Future of Biomass

Thérèse Coffey Excerpts

Monday 20th February 2012 Commons Chamber

[Graham Stringer]

That is the point that I am making.

There is another trap to avoid. It is important to make the distinction between biomass that is good and biomass that is bad for the carbon balance in our atmosphere; otherwise, the danger is that biomass will be tarnished in the same way that first-generation biofuels were, creating a wall of cynicism about biofuels in general. Installing bad biomass plants around the UK rather than good ones would not only be a prodigious waste of taxpayers’ money, but embed into our electricity generation system for years to come a significant proportion of unsustainable electricity production.

I was drawn to the opinion of the European Environment Agency scientific committee on greenhouse gas accounting that was published on 15 September 2011, a copy of which I have submitted to the Minister’s officials. It knocks on the head the assumption that biomass combustion is always inherently carbon neutral, and points to the “double counting” that causes that error. The report explains that the assumption

“ignores the fact that using land to produce plants for energy typically means that this land is not producing plants for other purposes, including carbon otherwise sequestered.”

If biomass production replaces forests or reduces forest stocks or forest growth that would otherwise sequester more carbon, it can increase net carbon concentrations. If biomass displaces food crops, as biofuels did, it can lead to hunger if crops are not replaced, and to emissions from land use change if they are. The committee concluded that to reduce carbon in the air, bioenergy production must increase the net total of plant growth, or must be derived from biomass wastes that would otherwise decompose.

[Dr Thérèse Coffey (Suffolk Coastal) (Con)]

The hon. Gentleman is making an eloquent contribution. Another unintended consequence could involve the cost of crops. Biofuels have already been mentioned, but my farmers are also concerned about straw and about raising costs when they could be subsidising a biomass plant.

[Graham Stringer]

The hon. Lady makes an important point.

The committee warns that the danger of that error is “immense”, stating that

“current harvests…have already caused enormous loss of habitat by affecting perhaps 75% of the world’s ice- and desert-free land, depleting water supplies, and releasing large quantities of carbon into the air.”

On that basis, it urges that European Union regulations and policy targets should be revised to allow bioenergy use only from additional biomass that reduces net greenhouse gas emissions without displacing other necessities such as the production of food and fibre. It advises that accounting standards should fully reflect all changes in the amount of carbon stored by ecosystem, and that energy production from biomass should be based on by-products, wastes and residues rather than on stem wood that would otherwise continue happily to grow as forest biomass.

The implications of that analysis were explored by Atlantic Consulting in “Biomass’ Forgotten Carbon Cost”, published on 8 November 2011. I have sent a copy of that paper to the Minister’s Department, as well. Atlantic Consulting looked at the pattern of typical biomass plants in the UK and found that 58% of their fuel tonnage derived from wood. Some of that is waste, such as end-of-life furniture and arboreal cuttings, and some is residue, such as that from sawmills. Unfortunately, however, the largest fuel component of biomass power is stem wood—that is, tree trunks harvested with the intent of using them for boiler fuel.

Atlantic Consulting proceeded to estimate the carbon footprint of a typical UK biomass plant. Interestingly, its footprint is 690 grams of carbon dioxide equivalent per kWh, which is well above the current UK average footprint of 520 grams per kWh and the lowest-carbon conventional gas-fired combined cycle at 401 grams per kWh. It also far exceeds the eligibility hurdle of 285.12 grams per kWh set for renewable obligation certificates from 2013. In that light, more than half of biomass-powered capacity would not qualify for credits under the renewables obligation. That could be a shock to the owners if they found that they did not benefit, and it would certainly be a shock to taxpayers if they found that they were subsidising higher-carbon power generation than the existing average.

Will the Minister provide the owners and the taxpayers with a measure of reassurance, because it appears that the current sustainability criteria for biomass are not stringent enough? If the European Environment Agency scientific committee or Atlantic Consulting are wrong in their thinking, will he please explain the situation, so that we can get this right for all concerned? The interests of the economy and of the environment demand clarity.

In October last year, the Scottish Government published a consultation that proposed removing all subsidy from large-scale woody biomass electricity plants. Large-scale electricity-only biomass was, in their view, inefficient and required more wood than the UK could produce. Although current plans are to import wood, there is no guarantee that biomass plant operators will look exclusively abroad for their wood, and the overseas supply might not be stable or secure. The current subsidy means biomass providers will be able to afford more than the current market rate for wood, which might push prices up and price out traditional wood industries such as sawmills, wood panel mills, furniture manufacturers and construction, which in turn, the Scottish Government said, puts hundreds of skilled rural jobs at risk. What is the Minister’s view of the Scottish policy stance? Are the Scottish Government wrong, or are they ahead of the game?