Biochar: Priority for Soil Fertility or Climate Solution First?

Perspective or point of view on biochar is greatly influenced by a person's expertise, while the driving force of its application is greatly influenced by factors that are the problems of the area or region. For example: climate scientists see soil improvement from biochar applications as an additional benefit (co-benefit). For soil scientists or farmers who use biochar as a soil amendment because of their practical experience that has a positive effect on soil fertility and the economic aspects of their farming, while climate benefits become additional benefits (co-benefits). And in reality the accumulation of benefits (including economic) and the effectiveness of providing environmental solutions will accelerate the use of biochar in the real world.

The photo taken from here

To maximize the benefits of biochar applications, the quality of biochar becomes very important, or in other words the physical and chemical properties of biochar control the level of its effectiveness for various applications. These properties are determined by factors, namely, raw materials, process conditions and before and after the production process. This is so that the biochar produced has different properties so that laboratory analysis is a method used to predict the effectiveness of the biochar. And also to qualify for certain incentives that apply in certain countries, the biochar produced can also meet certain criteria, for example the standards made by the IBI (International Biochar Initiative). Or to get carbon credit or BCR (biochar carbon removal) credit that has been applied internationally also requires biochar with certain criteria and quality, and for that biochar production must follow a certain methodology according to international carbon standard institutions such as Puro earth, Verra, and European Biochar Certificate (EBC). To get quality parameters or biochar specifications that are in accordance with their use, a certain type of laboratory is needed. Not many laboratories can do this biochar test. Some laboratories that can do this include compost, soil, coal and activated carbon analysis laboratories.

Currently the main and long-standing focus, namely the use of biochar for agriculture, plantations and forestry is to increase productivity / yield. However, in fact the added value that biochar can offer in its application in the soil, especially in cultivation, not only includes increasing crop yields, but also preventing the loss of humus in the soil, preventing nitrate leaching, and increasing water storage capacity to increase plant resistance to drought and its resilience to the climate crisis. As for how the fastest entry point for the biochar industry, for more details read here.

Bioeconomy: Carbon Neutral Economy (Wood Pellets & PkS) VS Carbon Sink Economy (Biochar)

Market readiness and availability are important factors for the growth and development of a business in general and biomass-based businesses in particular. And globally according to Hawkin Wright, predicting wood pellet sales will reach the highest among other biomass fuels, which is more than 27 million tons/year in 2025. While FutureMetric also predicts that the market for wood pellets for industry (industrial pellet fuel) can reach 55 million tons in 2030. Thus the need for wood pellets will continue to increase by an average of more than 5.5 million tons per year since 2025, so too for wood pellet production. In addition, PKS (palm kernel shell) are also an alternative biomass fuel besides wood pellets and PKS is the main competitor of wood pellets in the global biomass fuel market. But compared to wood pellets, global PKS trade is relatively small, estimated at only 5 million tons/year. Indonesia is the largest producer of PKS in the world because it is comparable to the area of  palm oil plantations and as a producer of palm oil / CPO or the owner of the largest oil palm plantation in the world.

Meanwhile, biochar, specifically for Europe alone, is estimated to have 51 new biochar factories or a total of 220 units, with biochar production estimated to be 115,000 tons per year. And global biochar production in 2023 is estimated to reach 350 thousand tons or equivalent to 600,000 carbon credits and is expected to continue to increase. And in 2025, the biochar industry is predicted to grow more than 5 times compared to 2023. The existence of carbon credits is one of the biggest motivations for biochar production. With the existence of carbon credits, there is a significant surge in biochar production from before. As an illustration, in 2023, this biochar carbon credit will make the largest contribution, namely 90% of carbon removal in the voluntary carbon market according to data from CDR.fyi.

The main market or user of wood pellets (industrial pellet grade) are power plants that carry out cofiring with renewable fuels, namely biomass-based, especially wood pellets. The greater the cofiring ratio, the greater the need for wood pellets. With a capacity or size of hundreds or even thousands of MW of power plants, the need for wood pellets is also high even with a low cofiring ratio. The trend of coal-fired power plants to carry out cofiring is getting bigger and also the increase in their cofiring ratio, even a number of coal-fired power plants can switch to 100% using wood pellets (fulfiring). In addition, a number of biomass power plants, both 100% with wood pellets or PKS, have also been built and started operating. There is a global target that the portion of coal-fired power plants must decrease to 4% (from the current condition of around 30%) by 2030 and 0% by 2040 if the world wants to limit global warming to 1.5 degrees Celsius (2.7 degrees Fahrenheit) and prevent the occurrence of severe damage from the climate crisis. This is also what makes a number of coal companies in Indonesia develop renewable energy, especially wood pellets from energy plantations.

