1. NATUR NÜTZEN. NATUR SCHÜTZEN. Wood Energy – Contracting Projects in the Province of Styria, Austria EUROFORENET Conference, Brussels, 20 th November 2007 DI Dietmar Jäger

2. Socioeconomic Background I NATUR NÜTZEN. NATUR SCHÜTZEN. increasing stock of wood 47% forest

3. Socioeconomic Background II NATUR NÜTZEN. NATUR SCHÜTZEN. 50% private < 200 ha 22% private> 200 ha 15% state forest (ÖBf-AG) 13% community and provincial forests

4. Political Background (energy policy) NATUR NÜTZEN. NATUR SCHÜTZEN. should be arised to 25% till 2010 and 45% till 2020 current fraction of renewable energy in Austrias gross energy consumption is 23% within renewable energy biomass is the most important energy source (42%), followed by water power (31%)

5. What are Wood Energy Contracting Projects the heating system remains in possession of the farmers consortium, which accounts for operation, maintenance, and reinvestment the consortium invests the heating system, and the constructional measures and rents the central heating and energy wood storage room in the consumers building supply of municipial buildings, family apartment houses, and little housing estates with heat energy based on wood chips from regional small scaled farm forests a group of farmers (2-10, mostly 3-5) constitutes a consortium (private partnership or cooperative)

6. Preconditions for Wood Energy Contracting Projects usage of at least 75% wood chips from the farmers group forests, the rest can be completed from regional forests index-linked contracts are closed for room rent, and heat supply for a period of 15 years in case of a malfunction of the heating system a member of the consortium should be on location within 3 hours the quality of the wood chips has to meet a specified standard (Ö-NORM M 7133) the projects have to be economically efficient

7. Project Coordination, Planning, and Implementation planning and implementation (installation of the heating system and constructional measures) by local or regional plumbers and construction companies operator of the heating system, and supplier of the wood chips is the farmers consortium project management and support services by in cooperation with  the consortium does not just provide wood chips, but it acts as a „heat seller“

8. 2 Modalities of Implementation Heat Supply for a Single Buildung Micro Heat Network

9. Heat Supply for a Single Building municipial office, nursery school, elementary school, multi floor apartment house demand of at least 50 kW simple constructional integration of central heating and wood storage room in the building one or two separated communal buildings

10. Micro Heat Network ratio „meter pipework / demand kW“ not more than 2:1 convenient locations are community centers or housing development areas heating and wood storage room in one communal building and combined supply of surrounding buildings at least 3 separated buildings (mostly 4 to 8)

11. Financing of Wood Energy Contracting Projects little loan fraction 1/3 own capital, and services on own account 1/3 investment incentives 1/3 connection fee

12. Costs for the Heat Consumers connection rate (to be payed once): basic price: € 16.- to 22.- per kW and year energy price: Cent 4,8 to 5,6 per kWh meter charge: € 9.- to 12.- per month  day-to-day total price: Cent 6.- to 7,3 per kWh (excl. VAT) common rates comparable to long distance heating € 180.- to 360.- per kW (excl. VAT)

13. Revenues for the Farmers allocation of wood chips: € 18.- to 22.- per m³ (excl. VAT) ca. € 10.- per hour technical servicing:

14. projects intended or under construction (36) Styria operating projects (175) - heat supply for single building (69) - micro heat network (106)

15. Example 1: Ratschendorf, district Radkersburg elementary school heat provided buildings municipal office elementary school fire brigade station with 5 apartments business enterprise 2 apartment houses heating system data power: 212 kW demand: ca. 260 MWh per year wood chips consumption: ca 450 srm per year heating system: underfeed furnace Operator: Wärmeliefergemeinschaft Nahwärme Ratschendorf GesbR 7000 l buffer storage

16. Example 2: Übersbach, district Fürstenfeld municipal office heat provided buildings municipal office with nursery school fire brigade station municipal house with 5 apartments business enterprise with 6 apartments business enterprise with 4 apartments single family house multi family house piggery heating system data power: 143 kW demand: ca. 195 MWh per year wood chips consumption: ca 390 srm per year heating system: 150 kW underfeed furnace Operator: Wärmeliefergemeinschaft Übersbach

17. no noteworthy organisational efforts for heat consumers in most cases just little building measures necessary (adaptation of existing heating rooms and fuelwood storerooms) low conduction losses (less than 20%), low costs for pumping electricity small and straightforward projects with low investment costs and risk reasonable addenda to long distance heating projects and individual equipments Advantages of Wood Energy Contracting Projects

18. Overall Positive Effects of Wood Energy Contracting Projects high consumer´s benefit convenience comparable to long distance heating generation of jobs, income and added value in economically underdeveloped rural areas net investments of 11.5 Mio € 160 jobs in farming, craft, and industry substitution of fossile fuel by renewable wooden biomass 49.600 m³ wood chips p.a. substitutes 3.8 Mio l heating oil

19. for detailed information see www.holzenergie.net www.holzenergie.net Thank You for Your Attention !