system fuel consumption fuel flexibility number of operators and required training life cycle costs environmental impacts (feedstock related issues; air, water and solid emissions) safety load profile (proposed hours of operation etc) proposed fuel (including availability) 16

fuel handling/feeding system and method system transportability maintenance schedule and costs water consumption number of operators and training required life cycle costs capacity for remote monitoring (unit performance and maintenance intervals

CPCs BioMax systems are modular, skid-mounted, fully automated biopower systems that consist of an advanced and controllable down-draft gasifier integrated with an engine/generator that produces 5, 20 and 50kW from producer gas (a thermochemically derived bio-gas). The company suggests that ongoing research and development at CPCs production development facility in Denver, Colorado, will continue to achieve upgrades and performance enhancements in the areas of hot-gas filtration, feedstock variety, control systems, and cost reductions to increase the commercial viability of the systems. It is my opinion that the CPC system is 3-5 years from commercial production suitable for use with Australian woody weed feedstocks.

Reflective Energies is another participant in the U.S. Department of Energy Small Modular Bioenergy Program. The Flex-Microturbine system, developed by Reflective Energies in partnership with Capstone Turbine Corporation (www.capstoneturbine.com ), is a unit designed to generate 30kW of electric power using biogas or gasified wood or crop residues. The Flex-Microturbine system will use a microturbine manufactured by Capstone Turbine Corporation, and a down-draft biomass gasifier made by BG Technologies. The innovation in this technology is that the Flex-Microturbine will be able to run on fuel gases that are today considered too low in pressure or energy content to produce electric power. The entire system will be mounted onto a trailer, allowing it to be moved to the location of the fuel supply. The demonstration project for this technology will be located in Cameron, Arizona on the Navajo Reservation at a log home manufacturing site. I had hoped to visit this facility however it was running behind schedule and wasnt in operation during my visit.

Similar technology, based on larger scale gasification technology was found in the Power Generating Inc (PGI) power system, which is a direct-fired, combustion turbine power system designed to operate on relatively clean-burning solid fuels. Solid fuel is burned in a patented pressurised combustor, generating hot, high-pressure gases, which are passed through a cyclonic separator into a gas turbine to generate electrical and thermal energy. The PGI Power System is designed in different configurations to produce from 0.5 to 10 megawatts of electrical power which can be used either on-site or grid connected, while producing from 3 to 70 mmbtu/hour of useable heat. In order to be efficient and cost-effective in a Bourke setting a use would need to exist for the waste heat. Examples of such use could include cotton ginning, drying of fruit, greenhouse heating and refrigeration.

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Ingersoll Rand have developed a similar system called EcoWorks. This system is designed to work on natural gas and is therefore not appropriate for woody weeds at this stage. It is a company worth bearing in mind for future developments.

Another form of thermochemical processing is pyrolysis. Pyrolysis is the thermal decomposition of biomass at high temperatures (greater than 400F, or 200C) in the absence of air. The end product of pyrolysis is a mixture of solids (char), liquids (oxygenated oils), and gases (methane, carbon monoxide, and carbon dioxide) with proportions determined by operating temperature, pressure, oxygen content, and other conditions.

Pyrolysis technology has reached near-commercial status, and is favoured for use with crop residues, which tend to have higher ash contents. The key advantage of pyrolysis is that the production of liquid bio-oil can be decoupled from the site of power generation since it can be easily handled, stored and transported. Peak power provision is possible with a relatively small pyrolysis plant, and due to cheap fuel storage, potential plant availability can be very high. It is also theoretically possible to upgrade crude pyrolysis oil to petroleum substitution products, although at the small-scale this is currently far from economic, compared with the ex-refinery price of petroleum products.

One of the main current obstacles to BioOil production is that pyrolysis is a messy process with limitations imposed on the process by the management of the tar by-products. A range of companies are looking at technology to address this, with the intention of making pyrolysis a viable option. Many in the industry believe this technology is the way of the future.

