Biomass Network East of Scotland
BIOMASS NETWORK EAST OF SCOTLAND
10:00 hrs on 07 October 2011
Venue: Padanaram Village Hall, Padanaram Village Hall, by Forfar, Angus DD8 1PZ
Action Table and Minutes
Present:
Bill Watson (BW) Chair, Robin Almond (RA), Adam Baxendine (AB), Neil Black (NB), Robert Boyd (RB), Darren Kane (DK), Ray Cox (RC), Tammas Crawford (TC), Pauline Cropper (PC), KellyAnn Dempsey (KD), John Farquhar (JF(RDI)), John Ferguson (JF), Claire Glaister (CG), Charles Gow (CG), Ken Greig (KG), Virginia Harden (VH), Kate Hutchison (KH), Harry Jameson (HJ), Anneli Kendrick (AK) Roy Johnston (RJ), Andrew Lorimer (AL), Steve MacDonald (SM), Bob Mcilwraith (BM), Euan Marjoribanks (EM), Lynda Mitchell (LM), Dave Morran (DM), Norman O’Neill (NO), Edward Rillen ( ER), Dot Smith (DS), Calum Snowie (CS), Mike Strachan (MS), Jonathan Taylor (JT)
ACTION TABLE
ITEM / ACTION / RESPONSIBLE7. Questions and Discussion / BM asked whether credit would be available for those projects in receipt of SHBS grants for the period between the date RHI began and the point at which repayment of the grant is made. JT stated he would clarify this issue.
CG asked how woodfuel forums could become involved with the East Coast Renewables Supply Chain Development project. SM is to investigate how the project can work with The Forum. / JT
SM
9. Dates for Future meetings / Agree and circulate potential dates for future meetings / BW/VH
MINUTES OF THE MEETING
Item / Action- Welcome and Introductions
Angus Biofuels / BW welcomed everyone and delivered a presentation which introduced some key background information surrounding the use of woodfuel as a form of renewable heat, the policy drivers behind the promotion of the use of woodfuel and key facts relating to climate change. The contents of this presentation can be viewed at:
During the presentation BW highlighted that he is currently working with Forest Research, Forestry Commission Scotland to calculate the true cost of woodchip production. Further updates on this work will be available in due course. BW also highlighted the concern that boiler installers are not yet sufficiently well placed to meet the potential demand for installations which may be created by the Renewable Heat Incentive.
- Minutes of last meeting & matters arising
- Renewable Heat Incentive (RHI) Update and Eligibility
Forestry Commission Scotland / JT delivered a presentation covering an update on the progress of RHI and eligibility criteria, the Wood Fuel Usage Report 2011 and other issues, namely the renewable’s Obligation and Sustainability Criteria, Obligation & Sustainability Criteria. The contents of this presentation can be viewed at:
Forestry Commission Scotland will be contacting Scottish Biomass Heat Scheme projects with regards to paying back any monies from the scheme in order to claim the RHI once OFFGEM have finalised guidance for the scheme.
- East Coast Renewables -Supply Chain Development
Perth and Kinross Council / SM presented an outline of a European Regional Development Funded programme to identify clustering opportunities for the woodfuel supply chain throughout Perth and Kinross, Angus, East Lothian, Fife and Aberdeenshire.
Further information upon the project can be found at :
5. Woodfuel Storage & Delivery
John Farquhar
RDI / JF delivered a presentation upon woodfuel storage and delivery, the contents of this presentation can be viewed at:
- Update from Scottish Agricultural College on Cooperative Development models
SAC Consultancy / KH provided an update on work to investigate cooperative working in the woodfuel supply chain. Upon behalf of Forestry Commission Scotland SAC have been working with 5 potential co-operative groups in Scotland, with the Scottish Woodfuel Group ( centred around Ayrshire) being the most active to date ( the SWG are currently examining the potential for offering an Energy Service Contract Service to customers). As part of SAC’s work a “Guide to Co-operative Working” has been published and is available on the Usewoodfuel Scotland website at:
- Woodfuel Installations in practice
Alienergy / LM provides an introduction to her role at Alienergy, which is to encourage new types of end users, such as hotels, to enter the woodfuel industry. Lynda gave a presentation upon a case study of a woodfuel installation at Cuilfail Hotel, the full presentation can be viewed at:
8. Questions and Discussion / RC questioned income calculation for RHI payments income for Cuilfail Hotel. JF (RDI)/LM responded that the boiler does not have a heat meter, nor are the payment levels for RHI confirmed, therefore the calculations are only an estimate.