While biochar, although its market potential is also very large, the problem is that awareness is still low, so education and socialization still need to be improved. Like the market for biomass fuel in the form of wood pellets and PKS / palm kernel shells which are generally large companies (because they are also the largest CO2 emitters), to accelerate the biochar industry, a large capacity market or user is needed. Large farms and plantations as well as energy plantation forests or energy plantations are potential markets / large users of biochar. Likewise, post-mining reclamation lands that will be revegetated are also potential users / large markets for biochar. This is also related to the fact that a significant volume is needed to be able to produce adequate CO2 absorption volume (carbon sequestration / carbon sink). Meanwhile, from the agricultural or plantation side or application to the soil related to the use of biochar, so far, when considering the effects of biochar, the focus has only been on increasing crop yields. However, the added value that biochar can offer in its application in soil, at least in optimal agricultural systems, includes not only increasing crop yields, but also counteracting the loss of humus in the soil, preventing nitrate leaching, and increasing water storage capacity to increase crop resistance to drought and resilience to the climate crisis.

And basically both biomass fuel production such as wood pellets and carbon sink materials such as biochar will have a positive impact on the climate, even both can support each other such as if biochar is used for energy plantations and then wood products from the energy plantation are used for wood pellet production, more details read here. The use of renewable energy will reduce the concentration of CO2 in the atmosphere because it does not increase the concentration of CO2 or is carbon neutral, while biochar will reduce the concentration of CO2 in the atmosphere because it absorbs CO2 in the atmosphere in biomass which is then concentrated by pyrolysis to become biochar, or carbon negative. Even making a carbon sink, but not reducing the source of its emissions is a futile or irrelevant effort, more details read here. So bioeconomy with carbon neutral economy, namely biomass fuels such as wood pellets or PKS or carbon sink economy, namely with biochar, will be closely related to business readiness such as market / user aspects, raw materials for certain production capacities, raw materials and so on. These characteristics need to be considered carefully and comprehensively so as to produce optimal and sustainable profits.

Fastest Entry Point for Biochar Industry

When in the West, especially in Europe, biochar is seen primarily for climate mitigation, namely as carbon sequestration / carbon sink and compared with various similar efforts in carbon negative / negative emission technologies with compensation in the form of carbon credits or BCR (biochar carbon removal) credits, it is very different, especially in Asia and Africa. Biochar in both continents is mainly to increase soil fertility or repair damaged / degraded soils so that they can be more productive to produce agricultural food products. The different approaches are mainly motivated by the factors that influence it, namely especially in Europe when the problems of climate change, the environment, sustainability and global warming are more of their concern, then various efforts in line with that become important and relevant so that biochar is one of the solutions. While in Asia and Africa, the factor of meeting food needs is a more important concern.

Currently there are 6 NET (negative emission technologies) or carbon negative actions that can absorb CO2 from the atmosphere as in the diagram above. Basically, adequate scale or capacity is needed so that climate change mitigation efforts can run effectively and efficiently. The convenience, cost and additional benefits of the above technology applications will affect their implementation. Of the six NETs, ​​biochar has the fastest development, this is because biochar can meet the above factors. Scientific and public interest in Biochar began to grow in the early 2010s and has grown rapidly since then. The initial focus of biochar research was on terra preta (black earth) and soil improvement. And now it has expanded into various fields, including in the context of industry and construction.

The vast area of ​​degraded land reaching tens or even hundreds of millions of hectares in Indonesia can be improved by using biochar. Moreover, the potential for biomass waste that can be utilized is also very large, tens of millions of tons or even more and the need for food (even bioenergy) also continues to increase. Gradual and sustainable efforts to improve the land need to be started immediately. Soil improvement, as well as efforts to manage biomass waste, energy production and become a climate solution with NET are effective simultaneous efforts. This is the appeal of biochar so that it should be a leading program for various industries that are concerned with food and energy security, the environment, decarbonization, climate and sustainability. This is also so that forest clearing for food estates can be avoided if biochar is chosen as a solution. 

The question is how can this biochar immediately become a solution and be implemented massively? Increasing awareness of the benefits of biochar is the entry point. Furthermore, soil improvement as a real action is followed by carbon credit or can be done simultaneously to become the fastest entry point for the biochar industry in Indonesia. This is in addition to carbon credits with biochar or biochar carbon removal (BCR) credits that have been applied globally, carbon credits are also one of the main drivers of the growth of the biochar industry globally. Even globally, BCR credits are ranked first or more than 90% in Carbon Dioxide Removal (CDR) recorded in cdr.fyi.

