Work on Europe

The Russian pellet production has developed rapidly without government support, focusing on the growth of European demand
In May, the company "Vyborg Cellulose" launched in the Leningrad region the world’s largest production of pellets.

loading a ship with pellets

According to company president Alexei Kazmina until the plant produces 20-30 tonnes per month, but by October, will reach its design capacity — 1 million tons per year. For comparison, the largest operating company in the United States and Norway produced by 450-750 thousand tons of pellets per year.

Soon, in the North West will be more large biofuel production. Holding "Russian forest pellets", according to its president, Valery Roshupkin, in 2011, intends to commission capacity in Pskov and Novgorod regions by 77 thousand tons of pellets per year each, and up to 2017 — to build a plant in the Arkhangelsk region. In the Republic of Komi implemented two priority biofuel project. The company "PechoraEnergoresurs" launched at the beginning of 2011 in the amount of pellet capacity of 10 thousand tons of pellets per year, and by 2012 plans to produce 74 thousand tons. "TsentrVudKom" to the end of the year plans to open a production capacity of 100 tons of biofuel per year.

Lumber interest in bioenergy is increasing rapidly. In 2008, Russia produced about 1 million tons of fuel pellets. In 2010, according to research of marketing agency "Navigator", the power of the domestic pellet production increased to 3,000,000 tons. Until the end of 2011, subject to the implementation of all the announced projects aggregate output closer to 5 million tons.

Embrace the EU
Despite the rapid increase in production, overproduction of the market is not threatened. "In the next few years, the potential of the European pellet market is almost unlimited and Russian companies will be focused mainly on exports," — said the head of the portal wood-pellets.com Anton oatmeal. Thus, the "Vyborg Cellulose" for three months of work has already sent ships with their products of Swedish Vattenfall, the Nordic Fortum, the French EDF, says Alex Kaz’min. Total there are agreements with ten European consumers.

The increasing demand due to the commitments taken by the EU in 2020 to bring the level of renewable energy sources, in particular biomass, up to 20%, and thereafter — 25%. Europe in 2010 consumed 12 million tonnes of biofuels, given that produces 8 million by 2020, the EU hopes to increase the consumption of up to 80-100 million tons. For example, in the UK last year, a five-year plan to build a series of power plants using biomass, the implementation of which will increase the volume of biofuels to 30 million tons a year. A similar program operates in Germany. China in the same period to increase its consumption of pellet fuel from 4.6 to 54 million tons.

In an unequal
Russia is the third largest supplier of industrial pellets to Europe, competing with producers from Canada, USA, Australia and the Baltic countries. "We are completely swamped in the competition for the quality of pellets, but difficult to compete on price," — says Anton oatmeal.

As explained by the Executive Director of the "National Bioenergy Union" Olga Rakitova, the level of subsidies for non-business processing of wood in the United States is such that the actual cost of production of fuel pellets on the east coast of the country (eg, North Carolina) is only $ 3 per ton versus 40-50 dollars in Russia. The European Union also allocates huge funds in the form of long-term soft loans for projects in the field of biofuel production, the creation of power plants and cogeneration plants using biomass, especially in Eastern Europe and the Baltic states. By implementing an ambitious program of development of the biofuel industry has started China. This program involves the use of public funds and attracting major investments from the private sector. Even the Ukraine recently authorized admission free of duty and tax on the surplus value of machinery and equipment used for the renovation and construction of enterprises for the production of biofuels.

In Russia, the development of a new direction for bioenergy yet do without government assistance. Even the "Vyborg Cellulose" — the largest project of the industry was not supported at the level of a region or country. In October 2010, when the company did not fit in time, the governor of the Leningrad region Valery Serdyukov promised investors tax breaks on property and income. However, as acknowledged by Alex Kaz’min, the company promised preferences has not yet received, but remains hopeful tax exemptions on the property.

Not for myself
Russia has also identified the objectives of energy policy of the state in the development of renewable energy sources. A government decree of 2009 set targets for production and consumption of electricity from renewable sources. According to the document, by 2020 this figure is expected to reach 4.5% (currently, according to the experts — not more than 1%). After that, in some regions, programs have been associated with the use of wood fuel (in the North-West — Arkhangelsk, Vologda, Veliky Novgorod). In the Komi will soon set up a working group on the use of wood waste in municipal services. In Karelia going to translate to the boiler chips.

"But in fact, isolated projects planned transfer of municipal boiler low capacity for biofuels do not solve the problems of ecology and economy of the regions have no effect on the regional fuel and energy balances. Distinct goals and balanced planning for the production and use of biofuels on the federal and regional levels is not "- says the director of the NP" Russian-Swedish Bioenergy Centre (Biocenter) "Vladimir Holodkov. As a result, more than 80% of pellets produced in Russia sent to the West.

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