One such company is Magellan. Magellan (www.orenda.com, www.magellanaerospace.com have developed an integrated system which uses a bio-oil derived from a pyrolysis process, developed by Canadian company Dynamotive (www.dynamotive.com ). This oil, which can be produced from virtually any naturally grown organic commodity, is directly fired in their engine. The oil can be produced on-site in economic quantities making the owner independent of conventional fuel price volatility. An external combustor which can be replaced for using alternate fuels (natural gas), as well as specially adapted nozzles, turbine blade coatings and cleaning systems, has enabled the unit to operate as efficiently as conventionally liquid fuelled gas turbines. The system utilises 100% of the feedstock input, either as BioOil or as char.

This BioOil system provides the flexibility of hydrocarbons combined with the sustainability arising from using renewable biomass. In addition, BioOil burns with much lower emissions and is greenhouse neutral. The environmental benefit in substituting biofuels for fossil fuels is that carbon dioxide emitted from biomass sourced fuel during combustion is the same carbon dioxide that would otherwise be released by the natural decay of that biomass. In consequence there is no net release of carbon to the atmosphere and therefore no build up of carbon dioxide (reducing the impact of the Greenhouse effect). Benefits also occur via the reduction of combustion pollutants such as lead, sulphur and carbon monoxide. Reduction of the latter is due to the improvement in combustion from using oxygenated material. 18

Biological Processing
Biofuels are alcohols, esters and other chemicals made from cellulosic biomass, including woody weeds, through a process of biological processing. The two most common types of biofuels that are being developed are bioethanol and biodiesel. Opportunities explored through my work focused mainly on bioethanol however this focus was relatively limited due to the fact that R&D in this area is at least 5 years from commercialisation.

All wood contains large quantities of cellulose and hemicellulose, which are based on long chain sugar polymers. There are several different methods under development for the hydrolysis of the polymers to release individual sugar molecules. Once released and recovered, these sugars may be fermented to make ethanol in much the same way as sugars from molasses or starch.

Ethanol can be blended directly with petrol or with diesel fuel using an additive which forms a stable emulsion (diesohol). Ethanol, when used as a blend with diesel fuels at levels of up to 20% may be used in the existing engine population without the need for engine modifications.

There are four basic steps in converting biomass to bioethanol: 1. Produce biomass 2. Convert and/or process biomass to fermentation feedstock 3. Ferment biomass intermediates to ethanol 4. Recover ethanol byproducts.

The JVAP Research Update Series No.7 produced in conjunction with Rural Industries Research and Development Corporation - RIRDC (www.rirdc.gov.au) identified that ethanol from wood is estimated to cost 82 cents per litre in a 200ML plant built today in Australia using worlds best technology. If multiple improvements are achieved over the next 15 years this price may fall by 50% to as low as 41 cents per litre. This cost is based on biomass feed available at $20 per fresh tonne delivered to the plant.

These technologies are still under development and are not currently economically viable. There are no full scale wood biomass to ethanol plants currently operating anywhere in the world. However my visit to the US National Renewable Energy Laboratory in Golden, Colorado, revealed that a range of opportunities for improvements to the technologies have been identified. If these were all achieved they would serve to reduce the cost of ethanol from wood substantially over the next 15 years. An excellent resource for keeping up to date with developments in the ethanol industry is the www.bbibiofuels.com website. From my research I felt it more productive to focus on thermochemical processing rather than biological processing at this stage.

Pellets and Briquettes (Densification)

Pellets and Briquettes offer a more dense form of fuel for combustion. This aids in the transportation efficiencies able to be achieved and these fuel sources provide cleaner fuel for wood stoves. These products however require an appropriate market, which would appear to be limited in the woody weed 19

region due to the lack of fuel stoves. There is potential to investigate the export market for these products, particularly to third world countries where wood is used as the primary source of fuel and where extensive deforestation has occurred. This potential was not investigated during my studies.

Co-products
There are several potential co-products from biomass processing. Co products can aid viability of a process when a market exists for them, the structure is in place to market them and the price paid justifies their production. Co products include charcoal, activated carbon, oils and pyrolysis products (including liquid fuels).

Another co-product is the oils extracted from the woody weed material and new products from the lignin. Again technologies for these processes are in their infancy with much room for improvement. One of the woody weed species, Australian Native Sandalwood or Eremophila mitchellii shows strong potential for the extraction of essential oils. The tree attains a maximum height of 4.5-5m and 35-45cm diameter at the base of the trunk. The heartwood contains 2-3% w/w of a cherry red, viscous, fragrant oil. The oil is valuable in perfumery and cosmetics and has antimicrobial properties.