Export of Sheep and Animal Feed Pellets to Algeria

Algeria plans to import up to 1 million sheep to meet the needs of Eid al-Adha. This is because domestic demand is large while domestic supply is insufficient. This is because in recent years there has been a drought, which has resulted in a shortage of animal feed and an increase in feed costs. And because animal feed is a major component in the livestock sector, the shortage of feed and the increase in feed costs will have a major impact on the sheep products that produce meat. The price of sheep and lamb meat has become very high. By choosing to import in large quantities, the government aims to overcome the shortage of supply in the market and suppress the sharp increase in livestock prices.

Indonesia has the opportunity to become an exporter of these sheep. As long as feed is available, sheep farming will not experience significant obstacles. These sheep feeds can be attempted in many places in Indonesia, even with a tropical climate, producing sheep feed should not be difficult. Moreover, currently a number of energy plantations have been created with these energy plantation plants also producing animal feed from their leaves such as calliandra and gliricidia. The area of ​​these energy plantations which reaches tens of thousands of hectares will also produce a lot of sheep feed. It is also possible to export feed pellets in the form of these leaf pellets, and while the wood from these energy plantations is used for the production of wood pellets. 

Source : Hidayatullah

Biochar for Energy Plantations

The low productivity of wood from energy plantations is one of the obstacles to the development of energy plantations. Although energy plantation plants such as calliandra can grow on marginal or critical lands, the quality of the soil affects the productivity of the wood produced. This makes it important to improve the quality of the soil of these energy plantations so that they can produce optimal plant productivity. Biochar can be an effective solution for this. Biomass waste that pollutes the environment can be used for biochar production or wood products from these energy plantations can be partly used for biochar production.

Biochar and energy plantations are two positive things for climate solutions. Energy plantations for the production of carbon neutral biomass fuels such as wood pellets, while biochar is to improve soil quality, save fertilizer use and so on and as carbon sequestration / carbon sinks that are carbon negative. The biochar solution for energy plantations will maximize CO2 reduction and sustainability efforts. The vastness of energy plantations is because they are pursuing the target of producing biomass fuel quantities which are comparable to land use and also comparable to the use of biochar. This is so that industrial-scale biochar production is needed to support this, read more details here. The more damaged the land or critical lands are, the greater the need for biochar. And the production of large-capacity biochar has the opportunity to get carbon credit or BCR (Biochar Carbon Removal) credit which can be a driving force for the growth of biochar industries.

Critical and marginal lands should be prioritized as energy plantation lands. This will not only restore land quality but will also provide added value to land use and efforts to prevent disasters. Land legality is also an important concern. Land must be clear and clean, meaning free from disputes so that it does not cause problems in the future. Furthermore, industrial forest plantation land (HTI) which is indeed in accordance with its designation as a production forest can also be used for energy plantation land. How damaged or degraded the land is will determine how much biochar is used. Meanwhile, the creation of energy plantations from land conversion from protected forests / conservation forests to production forests should be prohibited, because instead of saving the environment, it will actually have a greater negative impact on the environment. So opening forest land (deforestation) for energy plantations is not recommended at all.

Taiwan, Asia's New Wood Pellet Market

After Japan and Korea have been the main markets for wood pellets in Asia for years, Taiwan is predicted to emerge as a new destination for the wood pellet market in Asia. This is because Taiwan's energy policy targets 20% renewable energy use by 2025. Namely by focusing on the energy transition from coal and other fossil fuels to renewable energy sources including biomass, solar and wind to increase renewable energy from 10% to 20% by 2025. The Greenhouse Gas Reduction and Management Act requires annual carbon emissions to be reduced by 20% by 2030 and 50% by 2050, below 2005 levels or a reduction of 53 million tons of CO2 equivalent by 2030 and 133 million tons by 2050. This is also part of Taiwan's nuclear-free vision and supports the national goal of achieving net-zero carbon emissions by 2050. Renewable energy development is the most important implementation to achieve this goal and wood pellets are a top priority. Taiwan will import wood pellets in large quantities to achieve its new green energy production targets.

The need for wood pellets in Taiwan reaches millions of tons or more detailed estimates are 1.7 million tons per year specifically for Taiwan Power Company, which will be implemented immediately when the policy is implemented. And there are also a number of independent power plants (IPP) that use coal boilers to generate electricity, especially the plastic industry, petroleum refineries and papermaking. Currently, renewable energy accounts for less than 10% of the total energy output in Taiwan. Meanwhile, the government aims to have 778 megawatts (MW) of biomass-based power plants by 2025, allowing production of 4.1 billion kWh.