BM asked whether the owner of a boiler commissioned prior to July 2009 can replace his boiler only, which is just one part of the woodfuel installation ( i.e excludes storage etc), and then be eligible for RHI payments JT/JF(RDI) responded that, technically, the boiler would be eligible since RHI concentrates upon the boiler and not the fuel supply system but essentially OFFGEM will make decisions upon a case by case basis, those replacing boilers will have to make a declaration to that effect. OFFGEM are aware of this issue but are of the opinion that such replacements should be insufficient in number to have a notable effect. Any grant (such as Scottish Biomass Heat Scheme) would have to be paid back before claiming RHI, repayment guidelines will be set once OFFGEM have set the regulations and guidance for the scheme.
BM asked whether credit would be available for those projects in receipt of SHBS grants for the period between the date RHI began and the point at which repayment of the grant is made. JT stated he would clarify this issue.
GR enquired as to who could be employed for independent monitoring of woodfuel systems. JF (RDI) stated that criteria for independent monitors had not yet been set, but that monitors were likely to be independent heating engineers.
ER enquired as to whether open fronted grain drying trays were eligible for RHI, JF (RDI) stated that they were not.
CG asked how woodfuel forums could become involved with the East Coast Renewables Supply Chain Development project. SM stated that duplication of forum work was not intended and is to investigate how the project can work with The Forum. BM stated the importance of knowledge and best practice transfer but also stated the importance of sharing examples of bad practice as this is also part of the learning process. DS emphasised importance of best practice visits and of working together with woodfuel businesses to bring together/disseminate best practice knowledge.
BW questioned RTS figure calculation of 150,000 tonnes of wood available for woodfuel in Tayside and as to how this would affect other sectors of the timber industry, could it be at expense to other sectors of the timber industry. RA stated that in the competitive market environment the woodfuel sector would have to compete with other sectors within the timber industry for this resource.
AL questioned at which woodfuel point consumption would outstrip supply in the region. RA stated that Tayside could easily meet its own needs in terms of woodfuel. JT stated that production forecasts for the private and public sector would be published next year and will be able to provide confidence for the woodfuel industry in knowing what resource was available. JT further stated that there is a limit to the use of woodfuel but that small-medium scale systems would produce an incremental increase in demand, not a shock to the system (that larger scale systems might) and would, therefore allow the industry to evolve to meet the demand level. BW stated that ultimately the world stage dictates the price of woodfuel, we have the fuel but you might have to pay more.
JF stated that there are many proposed larger scale woodfuel projects in the planning system which the supply base cannot meet and that they will in fact look internally within Scotland for woodfuel supply. Forestry Commission must states what their planting strategy is for traditional woodland and other bioenergy crops, including Short Rotation Coppice and Short Rotation Forestry. JT stated importance of lobbying European Parliament on CAP reform with respect to planting of forestry, agricultural and other barriers exist to the planting of forestry.
BM highlighted the importance of production of energy from waste to free up virgin timber for other purposes. DS stated that Fife Council has improved the conversion of waste to energy. BW stated he was trying to enable the use of waste heat from Fife Councils Ladybank site to dry timber but had had no success in terms of contact to date.
JF stated that landfill gas is not compliant with RHI. There is, however, 1.5-2.3 m tonnes of potential solid fuel to be recovered from waste but currently processing facilities must be Waste Incineration Directive compliant. JT stated that technology is being developed to make the processing of this resource more feasible in smaller scale power plants.
TC questioned whether, if you were on a gas network for commercial woodfuel projects, you would be eligible for RHI payments. JF (RDI) stated that on gas grid commercial projects would be eligible but that domestic projects in gas grid areas were not eligible for the Renewable Heat Premium payment.
NO Stated the importance of training for installers and engineers in respect to the resources available for woodfuel. NO highlighted the importance of purchasing local supplies to minimise transport costs and maximise carbon benefits of woodfuel.
One final question was raised in relation to whether there was any guidance on the Government’s approach to GM crops. JT stated that trials are being undertaken but there has been no progress to date upon an official approach.
BM stated that JF (RDI) had omitted the cost of specialised woodfuel blower trucks in his presentation and enquired what the cost of delivery would be. JF (RDI) stated that a 30m cubed delivery vehicle would cost £40,000 and that suppliers would need to make £5 per tonne over standard delivery price for a 30-50m cubed trailor. EM/MS stated that Scot Heating have 2x 50 metre cubed bins for blowing woodfuel which can deliver pellet or chip at a transport cost of £2.50 per mile for blown deliveries for the whole journey of the truck.
JF questioned how those not already involved in the woodfuel industry might broker contracts with suppliers for a 2-3 mW woodchip heating system. JT stated that this should be done through the woodfuel suppliers group. BW stated that the woodfuel suppliers group was encouraging members to join the HETAS woodfuel assurance scheme (see for further information). BW stated that the suppliers group is open to new members.
9. Dates for Future meetings / tbc / BW/VH