Complementary values must also be taken into account such as increased employment, community cash flow, grazing land management through woody weed control and the development of associated industries such as seed banks for regeneration works and potential industries to utilise waste heat such as dried fruits.

Economics and Financing Bioenergy Projects

At present, transmission losses and system inefficiencies are obscuring the real price of power in the Bourke Shire. Whilst the market price for Green electricity sits in the vicinity of $75/MWh, the true cost may be as high as $82 per MWh. This will assist in the potential viability of a local BioPower industry.

The majority of renewable energy projects, particularly in relation to bioenergy generation, have high initial capital costs, and in some cases they are based on commercially unproven technologies, so traditional project financing may be too expensive or not available at all. As a result of this most potential developments will be dependent upon some form of Government support.

My discussions with SG Barr Devlin revealed that there is a desire by financiers to be involved in the renewable energy sector with some financiers possessing sector specific teams to develop potential projects. However, there is a certain amount of caution within the sector due to insecurity in the regulatory area, some high profile renewable energy failures and a lack of security over the treatment of bioenergy in the renewable energy trading market.

These points would suggest that any renewable energy project (as should be the case for all investment and property management) should be thoroughly investigated from the vantage of future fuel and

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regulatory trends, rather than in light of current market conditions. It also reveals that there is strong potential for renewable energy products in a favourable policy and legislative framework.

Policy and Regulation

Much of my research indicates that the technology for a viable bioenergy industry exists but that its success in development will be driven by enlightened government policy, further technology improvements and improved understanding of bio-resources.

While renewable power is experiencing phenomenal growth, the existing market system and laws favour traditional fuels. New policy drivers can make the energy market more competitive, create demand for new technologies, and provide incentives for R&D and drive down costs that inhibit investment. Government policy is the most effective means of accelerating the commercialisation of renewables because policies help the market to reflect the true costs of energy.

Removing subsidies on fossil fuels and implementing tax incentives for renewables, the world over, will stop energy price distortions, consequently increasing the market competitiveness of renewables.

Existing market drivers for renewable energy systems include Green power schemes whereby customers voluntarily pay a premium on certified green electricity State and Federal Government renewable energy programs Mandatory Renewable Energy Target currently set at 2%, whereby wholesale electricity buyers must purchase a minimum of 2% of their electricity from renewable energy sources.

The purchase price of electricity can be influenced by a number of factors including Community Service Obligations, Renewable Energy Certificates and Government subsidies. An important issue which impacts significantly on revenue is the current ineligibility of the project to qualify for (Renewable Energy Certificates)RECs, given the fact that the Regulations under which the Office of Renewable Energy Regulation operates preclude the use of native woody weed species for power generation.

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Conclusions
Each of the processes outlined has advantages and disadvantages, making it difficult to prepare a conclusive comparison. It is possible to make comparisons based on potential size of a single unit, the conversion efficiencies of the system and the specific costs of an installed system however obtaining capital and operating costs and output figures on the various systems is difficult as few if any are currently commercial.

The above figure, shows comparison of cost, efficiency and size for a range of small-scale bioenergy technologies.6

This figure shows that for the small-scale technologies under consideration power generation technology systems cannot yet compete with the internal combustion engine due either to their poorer fuel-toelectricity conversion efficiencies or their higher unit costs or both. There is a clear trade-off between system cost and efficiency.

Each of the companies I spoke to suggested that their technology is close to being commercial and that they anticipate major cost reductions resulting from mass production, technology advances and product refinement.

My research has revealed that direct combustion of biomass for electricity generation at the small-scale is not economically feasible. Feasibility is improved with combined heat and power production however the

Sims, Renewable Energy World, Jan-Feb 2002 in The Brilliance of Bioenergy 22

requirement for heat in the Bourke Shire is currently limited (although this is an area that could be developed).

