Energy Plantation: Wood Pellet or Wood Charcoal Production?

Energy plantations are starting to develop and large-capacity wood pellet production is emerging in line with the development of these energy plantations. It could be that now is the right momentum as predicted several years ago by the author in the following article. It is also possible that the Covid-19 era which has lasted for about 3 years has slowed down this momentum. The vast area of ​​industrial plantation forests (HTI) in Indonesia allows for the creation of energy plantations for large-capacity wood pellet production along with additional products such as animal feed and food (honey). The production of wood pellets as biomass fuel or carbon neutral fuel is mainly made or produced in the context of the energy transition towards the net zero emission era.

Viewed from the business side, the production of wood pellets is demand driven because efforts to achieve the net zero emission target require industries, especially coal-fired power plants, to carry out gradual decarbonization through cofiring biomass fuel (wood pellets) with coal. The target, which is getting closer in time, with various efforts that require planned programs and large costs, does require serious and sustainable efforts. Not only in the power generation industry, especially coal-fired power plants, but also other industries such as the iron and steel industry. Coal-fired power plants contribute 40% of CO2 concentration globally, while the iron and steel industry contributes 9% globally.

In the current power generation industry, more than a third of global electricity production still uses coal. That portion must drop to 4% by 2030 and 0% by 2040 if the world is to limit global warming to 1.5 degrees Celsius (2.7 degrees Fahrenheit) and prevent the devastating impacts of the climate crisis. Developed countries should be able to reach zero coal faster because they have a stronger financial position than developing countries, most of which still rely on coal. The world has 6 years from now to reduce coal use in power generation to less than 4% by 2030, and a number of countries have taken rapid steps to eliminate coal use, which can be read here.

Meanwhile, in the decarbonization of the iron and steel industry, the fact is that currently it is still far from achieving this goal because the construction of blast furnaces - basic oxygen furnaces (BF -BOF) is still being carried out, which should be EAF (Electric Arc Furnace) or currently only around 30% globally the iron and steel industry uses this EAF. Even the International Energy Association (IEA) highlighted this critical issue to achieve the Paris Agreement's net-zero target by 2050. The CO2 intensity in this industry has only decreased slightly so that the use of renewable energy is becoming increasingly important and accelerated.

Currently, large energy plantations have begun to be created in the context of the energy transition. The main production of energy plantations is wood pellets which can be said to be carbon neutral fuel. Almost none of these energy plantations are designed for charcoal production, even though the need for charcoal is also projected to be very large. The difference is that wood pellets will be used in power plants while charcoal is for the iron and steel industry. The production process for wood pellets is biomass compaction / densification while charcoal is carbonized or pyrolysis. In the future, a number of these energy plantations could be designed for wood pellet production while other energy plantations are designed for wood charcoal production. Given that the agreed time target for net zero emissions is not long away, the creation and utilization of energy plantations for these things will automatically not be long away.

Decarbonization in the Steel Industry

World steel production reached 1.9 billion tons in 2020, with China accounting for around half and followed by European Union countries. Germany, with annual production of around 42 million tonnes, is the largest steel producer in Europe or around a quarter of European steel production, while the other quarter is Italy and France, followed by Belgium, Poland and Spain. The steel industry contributes 8% of CO2 globally, each ton of steel production produces an average of 1.85 tons of CO2 emissions and compared to iron ore mining, iron and steel production contributes much more to CO2 emissions. Efforts to decarbonize the steel industry begin with the use of renewable energy for its smelters. Biomass-based fuel in the form of charcoal which has a high carbon value can replace the use of coke derived from coal. And the use of hydrogen from renewable energy sources is the ultimate target for decarbonization in the steel industry. 

Currently, the steel industry mostly uses coal as fuel using blast furnaces. To reduce carbon intensity, natural gas is used as fuel. The use of gas fuel in the form of natural gas is also a transition medium and basically because it comes from fossil fuels it is also a carbon positive fuel. Apart from that, the use of CNG in the form of natural gas is also a transition fuel before switching to hydrogen from renewable energy. The use of biomass-based carbon fuel in the form of charcoal has a better effect on the climate because it is a carbon neutral fuel. Apart from that, technically, because it is a solid fuel, the same as coal, practically there is not much or even no need for changes or modifications to the smelting furnace. The availability of high quality charcoal, large volumes and continuous supply are still the main obstacles.

The use of charcoal for metallurgy or steel making has actually become commonplace for some time. In the early 1900s, world charcoal production experienced its heyday with production of more than 500 thousand tons. In the 1940s, charcoal production decreased to almost half of what it was in the early 1900s, due to other carbon materials, namely coke from coal, replacing charcoal in the manufacture of metals.

