2014 Q1 Pellet Mill Magazine

Page 17

Pellet News » USDA partners with industry to promote wood energy In September, the USDA announced a partnership agreement with the Alliance for Green Heat, the Biomass Power Association, the Biomass Thermal Energy Council and the Pellet Fuels Institute. The partnership aims to expand the use of wood energy and improve the health and safety of our nation’s forests. "This MOU (memorandum of understanding) shows a significant commitment by the USDA and the biomass industry to work together to expand use of wood energy in our country," said Scott Jacobs, president of PFI. "I know I speak for all of our membership when I say that we are thrilled to be working in a more deliberate

partnership with USDA and our colleagues within the biomass industry.” As part of its announcement, the USDA also awarded more than $1.1 million in grants to five organizations to form statewide teams that will stimulate development of wood energy projects. Grant recipients include Idaho Governor’s Office of Energy Resources; the Watershed Research and Training Center in Hayfork, Calif.; the Minnesota Department of Natural Resources; the North Country Resource Conservation & Development Council in Gilford, N.H.; and the Alaska Energy Authority.

Making It Official USDA Bioenergy MOU is signed by Biomass Thermal Energy Council Executive Director Joseph Seymour (left); Alliance for Green Heat President John Ackerly, USDA Deputy Agriculture Secretary Krysta Harden; Pellet Fuels Institute Executive Director Jennifer Hedrick; and Biomass Power Association President and CEO Bob Cleaves. PHOTO: USDA

USIPA conference focuses on export potential The U.S. Industrial Pellet Association kicked off its 3rd annual Exporting Pellets Conference in Miami in late October with a blend of optimism and measured pragmatism. More than 500 attendees were on hand at the event, which offered a venue for those in the North American pellet industry to discuss topics pertinent to their expanding industry, including increasing demand, future sustainability requirements and growing pains. John Bingham, an agricultural economist from U.K.-based Hawkins Wright, spoke about European pellet demand at the event. He said wood pellet demand grew at an average annual rate of 23 percent from 2000 through 2013, with current demand reaching approximately 10 million metric tons. To put that volume in context, Bingham noted that 9 million metric tons would be about enough to meet 1 percent of U.S. electrical generation capacity. Moving forward, Bingham said he sees market opportunity for nearly 27 million metric tons of consumption worldwide by 2020, with 20 million tons of that volume going to Europe. He also predicted increased demand in Asian and North American markets.

Q1 2014 | PELLET MILL MAGAZINE 17


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