Greater hope is placed with internal combustion engines and microturbines integrated with thermochemical technologies but further research into gas cleaning is still required in order to improve system performance. Pyrolysis oil production, such as the BioOil system, coupled to a diesel engine or a gas turbine also has potential, especially for peak power periods. BioOil is also advantageous in that the transport of BioOil will be much cheaper than transporting low energy density biomass fuels (in terms of dollars per gigajoule per kilometre).

Currently there are a range of bio products for which workable technology exists to convert woody weed biomass to energy and bi-products. These technologies would add to the potential grazing enterprise mix thus aiding both the ecological and economic sustainability of the agricultural operation. The limiting factor is bringing the cost of these technologies down in order to make the products fossil fuel competitive or alternatively by realising the potential of alternate industries to add to the existing land management mix.

The key method of pursuing this potential will be through close alliance with both The Bourke Shire Council Economic Development Unit and the Western Catchment Management Authority. In addition I will continue to discuss the opportunities presented with landholders in the region and will share the knowledge at regional forums as the opportunity arises. One such forum is the NSW Rural Financial Counsellors AGM to be held in Bourke at the end of June.

A copy of this report will be forwarded to my sponsors The Swire Group, to the Sustainable Energy Development Authority and to CountryEnergy.

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Recommendations
Identify legislation and regulation affecting clearing and land management techniques in the Western Division and lobby to achieve effective, integrated legislation and government support mechanisms. Determine the energy values and processing characteristics of each of the Woody Weed species Conduct a Woody Weeds Summit in Bourke to highlight the economic impacts of woody weeds in the district and to facilitate the sharing of knowledge in relation to the latest management techniques. Contact potential companies and individuals that may be interested in further investigating the commercialisation of woody weed material. A list of companies and individuals identified for such contact through my fellowship are listed in the appendix to the full report. Full review compendium of Woody Weeds management and harvesting techniques, the pros and cons of each, costs and limitations Full survey of the Western Division to gain an estimation of how much Woody Weed is currently in the area, where it is located and at what densities, species spread, regeneration, growth rates etc Establish eligibility of Woody Weed biomass for renewable energy certificates and green credits and lobby for inclusion of Woody Weed bio-products in all renewable energy support and incentive programs. Once the thermochemical processing described in this report has been proven technically and financially, encourage a commercial trial of the small-scale generation technology using woody weed species. It must be borne in mind that singular isolated pilot projects, without a commitment to early replication, and regardless of technology and design rigour, fail due to lack of sustained support. In addition a multi-year commitment (both in time and money) is required to achieve sustainable solutions. This commitment must come from all sources including the landholder, the government and private sectors Local training, including operating manuals and regional O&M capability are critical for sustained operation. In order to facilitate this learning and local knowledge my recommendation would be to form a cooperative or user group for the technology so that individual landholders have support from each other as well as stronger technical support from a central source

In addition to my recommendations I would like to suggest that readers refer also to the recommendations made by Max Hams in his 1991 Churchill Fellowship report as many of his suggestions are still relevant in todays context.

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Bibliography
Survey of Community Responses to Natural Resource Management Issues in the Western Catchment Management Area, Final Report, August 1997, for the Western Catchment Management Committee, AACM International, Adelaide.

Western Catchment Regional Strategy, Western Catchment Management Committee, October 1997

Heywood, J. Hodgkinson, K. Marsden, S. and Pahl, L. (2000) Graziers Experiences In Managing Mulga Country, Department of Primary Industries, QLD

Prospects for Socio-economic Advancement in the Western Catchment Management area of New South Wales, a report for the Western Catchment Management Board, National Institute of Economic and Industry Research trading as National Economics, Clifton Hill, VIC, September 2000

Fraser, K.I, Holmes, A.R, Gould, N.S. and Parfett, D.C (1995) Economic Analysis of the Use of Cotton Wastes and Other Agricultural Residues as Feedstocks for Ethanol Fuel Production. Office of Energy, Sydney Woody Weed Management Strategy, Proceedings of National Workshop, June 17th-19th 1992, Cobar NSW, Woody Weeds Task Force.

