1. 1 North Karelia Bioenergy Programme 2015

2. 2 North Karelia region North Karelia is one of the 19 regions in Finland The region of North Karelia comprises 16 municipalities North Karelia is the easternmost region of Finland and the European Union, sharing a common border of approximately 300 kilometres with Russia Population about 170.000 The biggest city is Joensuu with its 58.000 inhabitants

3. 3 Preparation of the North Karelia Bioenergy Programme 2015 Main author: Timo Tahvanainen from Joensuu Science Park Ltd (Forest Industry Future and Energy Technology Cluster Programmes) Preparation: 2006 (autumn) – 2007 (spring) Request for comments: Feb. – Mar. 2007  40 comments (request delivered for 90 NK organisations) March - April 2007: Revision work and validation of the Regional Council

4. 4 WHY? Regional (Bio)energy Programme 1) Environmental and energy issues - Global warming, energy security… 2) EU’s goals Biomass Action Plan (7.12.2005): 69 milj. tn  150 milj. tn in 2010 EU meeting 8-9.3.2007  Goals for the Year 2020 Renewable energy share: 20 % ! Biofuels in transportation: 10 % (5.75 % in 2010) 3) National and regional programmes Several prepared / under preparation EU Biomass Action Plan recommendation A tool for setting concrete regional goals and the corresponding actions

5. 5 Bioenergy Programme Background: 3rd BIOENERGY PROGRAMME IN NORTH KARELIA First version 1998, Updated 2001

6. 6 Importance of Bioenergy Development in NK Bioenergy has been recognised as one of the key regional development sector Bioenergy has been mentioned as one of the most promising future cluster in NORTH KARELIA DEVELOPMENT PROGRAMME 2010 (= POKAT 2010) North Karelia BP 2015 is a TOOL to carry out a POKAT 2010 programme in bioenergy sector

7. 7 PROGRAMME CONTENTS Three main actions: Sustainable energy production Strengthening of expertise Transfer of technology and knowledge

8. 8 Energy balance: Primary energy consumption in 2004 Total 10.4 TWh

9. 9 North Karelia Bioenergy Cluster in 2004: 815 jobs and 83 mill. euros

10. 10 The Key Expertise in North Karelia Energy technology: Production and refining of biofuels –Forest technology, forest machines, wood procurement and logistics John Deere Forestry, Kesla, Mantsinen, Pentin Paja, Antti Ranta, VAPO… –Heat retaining fireplaces Tulikivi, Nunnauuni, Vuoleri Housing Cluster: Energy systems in housing Forest Industry Future: Tailored fibre supply –Forest technology… –Forest inventory, forest management systems, biomass production Composites: together with Nanotechnology and Housing Clusters Strong plastic industry Packaging/ printable optics and electronics: Nanotechnology cluster

11. 11 General Goals 1. Improved energy efficiency - Consumption per capita 4 % lower in 2015 2. Higher share of renewables - Share up to 85 % in heat and power production and to 77% of total energy 3.More sources - forest, agrofuels, waste… 4. More export, more refined fuels - More green electricity, pellets, commercial firewood, biodiesel and CO 2 credits… 5. Less oil - 70% reduction in heat and power and over 40% reduction in total energy - traffic biggest challenge Oil consumption:

12. 12 Spesific Goals: 1)Forest Industry by-products Bark and sawdust (1850 GWh): 2010: More to pellet production? 2015: Biodiesel? Enocell black liquor (2800 GWh): One fourth of total energy, and over half of wood energy ASUSTAINABLE ENERGY PRODUCTION:

13. 13 2) Forest chips  Thinnings  Logging residues  Stumps  In 2010: 750 GWh (375 000 m³)? In 2015: 950 GWh – 1 300 GWh? In 2015: 860 GWh (now 770 GWh)  Increased biomass production a new goal for silviculture  Energy wood market development  Chips substituting oil in farms  Firewood trade development 3) Firewood and pellets

14. 14 4) Agro biomasses  Goal for production in 2015: 9 000 ha 5) Biogas  Until 2015: Two large plant investments 6–12 farms Biogas for transportation starts Production of electricity also in farm scale 6) Energy peat  Local fuel, classified as slowly renewable  Heat, power, liquid biofuels(?)  In 2015 peat for heat and power 430-700 GWh/y  250 MW biodiesel capacity = about 2000 GWh/y

15. 15 7) Households GOALS:  energy efficiency!  less oil and electricity for heating  lower CO 2 emmisssions in transportation ACTIONS:  From oil to pellets in house heating micro grids and hybrid heating systems subsidies for investments  Education / consultation system (also for farms and SME’s)  More energy efficient buildings and energy systems

16. 16 8) 2. Generation biodiesel: FT synthesis  Goal in Biodiesel Scenario: 250 MW:n gasification capacity for liquid biofuel production in 2015  Technology still in development phase: A pilot plant in Varkaus  Pilot plant produces: Raw material for dieselin raaka-aineeksi Heat and electricity One plant 200 000 tn / y OR 2-3 smaller plants?

