New Business Model Fiber, Fuel and Energy? Rob Davis Forest Energy Corp BTEC May 25, 2010 Scottsdale, AZ.

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Presentation transcript:

New Business Model Fiber, Fuel and Energy? Rob Davis Forest Energy Corp BTEC May 25, 2010 Scottsdale, AZ

Renewable Energy Wind Solar Geothermal Biomass

What is Biomass? Any Organic material not derived from fossil fuel. FERC PURPA ‘80-

And then there was politics ‘08 Farm Bill Renewable Fuels Bill BCAP American Power Act Each State Individually Dictating forest or air policy w/ energy policy

Do you have biomass? Extra Consistent Supply Consistent Quality Cost Biomass advantage-constant

Characteristics Species Forms Bark Slash Hog Fuel Chips Pellets Briquettes

Characteristics Moisture Ash Ash Fusion Temp Contaminants Energy Content-Btu

Source Where does it come from? Renewable Sustainable Will there be a Recapture of carbon?

What can you do with it? Use it Sell it Produce a product Produce an Energy product Fuel Electricity Transportation Fuels Thermal Energy

Processing Physical Size Moisture Densifying Doesn’t change energy content, makes consistent and more economical to handle.

Processing Pyrolysis Gasification Torrification Hydrolysis Combustion

Products Ethanol Hydrogen Methane CO2 Lignin Char

Markets – Selling Fuel or Selling Energy? In - House Residential Commercial Industrial Utility

Value In – HouseElec, Thermal, CHP ResidentialThermal vs. NG, FO, Prop, Elec CommercialThermal vs. NG, oil, propane, elec IndustrialElec, Thermalvs. NG, coal UtilityElec vs coal

Incentives Federal & State Electricity REC Fuels PTC ITC BCAP Moving target even after legislation passes How will it be administered e.g. BCAP

Emissions good and bad Particulate - Nox +- Sox + Other - Carbon ?

Efficiency The Prudent Use of our Resources Perhaps a move in this direction

Economics Biomass Supply - acceptable quality and source Biomass Cost Markets near you Select Process / Product Actual Cost Reliance on incentives

Opportunity Low cost of assured biomass supply Renewable demand Lower cost biomass energy Mandates / Incentives / Credits Future Carbon reduction incentives Consolidate resources

Rob Davis Forest Energy Corporation Show Low, AZ BTEC Biomass Thermal Energy Council 1211 Connecticut Ave NW, Suite 600 Washington, DC tel fax