Wood waste resources and project economics
What can one tonne of wood waste produce?
On average, one tonne of wood waste at an assumed moisture content of 50% and a conversion efficiency of 20% will generate 0.6 – 0.9 MWh of electricity.
Based on this assumption, for a 30MW power plant producing around 237,000 MWh per annum, this equates to an annual input of around 265,000 to 395,000 green tonnes of biomass.
Capital costs for biomass wood waste plants
The average capital cost to install a large wood-waste electricity plant is around $2million per MW of capacity, taking into account a relatively large plant size to achieve economies of scale. As plant size falls below 25MW, capital costs per MW of output rise sharply.
If the wood waste is to be used for co-firing activities in existing facilities, the capital investment in building a new stockpile and conveyor system could be reduced to as little as $200,000/MW capacity.
Who is currently using biomass to produce energy in
Australia
?
Liddell Power Station, owned by Macquarie Generation, is currently utilising 5% of residual forest products.
Delta Electricity, operating the
Mount
Piper
, Wallerawang and Munmorah power stations, has also been granted approval for utilisation of biomass for co-generation.
Western Power in Perth, WA, has commenced development of an integrated wood processing plant in Narrogin, WA, that addresses global warming and farmland salinity; two of Australia’s most pressing environmental concerns. The plant is aimed at using alley-farmed oil mallee crops to provide raw material for power generation, activated carbon and eucalyptus oil. (More information)
For more information, refer to the following Information Sheets
Information Sheet:
11: What are the commercial risks for renewable energy projects?
12: Efficient economies of scale for renewable energy generation facilities
15: How is the value of wood waste determined?
16: How much does it cost to produce electricity, biofuel or heating pellets from wood?
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