Soil Conservation Service of NSW, Land Degradation Survey NSW 1987-1988 , Sydney ISBN 0 7305 6392 8

Noble, JC (1997) The Delicate and Noxious Scrub: CSIRO Studies on native tree and shrub proliferation in the semi-arid woodlands of Eastern Australia CSIRO Division of Wildlife and Ecology, Lyneham ACT

Schuck, S Bioenergy Emerging Biomass Opportunities in Australia. Conference Proceedings: Harnessing Biomass Opportunities through Environmental Management Conference Brisbane 16th March 2001.

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Suggested Companies and Individuals to be contacted regarding commercialisation opportunities

Company: Magellan Aerospace Corporation Website: www.orenda.com or www.magellanaerospace.com Contact: Robert M. Cyzmer Contact details:rcyzmer@orenda.com Technology: Orenda Bio-fuel Gas Turbine powered energy electrical generating package

Company: Dynamotive Website: www.dynamotive.com Contact: David Sanguinetti Contact details: david.sanguinetti@dynamotive.com Technology: Working in conjunction with Magellan (see above)

Company: National Power Website: Contact:Jerry DesRoche Contact details: jdesroche@nppartners.com Technology: Medium scale biomass electricity generation facility Jerry has also worked extensively in India and would be a good contact for potential export of Australia bio-products into India as well as development opportunities for use of woody vegetation in biomass combustion.

Company: Power Generating Inc. Website: www.powergeneratinginc.com Contact: No direct contact made Contact details:info@powergeneratinginc.com Technology: PGI Power System, a direct-fired, combustion turbine power system

Company: Ingersoll Rand Website: www.irenergysystems.com Contact: No direct contact made Technology: Microturbine technology not currently suitable for use with woody weeds but worth maintaining contact with.

Company: Kramer Junction Company (KJC) Website: www.kjcsolar.com Technology: Solar thermal generation. Potential development opportunities for solar thermal in Australia. 26

Company:Alternative Green Energy Systems Website: www.ages-biomass.com Contact: A.H. Burns Contact details: aburns@ages-biomass.com Technology: Combination of kinetic disintegration-dewatering with Standing Shock Wave technology, to provide a low moisture burnable dust from Raw Wet Hog-forest waste and Bio-Solids.

Company: Energy & Environmental Research Centre Website: www.undeerc.org Contact: Darren Schmidt Contact details: dschmidt@undeerc.org Technology: Research into small scale biomass units. A good contact for staying current with the latest research and technology

Company: National Renewable Energy Laboratory, US Department of Energy Website: www.nrel.gov Contact: John Scahill, Senior Engineer, National Bioenergy Centre Contact details: john_scahill@nrel.gov Technology: Research into bioenergy. A good contact for staying current with the latest research and technology in the United States.

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DEFINITIONS AND TERMS taken from

www.newuses.org/pdf.FinalBiomassRoadmap.pdf

Agronomy: The science of plant production and soil management. Anaerobic: Life or biological processes that occur in the absence of oxygen. Biobased Product: Commercial or industrial products, other than food or feed, derived from biomass feedstocks. Many of these products possess unique properties unmatched by petroleum-based products or can replace products and materials traditionally derived from petrochemicals. Biocatalyst: Usually refers to enzymes and microbes, but it can include other catalysts that are living or that were extracted from living organisms, such as plant or animal tissue cultures, algae, fungi, or other whole organisms. Biochemical Conversion Process: The use of living organisms or their products to convert organic material to fuels. Biodiesel*: Conventionally defined as a biofuel produced through transesterification, a process in which organically- derived oils are combined with alcohol (ethanol or methanol) in the presence of a catalyst to form ethyl or methyl ester. The biomass- derived ethyl or methyl esters can be blended with conventional diesel fuel or used as a neat fuel (100% biodiesel). Biodiesel can be made from soybean or rapeseed oils, animal fats, waste vegetable oils, or microalgae oils. *Note: Biodiesel can in certain circumstances include ethanol-blended diesel. This is an evolving definition. Bioenergy: Useful, renewable energy produced from organic matter. The conversion of the complex carbohydrates in organic matter to energy. Organic matter may either be used directly as a fuel processed into liquids and gases, or be a residual of processing and conversion. Biofuels: Fuels made from biomass resources, or their processing and conversion derivatives. Biofuels include ethanol, biodiesel, and methanol. Biogas: A methane-bearing gas from the digestion of biomass. Biomass: Any organic matter that is available on a renewable or recurring basis, including agricultural crops and trees, wood and wood wastes and residues, plants (including aquatic plants), grasses, residues, fibers, animal wastes, and segregated municipal waste, but specifically excluding unsegregated wastes; painted, treated, or pressurized wood; wood contaminated with plastic or metals; and tires. Processing and conversion derivatives of organic matter are also biomass. Biopower: The use of biomass feedstock to produce electric power or heat through direct combustion of the feedstock, through gasification and then combustion of the resultant gas, or through other thermal conversion processes. Power is generated with engines, turbines, fuel cells, or other equipment. Biorefinery: A processing and conversion facility that (1) efficiently separates its biomass raw material into individual components and (2) converts these components into marketplace products, including biofuels, biopower, and conventional and new bioproducts. Biotechnology: A set of biological techniques developed through basic research and now applied to research and product development. In particular, biotechnology refers to the use by industry of recombinant DNA, cell fusion, and new bioprocessing techniques.