17. 17  Global leader in production and procurement of energy wood: doubling the R&D resources until 2015  Global (nitche) status in biodiesel research: a public/private research unit  Wood energy expertise into global consulting and education services  Applied research on peat production and its’ environmental impacts  Export of forest energy technology 8-fold until 2015  (140 milj €/y)  Fireplaces: 70 % growth until 2015 (100 milj. € /y)  Bioenergy business models  Increasing the volume and geographical scope of technology transfer projects BSTRENGTHENING EXPERTISE CTRANSFER OF TECHNOLOGY AND KNOW-HOW

18. 18 1.Technology transfer process 2.Energy consultancy system for households and SMEs 3.Infrastructure for large-scale biofuel production 4.Development of technology and methods for energy wood procurement and logistics 5.High-value biofuel production 6.Production and commercialisation of bioenergy technology and business models 7.Promotion of investments in bioenergy production Key areas 2007–2010

19. 19 Future of the Regional Feasibility Programmes in Finland? Essential, useful tool in meeting the Kyoto targets in regional and national level EU white book recommendation: National Bioenergy programme All active regions in energy technology will have a regional plan within 1-2 years (covering about half of Finland) Key challenge: How to produce accurate statistical information to monitor the development in energy sector in regional level?

20. 20 11. syyskuuta 2015TT20 OSKE Goals: Strong National Clusters, Specialization of Regions –Competitiveness of key national clusters –Globally competitive clusters –Gathering together regional centres of exellence = National Clusters -Resources by private - public cooperation -Better utilization of resources for enterprises  UTILIZATION OF RESEARCH IN COMPANIES! –New products, technologies, methods and business concepts -more turnover, export, jobs –Internationalization Cluster A Metla VTT Academy Tekes of OSKE Excellence Regional Centres Enterprises

21. 21 Cluster Programmes Cleantech Cluster Digibusiness Cluster Food Development Cluster Forest Industry Future Energy Technology Cluster HealthBio Red Biotech Cluster Health and Well-being Cluster Housing Cluster Intelligent Machines Cluster Maritime Cluster Nanotechnology Cluster Tourism Cluster Ubiquitous Computing Cluster

22. 22 Jokioinen Kouvola Hyvinkää-Riihimäki Kotka PKS Porvoo Lohja Turku Pori Hämeenlinna Tampere Lahti Lappeenranta Mikkeli Savonlinna Jyväskylä Varkaus Kuopio Joensuu Kuhmo Kajaani Nivala Kaustinen Seinäjoki Jurva Vaasa Kokkola-Pietarsaari Raahe Oulu Kemi-Tornio Rovaniemi Sodankylä Kajaani Joensuu Savonlinna Kuopio Seinäjoki Jyväskylä Tampere Mikkeli Lappeenranta Kouvola Lahti PKS Hyvinkää Turku Hämeenlinna Pori Vaasa Kokkola Raahe Oulu Rovaniemi Regions in Cluster Programmes In 9 Clusters In one Cluster *Hallinnon ja aluekehityksen ministerityöryhmän 9.11.2006 hyväksymät osaamiskeskusohjelman 13 osaamisklusteria ja 21 osaamiskeskusta. SM/AHO/MH/9.11.2006 OSKEen hakeneet maakunnittain 2007-2013 13 klusterissa 1 OSKE PROGRAMME: 13 Cluster Programmes 4-7 University regions in each Cluster Regional coordination in Science Parks 50% State funding Joensuu Region Centre of Expertise patricipates in four Cluster Programmes:

23. 23 FUTURE… Next step will be to go from programme level to practical level (from strategic level to business) We have just established a forest and energy group in North Karelia And in this work we will need a good co- operation as BBN and good networks in european and global level THANK YOU FOR YOU ATTENTION!