33 Biomass Power Plants scheduled for 2016 in Japan

Japan has witnessed a surge in biomass power plants after FIT (feed in tariff) system was introduced in July 2012. As many as 33 plants are expected to start operations in 2016 with 18 facilities being planned to start by April 2016.

The country’s biomass consumption has also reportedly risen. According to ministry of economy, trade and industry data, in the period of January-November 2014, the consumption rose by 6.7 percent to 2 mn tons compared with the same period of 2013.

Some of the biomass plants already operating include – Green Hatsuden Aizu, Green Hatsuden Ooita, Nagano Forest Resources Utilization Co-op., Woody Kawai, Nakagawa Biomass and Miye Enewood.

Meanwhile Japanese steelmaker Nippon Steel and Sumitomo Metal (NSSMC) has begun full operations at a 330MW on-site unit co-fired by wood chips and coal at its Oita steelworks in southern Oita prefecture. The company targets to increase wood-chip consumption to 48,000 t/yr from just 7,000 t/yr by June, through the upgrade of a 149MW unit, co-fired with coal, at its Kamaishi works in northern Iwate prefecture.

In another development, Baker and McKenzie (Gaikokuho Joint Enterprise) is advising Renova and Kuni Umi Asset Management Co. on a woody biomass power plant investment. With a generation capacity of 20MW in Mukaihama, Akita city, the plant will be the largest power generation facility of its kind, that will use woody biomass as fuel.

More on Japan’s biomass power market will be discussed at Japan Biomass Power Market on 18-21 May, 2015 in Tokyo.

Contact Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for more details.

Read more:
Rush to biomass power generation in Japan
Baker and McKenzie advising on investments in Japanese biomass plant
Japan’s NSSMC expands biomass use

Marubeni and Chubu Electric Power plan Biomass Power Plants in Western and Central Japan

Japan has witnessed many key players announcing biomass power projects. The most recent one is Marubeni Corp. that has announced a 37MW biomass power plant in western Japan. The plant will be located in Fukui prefecture and its construction is expected to begin in November 2015.

Marubeni is expecting the plant to commence operations in the summer of 2017. The biomass power plant will use woody biomass as feedstock. The station is slated to produce electricity for about 70,000 homes.

In another development, Chubu Electric Power has announced plans to build a 6.7MW biomass power plant. The plant will be located in Mie prefecture on the island of Honshu of central Japan.

The power station is expected to be commissioned in June 2016 and generate approximately 50 million kWh of electricity annually. Chubu’s subsidiary Chubu Plant Service will take up construction of the plant.

The plant will use woody biomass materials as feedstock and is said to meet the electricity needs of around 13,800 local households per year and reduce 26,000t of CO2 emissions.

More on Japan’s biomass power projects will be discussed when CMT’s inaugural Japan Biomass Power Market comes to Tokyo on 18-21 May, 2015.

Contact Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for more details.

Read more:
Marubeni to Build 37MW Biomass Power Plant in Western Japan
Chubu Electric plans to build biomass power plant in Japan

JFE Engineering to build USD-123 million biomass plant in Aichi prefecture

JFE Engineering will construct a biomass plant in Aichi prefecture of central Japan worth JPY-14.8-billion (USD 123m/EUR 101m). The Japanese firm has joined hands with local builder Kajima Corp and two other partners to win the contract from the city of Toyohashi.

A new company will be formed under the joint venture to construct and operate the biomass plant.

JFE will hold 60% in the joint entity. However, the financial details of engineering, procurement and construction (EPC) are not yet disclosed.

JFE had already secured another contract to build a 50-MW biomass power plant in Oita prefecture for Japanese power supplier Erex Co in September 2014.

Sewage and food waste will be used in the biomass plant. The electricity produced is expected to be sold under Japan’s renewable power feed-in tariffs (FiTs). Japan’s FiT scheme was introduced in 2012 to boost the use of renewable sources of energy in the country and help reduce its dependence on nuclear energy.

The country has added 90 MW of biomass power capacity between July 2012 and end-April 2014, as per data from the Agency for Natural Resources and Energy (ANRE).

More on Japan’s biomass power markets will be discussed at Japan Biomass Power Market on 19-20 May, 2015 in Tokyo.

Contact Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for more details.

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North American pellet exports to Asia may rise in 2015

North America – a primary wood pellet exporter to Europe and Asia – has witnessed a new record high exports in the third quarter of 2014, following a stable first half of the year. North American wood pellet exports increased manifold to Asia. But the region’s export to Europe rose only marginally. This is a new trend, as until 2014 over 95 percent of the wood pellets from the US and Canada were exported to Europe.

In 2014, Canadian exports to Asia grew, with pellet plants in British Columbia shipping record volumes to South Korea during the Q3 of 2014 (reported in the North American Wood Fiber Review).

For six consecutive quarters, export volumes to Asia have registered a more positive trend, marked by increased shipments. In 2015 British Columbia’s pellet shipments are likely to remain stable. The province is planning commercial operation at the first of the five announced pellet mills in late 2015 or early 2016 with plans to add over 800,000 tons of pellet capacity in the province during the 2015/16 period. British Colombia is eyeing South Korea as the main target market.

Wood pellets demand and supply trends will be a top focus at CMT’s flagship summit – 6th Biomass Pellets Trade & Power on 14-16 September, 2015 in Seoul.

Contact Ms. Hafizah at hafizah@cmtsp.com.sg or call for more details.

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Takeei, Nippon, Sumitomo announce biomass power projects in Japan

Japan’s biomass power scenario looks promising with several new projects announced. The most recent announcement came from Takeei Corp – investing 3 billion yen ($28 million) in a 6-megawatt biomass plant in Iwate prefecture of northern Japan. Earlier this year, Sumitomo Corp. announced its plans to build a 75-megawatt biomass power station in Aichi prefecture in central Japan at a cost of 20 billion yen ($197 million). Further a 100-megawatt coal-fired thermal power plant in Akita Prefecture will be built by Nippon Paper Industries Co. – that will use timber from forest thinning apart from coal as feedstock.

While Takeei’s plant is expected to commence operations in two years’ time, generating electricity for about 14,000 homes, Sumitomo’s station is expected to start production by March 2017. Nippon’s plant is also slated to begin commenrical operations in the same year as Sumitomo.

Summit Energy – the power generation and retail unit of Sumitomo already has a biomass power plant and it is also planning a third biomass plant in eastern Japan with Sumitomo.

Nippon and many other paper industry majors are expanding into commercial power generation given the country’s shrinking paper industry and the proposed electricity sales liberalization.

While Oji Holdings Corp, has partnered with Itochu Enex Co. to found an electric power generation company; Daio Paper Corp. plans to enter the electricity retail market in the near future.

More on Japan’s biomass power markets will be discussed at Japan Biomass Power Market on 19-20 May, 2015 in Tokyo.

Contact Ms. Hafizah at hafizah@cmtsp.com.sg or call +65 6346 9218 for more details.

Reference:
1. Takeei to Invest Up to 3 Billion Yen for Biomass Plant in Japan

2. Nippon Paper to build timber-fired power plant in Akita

3. Sumitomo Corp. to Build 75-Megawatt Biomass Power Plant in Japan