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British Thermal Unit (Btu): Measure of energy based on the amount of heat required to raise the temperature of one pound of water from 59F to 60F at one atmosphere pressure. Cellulose: The main carbohydrate in living plants. Cellulose forms the skeletal structure of the plant cell wall. Co-Firing: The simultaneous use of two or more different fuels in the same combustion chamber of a power plant. Co-Generation: The sequential production of electricity and useful thermal energy from a common fuel source. Reject heat from industrial processes can be used to power an electric generator (bottoming cycle). Conversely, surplus heat from an electric generating plant can be used for industrial processes, or space and water heating purposes (topping cycle). Combined Cycle: Two or more generation processes in series, configured to optimise the energy output of the system. Commercial Sector: An energy-consuming sector that consists of service-providing facilities of businesses; federal, state, and local governments; and other private and public organisations, such as religious, social, or fraternal groups. Conservation Reserve Program: A voluntary USDA program whereby agricultural landowners can receive annual rental payments and cost-share assistance to establish long-term, resource conserving covers on eligible farmland. The Commodity Credit Corporation (CCC) makes annual rental payments based on the agriculture rental value of the land, and it provides costshare assistance for up to 50 percent of the participants costs in establishing approved conservation practices. Participants enroll in CRP contracts for 10 to 15 years. The program is administered by the CCC through the Farm Service Agency (FSA), and program support is provided by Natural Resources Conservation Service, Cooperative State Research and Education Extension Service, state forestry agencies, and local Soil and Water Conservation Districts. Densification: A mechanical process to compress biomass (usually wood waste) into pellets, briquettes, cubes, or densified logs. Electric Utility: A corporation, person, agency, authority, or other legal entity or instrumentality that owns and/or operates facilities for the generation, transmission, distribution, or sale of electric energy primarily for public use. Energy Crops: Crops grown specifically for their fuel value. These crops may include food crops such as corn and sugarcane, and nonfood crops such as poplar trees and switchgrass. Energy Density: The energy content of a material measured in energy per unit weight of volume. Environmentally Sustainable: An ecosystem condition in which biodiversity, renewability, and resource productivity are maintained over time. Enzyme: A protein that acts as a catalyst, speeding the rate at which a biochemical reaction proceeds but not altering the direction or nature of the reaction. Ethanol: Ethyl alcohol produced by fermentation and distillation. An alcohol compound with the chemical formula CH3CH2OH formed during sugar fermentation. Feedstock: Any material converted to another form or product. Fermentation: The biological conversion of biomass.

