The Future Is Not Yet When will new bioproducts be significant markets for forestry-based biomass? age of promising technology that will use mountains of biomass as raw material to cre- ate renewable fuels and other bioproducts. For those of us in the biomass industry, it is tempting to see these emerg- ing products as opportunities to expand. Time and again, we’ve heard that success in the biomass business depends not only on good business sense, but on good timing—getting into supplying a market not too early, not too late, but just as it takes off. So biomass pro- ducers (and would-be produc- ers) are wondering when they will be able to supply this seeming abundance of new biomass consumers on a sizeable scale. To get an idea of the status of one of these I potential new large-scale biomass consumers in Canada, we’ve taken a look at the emerg- ing cellulosic ethanol industry, starting on page 10. We talked with four major players in the Canadian industry about their projects and the biggest hurdles they’re facing to get an idea of when we should expect commercial-scale production to come online. Each of the four companies is currently focused on a different feedstock—municipal solid waste and old util- ity poles, corncobs, straw, and forestry wood waste—and several newer companies also plan to use forestry-based waste. Interestingly, ac- cess to feedstocks was not mentioned as a sig- nificant challenge. So what are some considerations for feed- stock suppliers and potential entrepreneurs in preparing for these industries? For cellulosic ethanol, companies that are focusing on forestry-based wood waste have thus far mostly gravitated to one specific area 4 canadianBIOMASS f you could bank potential, the forest bio- mass sector would already be rich off of the biofuel sector. After all, there is no short- of Canada—British Columbia—citing it as a region with abundant available feedstock. That province also recently offered govern- ment funding specifically for liquid fuels from biomass. So the first opportunities to supply biomass for this market are likely to be in B.C., leav- ing other areas of Canada to await future expansion. The Maritimes, in particular, have been slow to offer spe- cific incentives for any type of biofuel development. Another consideration is that none of the contenders have yet produced cellu- losic ethanol in consistent, continuous, large volumes that could be described as ‘commercial production’, although it seems that could happen any day now. On the plus side, forestry waste has been made into cellulosic ethanol at the pilot plant scale. However, when the first commercial- scale production from forestry-supplied waste will occur is anyone’s guess. With the variety of projects that are mak- ing headway, as well as increasing support from some governments and private industry, the predictions are that large-scale commercial pro- duction of cellulosic ethanol is only a couple of years away—perhaps as soon as 2010 or 2011. Yet however promising the future may be, it’s still just that—the future. These positive signs of development of the biomass industry be- yond our mainstays of heat, power, and cogen- eration are encouraging, exciting, and definitely something to watch. But in the meantime, you may want to focus on keeping those heat, pow- er, mulch, and pellet mill clients happy. They’ll be paying the bills for some time to come. • Heather Hager, Associate Editor [email protected] BIOMASS CANADIAN Volume 6 Editor/Group Publisher - Scott Jamieson (519) 429-3966 ext 244 [email protected] Associate Editor - Heather Hager (519) 429-3966 ext 261 [email protected] Contributors - Bill Tice Market Production Manager Josée Crevier (514) 457-2211 ext 21 [email protected] National Sales Managers Tim Tolton - [email protected] 514-237-6614 Guy Fortin - [email protected] 90 Morgan Rd, Unit 14 Baie d’Urfé, Que H9X 3A8 Ph: (514) 457-2211 Fax: (514) 457-2558 Western Sales Manager Tim Shaddick - [email protected] 1660 West 75th Ave Vancouver, B.C. V6P 6G2 Ph: (604) 264-1158 Fax: (604) 264-1367 Production Artist - Kelli Kramer Canadian Biomass is published bi-monthly. Published and printed by Annex Publishing & Printing Inc., and distributed as a supplement to Canadian Forest Industries and Canadian Wood Products magazines. Printed in Canada ISSN 0318-4277 Circulation e-mail: [email protected] Tel: (514) 457-2211 Fax: (514) 457-2558 Mail: 90 Morgan Rd, Unit 14 Baie d’Urfé, Que H9X 3A8 Subscription Rates: Canada - 1 Yr $48; 2 Yr $85; 3 Yr $115 Single Copy - $6.00 (Canadian prices do not include applicable taxes) USA – 1 Yr $44 US; 2 Yr $75 US Foreign – 1 Yr $75 US From time to time, we at Canadian Biomass make our subscription list available to reputable companies and organizations whose products and services we believe may be of interest to you. If you do not want your name to be made available, contact our circulation department in any of the four ways listed above. No part of the editorial content of this publication may be reprinted without the publisher’s written permission ©2009 Annex Publishing & Printing Inc. All rights reserved. Opinions expressed in this magazine are not necessarily those of the editor or publisher. No liability is assumed for errors or omissions. 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