Chander Shahi

A Review of the Wood Pellet Value Chain, Modern Value/Supply Chain Management Approaches, and Value/Supply Chain Models

We reviewed 153 peer-reviewed sources to provide identification of modern supply chain management techniques and exploration of supply chain modeling, to offer decision support to managers. Ultimately, the review is intended to assist member-companies of supply chains, mainly producers, improve their current management approaches, by directing them to studies that may be suitable for direct application to their supply chains and value chains for improved efficiency and profitability. We found that information on supply chain management and modeling techniques in general is available. However, few Canadian-based published studies exist regarding a demand-driven modeling approach to value/supply chain management for wood pellet production. Only three papers were found specifically on wood pellet value chain analysis. We propose that more studies should be carried out on the value chain of wood pellet manufacturing, as well as demand-driven management and modeling approaches with improved demand forecasting methods.

Road network optimization model for supplying woody biomass feedstock for energy production in northwestern Ontario.

The road network optimization problem is one of the most difficult and challenging problems in transport planning. Most of the research in this area has focused on finding an optimal solution in order to minimize the total travel cost in the network with given demand from each origin to each destination, while accounting for different route characteristics in the network. In this paper, we develop a raster-based road network optimization model to assist in woody biomass procurement decision-making for bioenergy production in northwestern Ontario. We incorporate speed and load constraints on different types of roads and seek minimum time and cost (or shortest distance) from any grid cell (1 km x 1 km) to any road containing cell in an area covering 167,184 km 2 . We also determine the minimum raster resolution that supplies consistent results at local and regional scales. Finally, we establish variable cost zones surrounding four northwestern Ontario power generating stations using woody biomass feedstock. Although, the network optimization model has been developed for supplying woody biomass feedstock to the power generating stations, it can be used for transporting any material across the region.

Wood biomass supply model for bioenergy production in northwestern Ontario

Wood biomass procurement for bioenergy production in an economic and sustainable way is a complex problem as it involves conflicting objectives of minimizing cost and distance of procurement, and maximizing quality of biomass, which is measured in terms of its moisture content. The multi-objective optimization problem is solved through pre-emptive goal programming approach using LINGO 11 software, where the cost of procurement is given the first priority, distance of procurement the second priority, and quality of biomass the third priority. The use of the model is demonstrated using a realistic example for bioenergy production for the recently established Abitibi-Bowater Inc. power plant at Fort Frances in northwestern Ontario, Canada, which has a weekly demand of 13,000 green tonnes for 50 Megawatt power production. The model selects quantity of biomass to be procured from each of the three zones ranging from 0–50 km, 50–70 km, and 70–100 km to meet the weekly demand.

Life cycle cost and economic assessment of biochar-based bioenergy production and biochar land application in Northwestern Ontario, Canada

BackgroundReplacement of fossil fuel based energy with biochar-based bioenergy production can help reduce greenhouse gas emissions while mitigating the adverse impacts of climate change and global warming. However, the production of biochar-based bioenergy depends on a sustainable supply of biomass. Although, Northwestern Ontario has a rich and sustainable supply of woody biomass, a comprehensive life cycle cost and economic assessment of biochar-based bioenergy production technology has not been done so far in the region.MethodsIn this paper, we conducted a thorough life cycle cost assessment (LCCA) of biochar-based bioenergy production and its land application under four different scenarios: 1) biochar production with low feedstock availability; 2) biochar production with high feedstock availability; 3) biochar production with low feedstock availability and its land application; and 4) biochar production with high feedstock availability and its land application- using SimaPro®, EIOLCA® software and spreadsheet modeling. Based on the LCCA results, we further conducted an economic assessment for the break-even and viability of this technology over the project period.ResultsIt was found that the economic viability of biochar-based bioenergy production system within the life cycle analysis system boundary based on study assumptions is directly dependent on costs of pyrolysis, feedstock processing (drying, grinding and pelletization) and collection on site and the value of total carbon offset provided by the system. Sensitivity analysis of transportation distance and different values of C offset showed that the system is profitable in case of high biomass availability within 200 km and when the cost of carbon sequestration exceeds CAD

Cointegrating relationship and the degree of market integration among the North American softwood lumber product markets

60 per tonne of equivalent carbon (CO2e).ConclusionsBiochar-based bioenergy system is economically viable when life cycle costs and environmental assumptions are accounted for. This study provides a medium scale slow-pyrolysis plant scenario and we recommend similar experiments with large-scale plants in order to implement the technology at industrial scale.

Linking resource availability and heterogeneity to understorey species diversity through succession in boreal forest of Canada

Studies in spatial market integration of the North American softwood lumber products have mostly focused on the question of whether prices in distinct market locations are cointegrated or not. However, the informational deficiencies in market integration studies were fulfilled in this analysis by examining a continuum of the degree of market integration rather than using the dichotomous approach whereby markets are deemed either integrated or not. Firstly, the methodology of permanent–transitory decomposition in a multivariate vector error correction model was used to estimate the cointegrating relationship of the North American markets for three categories of softwood lumber products: Spruce–Pine–Fir (SPF), Douglas fir (DF), and Hemlock fir (HF). Secondly, a consistent ranking of the degree of market integration was constructed by estimating the reaction time for prices to return back to the steady-state equilibrium, using generalized impulse response functions and persistence profiles. Our results indic...

Biochar-based bioenergy and its environmental impact in northwestern Ontario Canada: a review.

