Development of Bioenergy from Forest Biomass - a Case Study of Sweden and Finland

The role of the forest sector in Finland and in Sweden is the starting point for a case study presenting motifs for forest bioenergy in the two countries. Forest bioenergy, evolving in symbiosis with the forest industry, has become important. The successful development builds on piggy-backing conventional forestry, rather than on parallel supply systems. After thirty years, forest biomass has become the largest energy source in the two countries, contributing almost 1/5 of the energy needs. For developed countries, Sweden and Finland have leading positions in the use of forest fuel, and in related technologies and methods. However, progress has not been simple and drivers for the development have changed over time. The 1970s << oil crises >> put initial focus on energy security and on reducing the dependence on imported fuels. Later, other motifs have become fundamental. Sustainability aspects - especially mitigating climate change - have emerged as key arguments. Fuels from sustainably managed forests cause minor, if any, emissions of carbon dioxide. The facts that wood-based fuels create rural jobs and improve the trade balance have been ancillary motifs, and the increased net sale of forest products that follows on fuel production will increase the cash flow of the forest owner. However, due to low compensation and high costs compared to the traditional forest products, from the forest owners' perspective, the economic motifs for forest fuel harvesting are not decisive. For economic use of biomass, heat sinks are important. Combined heat and power, e.g. for district heating plus electricity to the grid or for industrial process heat and power are profitable options. Further refinement is possible but its potential to increase profitability seems limited.