Central Scotland Woodfuel Forum
Meeting # 3
13th June 2011, Glasgow Botanic Gardens
Attendees
Chair: Dan Gates, Natural Power
Peter Donaldson,Glasgow City Council
Virginia Harden, FCS
Francesca Pell, FCS
Euan Marjoribanks, Barnhill Estates
Lucy Brown, University of Strathclyde
Emma Vernon, Dumfries House
Linda Mcconnell, Scottish Woodlands
Daniel Borisewitz, Scottish Renewables Forum
Matthew Cooper, SAC
Alastair Stewart, Angus Biofuels
Andrew Gould, AEG Project Solutions
Duncan Mulholland,Arran Woodfuels
David Menmuir, SgurrEnergy LtdAnn Hoyland,Scot Government
Joe Fergusson, Farsight
Malcolm Snowie, Barnhill Estates
Jamie Farquhar, CONFOR
Stuart Reid,Highland Wood Energy
Neil Harrison, SAC
Arthur MacMillan, Finalystone Estate
Jamie McCaulay, Forestmill Eco Fire Supplies
Duncan Mackinnon, UPM Tilhill
David Forbes, Glasgow City Council
Ian Telford,Glasgow City Council
Lorna Hunter, East Ayrshire Council
Thomas Pye, NHS
RHI Q&A, panel: Neil Harrison, Stuart Reid, Daniel Borisewitz, Dan Gates
The RHI has been talked about a great deal and has experienced delays. The commercial tariff is being introduced next month. DECC have tried not to favour one type of technology over another.
There will be quarterly payments and a tariff set with different bandings. This will be reviewed in 2013.
Neil Harrison commented that the RHI should promote growth in the biomass sector, which is still extremely small and will allow more investment in technology.
Stuart Reid (SR) felt that there has been a great deal of interest in RHI. Many new orders for boilers have been coming in since the announcement. He also felt that there had always been a challenge with receiving grants due to delays in decisions etc, so hoped that RHI would make the whole process smoother.
Dan Gates (DG) remarked that there were still questions about air quality and sustainability.
There was a question about previously grant aided boilers, to which SR replied that grant recipients will need to pay back previously claimed grants if installed after 2009 (those pre-2009 will not qualify for RHI). The hope is that recipients will be able to repay grant at the same rate as they receive instalments from RHI. Virginia Harden commented that these details are being looked into at the moment. At present, there has been no official line on what this repaid grant will be used for.
Thomas Pye (TP) mentioned that the issue of State Aid in relation to RHI could not be resolved within Scotland and so it has been referred to the EU for guidance. The RHI document is rather contradictory on this matter. This is a pertinent issue as it could mean that public sector organisations don’t qualify for RHI.
Joe Fergusson asked whether RHI payments will be taxable. The current RHI is not tax free. That was a proposal for the domestic scheme only. We will have to await how domestic installations are eventually treated in terms of tax.
DG commented that phase 1 is up and running with payments starting in July/August. Phase 2 (ie domestic and District Heating Systems) consultation is expected to follow, with results early in 2012 and an expected start date of October 2012.
TP asked whether Ofgen could be invited to the next meeting as that would be helpful.
Sustainable Glasgow presentation – David Forbes
David outlined plans to make Glasgow sustainable. A recent report found that Glasgow could reduce carbon emissions by 30% over the next 10 years; biomass could contribute to this by 2%. Glasgow Council is looking at how they can support sustainability plans such as the “Green Deal”.
TP asked where the main funding source came from. David said that it was a mixture of private funding partners and limited money available within GCC. They are trying to attract more investment.
The outline for this presentation can be found at :-
CONFOR Woodfuel Suppliers Association – Jamie Farquhar
CONFOR provides a voice for all aspects of the supply chain. Woodfuel is high on the agenda. CONFOR’s role is to lobby and represent the sector. The UK Woodfuel Suppliers Group, administered by CONFOR held its inaugural meeting in January 2011. Scotland is more advanced in terms of woodfuel forums than south of the border. The Suppliers Group will work in a similar way to the forums and will focus on promotion and lobbying.
The main issue to contend with is that the timber resource is finite, so there will be competition for timber from the different sectors. We therefore need to utilise the resource wisely.
The CSWF group were advised to read the Woodfuel Task Force Report. It gives a background to the amount of timber forecast in Scotland upon which a judgement can be made as to whether it is a viable option to install substantial woodfuel systems and have enough fuel for its lifetime.
Forestry Commission Scotland update – Virginia Harden
Regional Price Index. An interest from several members has been expressed in the development of a Regional Price Index for woodfuel, this would aid the calculation of prices for supply contracts going forward. There have been discussions upon this point between Forestry Commission Scotland and Confor, Forestry Commission Scotland (FCS) will provide updates upon this issue and Forum members are to give feedback.
Energy Forestry Trials – there are now various sites around Scotland designated to the trials. Further information on this topic can be found on the Usewoodfuel website by using the following link:
Virginia also referred the group to the National Forest Inventory – attached.
Aboricultural Arisings – the available resource has now been identified and FCS are now looking at how we can use it, with a possible site trial in North Lanarkshire currently being discussed. Anyone with a particular interest in this was requested to contactVirginia.
Mike Batley from Central Scotland Forest Trust is currently working on an extension of the Lanarkshire wood energy project in Central Scotland.
The Regional Biomass Advice Network’s support role has been reviewed and the level of support will be reduced from September. General advice will be available via the website, but there will be no direct support in Central Scotland.
However, the Forestry Commission still intend to offer continued support for the CSWF.Virginia emphasised the need for a good forward work plan for the group and asked that any ideas/viable proposals should be forwarded to her before her departure in September.
NHS/Procurement Scotland woodfuel update – Thomas Pye/Ann Hoyland
T.P stated that there were seven woodfuel schemes up and running with a further two coming on stream in the next few months.
The Carbon Trust Heat Accelerator Programme now has an event organised.
A.H outlined how Procurement Scotland have looked at the national frameworks in place for biomass. There had been many responses to the recent consultation – many of which had focussed on the quality issue. The next step is to consider the issues raised and to look at competing issues. She stressed that there is nothing to stop public sector projects from going ahead in the meantime – while the procurement document takes shape. There is currently no fixed date for finalisation of the National Procurement Framework.
Co-operative models for woodfuel supply – Neil Harrison
Neil outlined that of five potential co-operative groups in Scotland only one group, based Ayrshire is successfully working together. He stated that there should be tangible results in the coming months.
Date of next meeting
Dan suggested September for the next meeting. Proposed dates will be circulated around the group in advance.
Action Points
Action Point: / Actioned By:
Circulate minutes from last CONFOR Woodfuel Suppliers Association meeting / Jamie Farquhar
Circulate Woodfuel Task Force Report / Virginia Harden
Ideas/viable proposals for the Forum’s future to be e-mailed to Virginia before September / All
Invite Ofgen to next CSWF meeting / VH