Summary 1 Understorey vegetation comprises the majority of species diversity and contributes greatly to ecosystem functioning in boreal forests. Although patterns of understorey abundance, species diversity and composition associated with forest stand development are well researched, mechanisms driving these patterns remain largely speculative. 2 We sampled fire origin stands of varying stand ages and overstorey compositions on mesic sites of the boreal forest of Canada and used structural equation modeling (SEM) to link time since fire (stand age), light availability and heterogeneity, substrate heterogeneity and soil nitrogen to understorey vegetation cover and species diversity. 3 The most parsimonious model for total understorey cover showed a positive direct effect of stand age (r = 0.43) and an indirect effect via mean light level (0.18) and shrub cover (-0.11), with a positive total effect (0.50); the percent broadleaf canopy had a direct negative effect (-0.22) and an indirect effect via shrub cover (-0.11). The model for total understorey species richness showed an indirect effect of stand age via mean light (0.24), light heterogeneity (0.10), and substrate heterogeneity (0.07), with a positive total effect (0.52); percent broadleaf canopy had an indirect effect via light heterogeneity (0.09), and substrate heterogeneity (-0.10). Soil nitrogen did not significantly influence either understorey cover or species richness. The models for vascular plants followed similar trends to those for total understorey cover and species richness; however, there was an opposite indirect effect of light heterogeneity for both cover and species richness of non-vascular plants. Shrub cover had positive direct and negative direct and indirect effects on both vascular and non-vascular cover and species richness. 4. Synthesis. Our findings indicate that understorey cover and species diversity are driven by time since disturbance, light availability as influenced by overstorey and shrub layers, but with important additional effects mediated by light and substrate heterogeneity. Non-vascular understorey vegetation is more strongly determined by time since disturbance than vascular vegetation, and negatively affected by broadleaf tree abundance. The overall results highlight the importance of colonization, light availability and heterogeneity, substrate specialization and growth dynamics in determining successional patterns of boreal forest understorey vegetation. This article is protected by copyright. All rights reserved.

An application of data envelopment analysis to investigate the efficiency of lumber industry in northwestern Ontario, Canada

Biochar is normally produced as a by-product of bioenergy. However, if biochar is produced as a co-product with bioenergy from sustainably managed forests and used for soil amendment, it could provide a carbon neutral or even carbon negative solution for current environmental degradation problems. In this paper, we present a comprehensive review of biochar production as a co-product of bioenergy and its implications. We focus on biochar production with reference to biomass availability and sustainability and on biochar utilization for its soil amendment and greenhouse gas emissions reduction properties. Past studies confirm that northwestern Ontario has a sustainable and sufficient supply of biomass feedstock that can be used to produce bioenergy, with biochar as a co-product that can replace fossil fuel consumption, increase soil productivity and sequester carbon in the long run. For the next step, we recommend that comprehensive life cycle assessment of biochar-based bioenergy production, from raw material collection to biochar application, with an extensive economic assessment is necessary for making this technology commercially viable in northwestern Ontario.

From coal to wood thermoelectric energy production: a review and discussion of potential socio-economic impacts with implications for Northwestern Ontario, Canada

This study aims at exploring the technical efficiency of lumber industry in northwestern Ontario, Canada using data envelopment analysis (DEA). The DEA model analyzes relative technical efficiency of lumber mills with disproportionate inputs and outputs by dividing the 10-year time series data, for inputs and outputs of 24 lumber mills, over two periods (1999–2003 and 2004–2008). Four inputs, namely, material (log volume), labour (man-hours), two types of energy (hog-fuel and electricity), and one output (lumber volume) are used in this study. The trend analysis shows an annual reduction of 10%, 13% and 13% for lumber output, log consumption (input) and number of employees, respectively, during the period 1999–2008. The results from DEA with two scenarios with energy inputs and without energy inputs, for the two periods are found to be mixed and interesting. While some mills have improved their performance in terms of best use of available scarce inputs in the second period, some have shown negative per cent change in efficiency. In the with energy input and the without energy input scenario, some of the mills show a reduction in efficiency in the second period from the first period, with the highest estimated reductions of −13.9% and −47.6%, respectively. A possible explanation for these negative performances of mills in the latter period is the decline in production in the second period compared to the first period, where these mills were not able to adjust their inputs (mostly labour) as proportional lay-offs might not have been possible. These results provide policy makers and industry stakeholders with an improved understanding of the trends of efficiency and employment as well as reallocation opportunities of future inputs in order to increase benefits from this sector.

Comparative analysis of the production technologies of logging, sawmill, pulp and paper, and veneer and plywood industries in Ontario

The province of Ontario in Canada is the first North American jurisdiction withlegislation in place to eliminate coal-fired thermoelectric production by theend of 2014. Ontario Power Generation (OPG) operates coal-fired stations inOntario, with Atikokan Generating Station being the only facility slated toswitch to 100% woody biomass. It is anticipated that this coal phase out policywill have socio-economic impacts. Because of these anticipated changes, in thispaper, we review the current state of peer-reviewed literature relating to threeburning scenarios (biomass, coal and co-firing) in order to explore theknowledge gaps with regard to socio-economic impacts and identify research needswhich should elucidate the anticipated changes on a community level. We reviewedover 150 sources, which included peer-reviewed articles and non-peer-reviewedgrey literature such as government documents, non-governmental organizationreports and news publications. We found very few peer-reviewed articles relatedto Canadian studies (even fewer for Ontario) which look at woody biomass burningfor thermoelectric production. We identify a number of socio-economic impactassessment tools readily available and present potential criteria required inselecting an appropriate tool for the Ontario context. For any tool to providemeaningful results, we propose that appropriate and robust local data must becollected and analyzed.