WOOD FUEL –

KEEPING THE CUSTOMER WARM

6TH March 2010

Biomass is organic matter of recent origin

Biomass is a carbon neutral energy source used to generate heat

Biomass – Wood Fuel is most effective when sourced and delivered within 25 miles

Sustainable timber is never removed faster than it is grown

BIOMASS – Wood Fuel

WHAT IS IT ?

&

CHIP - Medium to large heat energy users (100kW – 5MW)

PELLET – Small to medium heat energy users (20kW – 500kW)

Public and private sector buildings

Schools, hospitals, airports

Industrial and commercial sites

Property developments

Land Estates

MARKETS

Obligations / Commitments

Lower cost of heat energy

Fuel security

CO2 reduction

Rural economy

Bio-diversity

WHY SHOULD WE?

Carbon Emission (CO2) Sources

Transport28%

Heat47%

Other6%Electricity

19%

Government Targets – 15% by 2020

RHI – April 2011

CRC

Planning Obligations

Energy Security

Woodland Management

DRIVERS

FUEL COSTS

0.0

2.0

4.0

6.0

8.0

10.0

12.0

p / kWh

Electricity LPG Oil Mains Gas Wood Pellet Wood Chip

Fuel Type

Fuel Price Comparison

FEED STOCK

Forestry Commission, National Trust

Land Estates, Private Woodlands

Contractors

Councils, Local Authorities

FSC, FLEGT or FC Licences

25 Mile Radius

SURREY HILLS = 40% WOODLAND

Lack of awareness

Supply chain availability

Market maturity/confidence

Mistakes

Capital costs

BARRIERS

SUPPLY CHAIN

CASE STUDIES

Airport HotelProperty development

UniversityCommunity Primary School

Independent School

Demand for wood fuel is growing rapidly

Technology is established and proven

Benefits are commercial and environmental

Supply chain is available now

Biomass is not applicable in every case

LOW CARBON - LOW COST - LOCAL

SUMMARY