“Bringing Willow to the Irish Energy Market” John Gilliland, Rural Generation Ltd SEAI/Teagasc Energy Crop Information Day November 2010 Why Willows? Short Rotation Willow trees, trialled in Ireland since 1977 The Willow Crop The Willow Crop, July, Year 1, After Cut Back July, Year 3, Year of Harvesting Indigenous and aids National fuel security Quick Growing, 3 year harvest, then re grows Woody species, no problems burning for Heat High Yielding, up to 5 dry tonnes/acre/yr Loves Water, great for treating Dirty Water Non Food Crop, no risk to Food Chain Why Willow or Other Woody Species? Heat Cost Comparison for different fuels SDC “Wood Fuel for Warmth” - Wood prices @ 35% Moisture Content Wood Chip is a Competitive Fuel – Oil @ 45c/l = €182/odt Excluding Capital Cost Why Wood Heat – Cost Effective Carbon Reduction! Carbon Trust Why Willow – Efficient Use of Land SAC Why Willow – Good Profitability Average Margin/acre/Yr over 9 Years Harvesting & Drying costs, but No Single Farm Payment Woodchip price €110/ov. Dry Tonne €130/ov. Dry Tonne €150/ov. €170/ov. Dry Dry Tonne Tonne Standard Crop €98 €164 €231 €298 With Bioremediation €184 €251 €317 €384 Essential to develop high value added market! Bioremediation only on suitable land Adding Value – “On Farm” McGuiness Bros, Co. Louth 130kW Multi Fuel Boiler Sustainable Energy Ireland 2009 Innovation Awards Runner Up All Grains, Wood Chip, Pelleted Straw/Miscanthus Net Saving Drying Grain in 2008, €17,000 (IFJ Adding Value – “Selling Heat” Omagh Leisure Centre 500kW, heat only, Boiler Installed Sept 2008 Run 1,700,000 kWh in 12 Months Oil Displaced = 160,500 Litres Oil Cost pa = €86,670 (€0.54/l) Wood Chip Cost pa = €46,470 Saving pa = €40,200 Payback without Grant or Carbon = 2.4 years 410t of Carbon Saved = Circa €6,150 @ €15/t of Carbon Adding Value – “Not Every Installation Pays!!” 20kW KW B Pellet Boiler, 5kW Solar Energy Cabin Cost €17,000, Saving €1,000, Pay Back 17 Yrs Heat Load too low!! Boilers – Every Customer’s needs are Different! 10 kW to 7MW – Hot Water or Steam Farm 2000: 25kw – 300kW Straw & Timber KWB: BioKompakt: 25kW – 250kW Multi fuel (including Miscanthus) Hertz: Energy Cabin: 20kW – 1MW Wood Chip & Pellets Justsen: 10kW- 300kW Wood Chips & Pellets 500kW – 1MW Wood Chips & Pellets 1MW – 7MW Wood Chips & Pellets Adding Value – “Fire Lighters & Logs” “ZIP” – World Leading Fire Lighter Manufacturer Irish Innovation - Switched to Dry Willow & Natural Wax 5,000 Dry Tonnes of Willow with in Five Years Launched September 2010 10 Year Contracts, Contractual Bonus for Signing Net Income of €120 - €150/acre/yr Developing A Wood Fuel Market Quality Control of Wood Chip Essential!! Quality of fuel Essential for Consumer Confidence! (Harvesting cleanly, drying, storing and grading, essential to achieve good quality!) Developing A Wood Fuel Market Quality Control of Wood Chip Essential!! September 2010, first woodchip company to secure new “Quality Wood Fuel Standard” from National Standards Association of Ireland Good Site Selection Essential For High Yields Of Wood! Up to 80% yield reduction through bad site selection. Both fields pictures of willows planted in the same week!! Good Planting Essential For High Yields Of Wood! Up to 80% yield reduction through bad willow cutting quality, badly maintained planter & badly placed in soil Good Weed Control Essential For High Yields Of Wood! Up to 50% yield reduction through bad weed control Mixture Of Willow Clones Essential For Disease & Pest Control!! A mixture or polyclonal stand of willows, acts as cultural control for Diseases & Pests, by greatly slowing down the speed of spread “Why Rural Generation Ltd?” Track Record - First Boiler 1987, First Willows 1994 Willow Planting (5,000 acres) & Harvesting Willow Cuttings – Swedish & European Breeding Progs. Sludge Recycling through Injection (30,000t) Dirty Water Treatment through Willow Biofiltration Willow Chip & Fuel Supply Contracts Boiler Sales, Installation & Servicing (120 working) Heat & Energy Services Contracts (ESCO) “There are really Good Opportunities for Farmers in the Irish Energy Market!!” 67 Culmore Road Derry, BT48 8JE +442871358215 www.ruralgeneration.com
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