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Forest Residues: Material not harvested or removed from logging sites in commercial hardwood and softwood stands as well as material resulting from forest management operations such as precommercial thinnings and removal of dead and dying trees. Fossil Fuel: Solid, liquid, or gaseous fuels formed in the ground after millions of years by chemical and physical changes in plant and animal residues under high temperature and pressure. Oil, natural gas, and coal are fossil fuels. Fuel Cell: A device that converts the energy of a fuel directly to electricity and heat, without combustion. Gasification: A chemical or heat process to convert a solid fuel to a gaseous form. Genetics: The study of inheritance patterns of specific traits. Genetically Engineered Organism: An organism developed by inserting genes from another species. Greenhouse Gases: Gases that trap the heat of the sun in the Earths atmosphere, producing the greenhouse effect. The two major greenhouse gases are water vapor and carbon dioxide. Other greenhouse gases include methane, ozone, chlorofluorocarbons, and nitrous oxide. Grid: A system for distributing electric power. Grid Connection: Joining a plant that generates electric power to an electric system so that electricity can flow in both directions between the electric system and the plant. Hydrolysis: Conversion of biomass into sugars and sugar substrates via chemical or biological processes or through biocatalysis. Industrial Sector: An energy-consuming sector that consists of all facilities and equipment used for producing, processing, or assembling goods. The industrial sector encompasses manufacturing; agriculture, forestry, and fisheries; mining; and construction. Inorganic Compounds: A compound that does not contain carbon chemically bound to hydrogen. Carbonates, bicarbonates, carbides, and carbon oxides are considered inorganic compounds, even though they contain carbon. Kilowatt: (kW) A measure of electrical power equal to 1,000 Watts. 1 kW = 3,413 Btu/hr = 1.341 horsepower. Kilowatt hour: (kWh) A measure of energy equivalent to the expenditure of one kilowatt for one hour. 1 kWh = 3,413 Btu. Landfill Gas: Gas that is generated by decomposition of organic material at landfill disposal sites. Lipid: Any of various substances that are soluble in non-polar organic solvents (as chloroform and ether), that with proteins and carbohydrates constitute the principal structural components of living cells, and that include fats, waxes, phosphatides, cerebrosides, and related and derived compounds. Lignin: An amorphous polymer related to cellulose that, together with cellulose, forms the cell walls of woody plants and acts as the bonding agent between cells. Life Cycle Assessment (LCA): LCA is an internationally recognised assessment model of a products impact on energy, economic, and environmental values. LCA extends from cradle-to grave from material acquisition and production, through manufacturing, product use and maintenance, and finally, through the end of the products life in disposal or recycling. The LCA is particularly useful in ensuring that benefits derived in one area do not shift the impact burden to other places within a products life cycle. Methane: An odourless, colourless, flammable gas with the formula CH4 that is the primary constituent of natural gas.

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Municipal Solid Waste (MSW): Garbage. Refuse includes residential, commercial, and institutional wastes and includes organic matter, metal, glass, plastic, and a variety of inorganic matter. Organic Compounds: Compounds that contain carbon chemically bound to hydrogen. They often contain other elements (particularly O, N, halogens, or S). Precommercial Thinning: Thinning for timber stand improvement purposes, generally in young, densely stocked stands. Pyrolysis: The thermal decomposition of biomass at high temperatures (greater than 400F, or 200C) in the absence of air. The end product of pyrolysis is a mixture of solids (char), liquids (oxygenated oils), and gases (methane, carbon monoxide, and carbon dioxide) with proportions determined by operating temperature, pressure, oxygen content, and other conditions. Quad: One quadrillion Btu (1015 Btu). An energy equivalent to approximately 172 million barrels of oil. Residential Sector: An energy-consuming sector that consists of living quarters for private households. The residential sector excludes institutional living quarters. Residue: Unused solid or liquid by-products of a process. Rural: Of or relating to the small cities, towns, or remote communities in or near agricultural areas. Sewage: The wastewater from domestic, commercial, and industrial sources carried by sewers. Silviculture: A branch of forestry dealing with the development and care of forests. Syngas: A syntheses gas produced through gasification of biomass. Syngas is similar to naturalgas and can be cleaned and conditioned to form a feedstock for production of methanol. Therm: A unit of energy equal to 100,000 Btus; used primarily for natural gas. Transportation Sector: An energy-consuming sector that consists of all vehicles whose primary purpose is transporting people and/or goods from one physical location to another. Vehicles whose primary purpose is not transportation (e.g., construction cranes and bulldozers, farming vehicles, and warehouse tractors and forklifts) are classified in the sector of their primary use. Urban: Of, relating to, characteristic of, or constituting a city, usually of some size.

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