Thailand Biomass Pellets Update By Wattanapong Thongsoi - - PowerPoint PPT Presentation
Thailand Biomass Pellets Update By Wattanapong Thongsoi - - PowerPoint PPT Presentation
Thailand Biomass Pellets Update By Wattanapong Thongsoi info@bcex.org Topics Biomass (what, why, type, form) Demand & Supply Standard and specification Cost Price Use locally & export Opportunity
Topics
- Biomass (what, why, type, form)
- Demand & Supply
- Standard and specification
- Cost
- Price
- Use locally & export
- Opportunity
- Challenges
What biomass pellets are
Source of biomass pellets
- 1. Woody biomass
- Forest and plantation wood
- Wood processing industry by-products and residues
- Used wood
- Blends and mixtures
Source of biomass pellets
- 2. Herbaceous biomass
- Agriculture and Horticulture herb
- Herb processing industry by-products and residues
- Blends and mixtures
Source of biomass pellets
- 3. Fruit biomass
- Orchard and horticulture fruit
- Fruit processing industry by-products and residues
- Blends and mixtures
- 4. Blends and mixtures
Why biomass pellets
- They are upgraded solid fuel made from biomass
- They are grindable
- They are dry (<10% MC)
- They are easily transported and stored
- They have an energy NCV 16-18 GJ/MT
- At low co-firing ratios (less than ~6% white wood
pellets) no modifications are required
- In some applications, advanced wood pellets can
be used at 100% with almost no modifications
White/Brown/Black wood pellets
The “cost per unit of energy” or $/GJ is the key decision White wood pellets Brown wood pellets Black wood pellets
Demand & Supply
- World demand & supply
- Asia demand & supply
- Thailand demand & supply
World demand
Source: Pöyry Wood Pellet Multiclient
World supply
Source: EPC survey, Hawkins Wright, FAO
Demand in Asia
Demand in Thailand
- Power generation (AEDP 2015)
Incremental capacity 3,100 MW equals to wood chips (45%MC) about 40 million GMT/year
- Heat generation (AEDP 2015)
Incremental capacity 17,000 ktoe equals to wood chips (45%MC) about 70 million GMT/year
Demand & Supply in Asia
Asian wood pellets to Korea & Japan
Cost
Raw material 49% Transportation 7% In-wh 0% Debarking 0% Chipping 3% Drying 13% Hammering 5% Mixing 1% Pelletizing 21% Cooling 1% Packing 0% Out-wh 0% Loading 0%
Cost structure
Indicative export price of wood pellets (ENplus standard)
Quality Packing FOB (USD/MT) CNF (USD/MT) EN-A2 In big bags in 40’container 142 177 EN-B In big bags in 40’container 134 160 EN-A2 In bulk in 20’ container 137 175 EN-B In bulk in 20’ container 130 167 EN-A2 In bulk in vessel 115 132 EN-B In bulk in vessel 105 122 Remark:
- Packing in big bag in container includes IPPC wooden pallet base
- Exchange rate 1USD = THB35.2763
- Raw material is from energy forest plantation (woody biomass feedstock)
Price trend
Source: Argus Biomass Report, forecast and analysis by FutureMetrics
Use locally & Export
- Biomass form
- FiT of biomass power generation in Thailand
- LPG and fuel oil price
- FOB cost + Freight cost + Inland transport cost in
destination countries (Japan/Korea)
- Price of wood pellets from regional producer in
Vietnam, Malaysia and Indonesia
- Local policy and imported country’s policy
Opportunities for Thai biomass producer
- Attractive domestic demand
- Variety of biomass type and form in Thailand
- Long-term woody biomass supply development
- Non-woody biomass utilization
- Infrastructure support
Challenges for Thai biomass producer
- Thai Biomass Association establishment
- Laws and regulations review
- Long-term feedstock development
- Local technology development
- Capacity factor
- Plant factor
- Bulk supply or combined capacity for export