Prospects of Sustainable Biomass - Based Power Generation in a Small Island Country

Abstract

Abstract Biomass resources are abundantly present in the Pacific Island Countries (PICs) but are mostly used for cooking and crop drying. Only three countries viz. Papua New Guinea, Fiji, and Samoa use biomass for power generation. This paper aims to (i) quantify the forest logging residue generated in Fiji, (ii) carry out a techno-economic and environmental assessment of a potential 10\xa0MW biomass power plant (BPP) in Fiji and study the impact of feedstock cost (FC) on the electricity production cost (EPC) in relation to the financial viability, and (iii) discuss possible strategies to overcome challenges PICs face in developing biomass energy projects. It is found that a 10\xa0MW BPP would require approximately 60,000 tonnes of biomass feedstock, which can be supplied by forest residue from logging in the western division of Viti Levu in Fiji. If the FC is taken as USD68.6/tonne and electricity export tariff to national grid is taken as USD0.1621/kWh, then the net present value is USD16.1 million, simple payback period is 5.6 years, and the benefit-to-cost ratio is 2.5. A sensitivity analysis reveals that electricity export tariff, availability of power plant, and feedstock costs are critical parameters affecting the NPV of the project. Various strategies such as utilising forest residues, planting short-rotation plantations in unused land, enabling policies, early stakeholder engagement, attractive electricity export tariff, and using appropriate harvesting and transportation technologies can help develop the biomass-based power sector in Fiji.