With the current conditions of using coal as the main fuel in smelting furnaces or blast furnaces, slag will be produced. Slag or GGBFS (Grounded Granulated Blast Furnace Slag) from the steel plant is used in cement plants as a cement additive or SCM (supplementary cementious material) thereby reducing the portion of clinker in cement production. In the cement plant itself, the more slag or SCM used, the more clinker use is reduced, thereby also reducing CO2 emissions. In cement production, the clinker production section contributes the most to the CO2 emissions produced, so the use of slag or SCM is part of decarbonization in cement plants. It is estimated that around 70% of world steel production uses the blast furnace or BF-BOF process which produces quite a lot of GGBFS, even in China more than 90% of steel production uses the BF-BOF process. It is worth noting that the decarbonization of the steel sector is resulting in a shift away from blast furnaces, which will impact the availability of GGBFS worldwide in the coming decade. However, this change will occur slowly and gradually and, in the meantime, there are a number of GGBFS that will be available for use as SCM to reduce the carbon footprint of cement and concrete.

To be able to produce charcoal in large quantities, raw materials are also needed in large quantities. Raw materials in the form of biomass, especially wood, can be produced from energy plantations. Energy plantations from fast growing species and short rotation crops will be suitable to meet the need for raw materials because apart from the fast harvest period they also have high productivity. Apart from that, there is no need to replant every time it is harvested and it is easy to grow and easy to maintain. To produce steel per ton, an average of 6,000 MJ of energy is required (equivalent to 50 kg of hydrogen) or the equivalent of 200 kg of charcoal and requires around 600-800 kg of wood biomass as raw material. Apart from raw materials from energy plantation wood, raw materials from agricultural and plantation wastes can also be used.

The future palm oil industry could produce hydrogen from biogas. Each ton of steel will require 50 kg of hydrogen, while each palm oil mill with a capacity of 30 ffb/hour can produce 1 MWh of electricity, while the production of 1 kg of hydrogen requires 50 KWh, so that with the capacity of the palm oil mill it can produce 20 kg of hydrogen. Areas with a high concentration of palm oil mills such as Riau province could create a hydrogen pipeline network for environmentally friendly steel mills.

With higher prices for steel produced with renewable energy (green steel), market share is also limited. Currently, only certain uses, such as automotive, buy such premium or green steel. Decarbonization efforts in steel industries can also be carried out in stages, along with the development of renewable energy. With the increasing supply of renewable energy, the price will decrease so that environmentally friendly steel (green steel) will also become more competitive in price. New steel industries can be built close to these cheap renewable energy sources so that green steel production can become competitive.

Charcoal Production from Acacia Wood Stumps

After the acacia trees are cut down for paper production, a lot of wood waste is still not being utilized, including the stumps of the trees. Only the logs used for paper production have a diameter of 8 cm above, while the diameter is smaller as wood waste. After the trees are cut down, replanting is carried out and the wood stumps are left just like that. In fact, there are a lot of wood stumps, especially with an area of tens to hundreds of thousands of hectares of acacia forest. If every one hectare is produced 16 tons of acacia wood stumps, then with an area of 20,000 hectares, 320,000 tons of acacia wood stumps will be produced.

There is a difference in the handling of acacia or eucalyptus stumps and energy plantation stumps. On acacia or eucalyptus stumps, after the trees are cut, they have to replant again because their main target is wood products with a certain diameter, namely 8 cm and above. If the wood stump is grown again, it will take a very long time to reach that diameter, so it is not efficient. That is the reason for them to replanting after being cut down. Meanwhile, in energy plantation wood, after the trees are cut down, the remaining stumps are allowed to grow again. The main target of energy plantations is to achieve the highest volume of wood productivity in mass basis. Even after being felled, the number of branches that come out of the energy plantation stumps increases so that the productivity is also high. Apart from being able to be harvested repeatedly without having to replanting each time, productivity remains high because of the large number of coppices or branches, even four times the first harvest. 

The huge volume of acacia stumps is very potential for charcoal production. Acacia plantation companies can create jobs by empowering local communities to take and collect the acacia stumps. The acacia stumps are then processed into charcoal. With proven carbonization technology and high capacity, all of these stumps can be processed and have economic value. With the large volume of acacia stump waste, charcoal production can also be sustainable, just like the production of acacia wood from the acacia forest. Creating large and sustainable employment opportunities is a positive effort that is in line with bioeconomy and community welfare. The wood charcoal produced with this technology is also of high quality, even with a fixed carbon of more than 82% exceeding the European standard NF EN 1860-2.

Utilization of Land Clearing Wood Waste For Charcoal And Briquette Production

Land clearing is mostly done, especially for the establishment of new plantations, both plantations for food crops and plantations or forests for wood products. The establishment of palm oil plantations and acacia forests are examples. Prior to planting palm oil or acacia, the location which is usually natural forest was cleared of vegetation or trees beforehand. Natural forests, of course, have various types of trees, both in terms of their types and ages. Some trees have a large diameter while others are smaller. After clearing the old trees, then the land is conditioned for the allocation of the plantation.

Indeed, the establishment of the plantation or forest must be in accordance with the land designation. Of course, land that is protected forest or conservation forest cannot be used for production forest or industrial plantation forest. This of course concerns environmental factors in the form of environmental preservation, such as forests as a source of water, preventing the danger of landslides, as a carbon sink and so on. The economic activities of production forests must also pay attention to environmental aspects so that the business being carried out can also be sustainable. Wood, for example, as a source of biomass for various industrial raw materials, can be said to be a renewable source only if it is managed properly and sustainably.