The world's major wood pellets producing countries are looking to Taiwan, such as the United States, Vietnam and Canada. Vietnam has even become the second largest wood pellet producer in the world, overtaking Canada. And nationally, Vietnam's wood product exports are more than 70% for furniture and interior applications, 7% for wood-based panels, 17% wood chips and 5% for wood pellets. And to produce these products, Vietnam also imports large amounts of wood from more than 114 countries and 700 species / subspecies, amounting to $ 3.1 billion in the form of logs, sawnwood and plywood and imports almost 2 million cubic meters of tropical hardwood.

Basically, the major wood pellet producing countries are competing to convince Taiwan as a user or buyer of wood pellets about the supply capability, including quantity and quality, logistics reliability and sustainability of its supply. Although the Japanese and Korean markets continue to grow, penetration into a new market will add an opportunity to these producers. Even in Japan, many new power plants are being built so that the need for wood pellets is also increasing. In addition, the increase in the cofiring ratio in power plants in Japan will also increase the demand for wood pellets.

And globally according to Hawkin Wright, wood pellet sales are the highest among other biomass fuels, which is more than 27 million tons/year in 2025. While FutureMetric that the market for wood pellets for industry (industrial pellet fuel) can reach 55 million tons in 2030. Thus the need for wood pellets will continue to increase with an average of more than 5.5 million tons per year so that the production of wood pellets. Indonesia still has great potential to become a world wood pellet producer because of the potential raw materials that can be sought, both from wood and forestry industry waste and from energy plantations. With a location that is not too far from Taiwan (compared to wood pellet producing countries such as the United States and Canada) so that logistics or transportation costs are cheaper, the opportunity to compete is also quite large. In addition, PKS (palm kernel shell) are also an alternative biomass fuel besides wood pellets and as a producer of palm oil / CPO or the owner of the largest palm oil plantation in the world, Indonesia is number one for that. 

Cogeneration in Palm Oil Mills with Pyrolysis, Initial Steps in Biochar Production and Implementation

The analogy is like cofiring carried out in coal-fired power plants by mixing biomass fuels with a certain ratio as an effort to decarbonize the energy sector in power plants. While in palm oil mills, cogeneration with pyrolysis is an innovative initial step to enter the carbon negative era with the application of biochar, the main product of pyrolysis. And because all palm oil mills use biomass fuel for their mill operations, they are already based on carbon neutral fuel, unlike coal-fired power plants which are based on carbon positive fuels because they come from fossils.

Unlike cofiring which mixes coal and biomass fuels with a certain ratio and then burns them together in a furnace such as pulverized combustion, cogeneration is done by producing energy separately but the energy output is for the same use or especially the same boiler. This is done because the types of fuels may be different, such as solid fuels with liquid fuels or the technology for producing the energy is different. With this cogeneration, it means that not all energy is produced from one energy source or energy from cogeneration is a secondary energy source to meet total energy needs, and in the case of cogeneration in this palm oil mill, energy from combustion is still the primary energy.

Then why not just do full pyrolysis? It is easier, gradually for palm oil mills to adopt pyrolysis technology and its characteristics. Because (slow) pyrolysis aims to maximize solid / biochar, the by-products in the form of excess energy (syngas and biooil) as a source of boiler fuel, the calorific value is not as much as combustion which is indeed intended to maximize heat. Only about 1/3 of the excess energy contributes (cogeneration) as boiler fuel. In other words, if full pyrolysis is carried out directly, the amount of biomass as raw material for pyrolysis becomes 3 times greater or the pyrolysis unit becomes very large so that all palm oil mill biomass waste is used, and the mill cannot sell its palm kernel shells.

What are the benefits obtained by palm oil mills if they carry out cogeneration with pyrolysis for biochar production? Among the biochar products, it can save fertilizer use in oil palm plantations, overcome the problem of empty oil palm bunches (EFB) so that palm oil mills can achieve zero waste, palm kernel shells (PKS) that have been used for boiler fuel can be sold to increase income, the productivity of fresh fruit bunches (FFB) of palm oil increases, the application of biochar in palm oil plantations is also a climate solution (carbon sequestration / carbon sink) so that it can get carbon credit compensation and with good waste management, even zero waste and the application of biochar in palm oil plantations, palm oil companies will get a good image in terms of the environment and sustainability.