During the land clearing, a lot of wood just becomes waste. Timber with large diameters can be sold to sawmills. However, small diameter woods such as branches and twigs are mostly not utilized, even though there are many. The solution to this problem can be processed into charcoal and briquettes. Non-salable logs for sale in sawmills can be used for charcoal production. With good technology, high quality charcoal production can be done, namely with a fixed carbon of more than 82%. Production quantity up to 3000 tonnes / year of charcoal are also possible. Meanwhile, waste wood in the form of smaller twigs or pieces of wood can be used for briquette production. The production of briquettes is easier and also cheaper than wood pellets. Another thing that distinguishes briquettes from pellets, especially the market segment, can be read here for more details.

High Quality Charcoal Production From Forest Wood Waste

 Acacia forests or plantations in Indonesia are estimated to reach 2 million hectares and almost all of these acacia forests are used to supply pulp and paper mills. Every pulp and paper mill always has acacia forest with an area of thousands of hectares to fill the pulp and paper mill. Acacia wood with a minimum diameter of 8 cm is used as raw material, while those with a diameter smaller than that are only used as waste. Whereas wood with a diameter of 5-8 cm can be used for charcoal production. Charcoal production will not only solve the waste problem but also provide economic benefits. By choosing the right technology, high-quality charcoal can be produced, that is, with fixed carbon greater than 82%.

The recent condition, namely the pandemic atmosphere that has swept across the world due to the corona virus, has caused many offices and almost all schools to have switched their activities online. This condition has resulted in paper mills reducing their paper production even in Canada, a company has closed the mill. This has made it difficult for the acacia industrial plantation forest managers to market their timber. This will also reduce the company's revenue, so that the wood can be diverted for charcoal production as well.

Canadian Biomass Magazine, Spring 2020

 Indonesia also has forests or rubber plantations covering an area of ​​about 3.4 million hectares, ranked number 1 in the world followed by Thailand as second place with 2 million hectares and currently there are quite a lot of plantations that need replanting. Although it can be used for furniture, the need is still very small, so it is not effective for the utilization of rubber wood waste. Production of high quality charcoal from rubber wood as raw material is one of the best options. Our carbonization technology is intended for industrial capacity, especially the utilization of wood waste in industrial plantations. Apart from the quality of charcoal which has a fixed carbon of more than 82% or follows the European norm NF EN 1860-2, the conversion rate to charcoal is also higher. With a fixed carbon content of more than 82% means it also prevents colon cancer. Basically charcoal production is a matter of controlling the production process (process control). The quality of charcoal from poor process control will also be low, so that although it is acceptable in the local market, it is not accepted by the international market. For those who are interested in producing high quality charcoal from the forest waste woods above, please email to eko.sbs@gmail.com or visit the web https://greencobiomasa.com/

Acacia Wood Charcoal Production As A Solution Usage of Acacia Wood In The Pandemic Era And Also Long Term

It is predicted that the corona outbreak is still long and even in Indonesia the cases continue to increase and until now there has been no visible decline in the curve. The peak of the outbreak is even predicted to be in 2021, this makes this outbreak more and more fatal. To reduce casualties and reduce the number of cases, a number of educational activities from early childhood to higher education are carried out online, as well as office activities from various companies. This condition reduces the need for the amount of paper significantly, because all these activities can be said to be paperless. Paper plants have reduced their paper production and have even closed them.

Acacia plantation or forest as industrial estate forest or community forest is the main source of this pulp and paper production. With the decline in paper production, the need for raw materials will automatically decrease. Acacia wood production is not selling well, so the forest management company also suffers because there is no income. This condition must be addressed immediately so that the company can run normally again. The use of acacia wood so that it becomes a value-added product is the solution to this problem.

Charcoal production can be perfect solution to this problem. With modern production, the quality and quantity of charcoal produced will be standard and stable and also will not pollute the environment in the production process. Quality acacia charcoal products are needed by a number of industries. Our charcoal production technology is even capable of producing charcoal quality that is higher than European standards, namely NF EN 1860-2. Besides that, we can also help with the marketing aspects of the charcoal product.

Compared to the production of wood pellets, which are mostly for power generation, the investment requirement is also much greater so that many companies are less interested. The volume of shipment of wood pellets is 10 thousand tons each time, so that the logistics and infrastructure aspects are also not easy and cheap. The need for electricity for wood pellets production is also large so it may be difficult to do in certain areas.

Of course everyone hopes that this corona outbreak will soon disappear. But anticipating as well as solutions for both the short and long term is certainly a good thing, so that it is expected to become a sustainable business. Acacia wood charcoal production can be done on a medium scale with the investment requirement is not too large. The need for electricity for the charcoal production plant is also small. For acacia forest management companies interested in acacia charcoal production, please contact eko.sbs@gmail.com