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rising demand from the established wood-processing industries. Many experts consider that significantly more wood could be mobilised from EU forests than is currently the case. However, the cost at which this can be done is the key factor (EU, 2006). In approving the Forest Action Plan, the Commission of European Communities identified a variety of key actions, including: Key action 4: Promote the use of forest biomass for energy generation Using wood as an energy source can help to mitigate climate change by substituting fossil fuel, improving energy self-sufficiency, enhancing security of supply and providing job opportunities in rural areas. The Standing Forestry Committee will support the imple- mentation of the Biomass Action Plan (Commission of European Communities, 2005) in particular concerning the development of markets for pellets and chips and information to forest owners about the opportunities of energy feedstock production. The Commission will facilitate investigation and dissemi- nation of experience on mobilisation of low-value timber, small-sized wood and wood residues for energy produc- tion. The Member States will assess the availability of wood and wood residues and the feasibility of using them for energy production at national and regional levels, in order to consider further actions in support of the use of wood for energy generation. The 7th Research Framework Programme and the IEE-CIP provide the necessary possibilities to facilitate such activities. TheCommissionwillcontinuetosupportresearchanddevelopment of technologies for the production of heat, cooling, electricity and fuels from forest resources in the energy theme of the 7th Research Framework Programme’s cooperation specific programme, and to encourage the development of the biofuel technology platform andsupporttheimplementationofitsresearchagendathroughthe 7thResearchFrameworkProgramme(CommissionofEuropean Communities, 2006). 1.2.2 PolicyInstruments Energy policies for forest biomass are embedded in a broader system of policies promoting the development of renewable energy sources. These policies are typically implemented through incentive schemes such as feed-in tariffs that guarantee favorable purchase prices for renewables and through Renewable Portfolio Standards (RPS) requiring that renewable sources constitute a certain minimum percentage of energy generation. A 2009 status report from the Renewable Energy Policy Network for the 21st Century (REN21) provides summary data character- izing the renewable energy policies of countries around the globe. According to REN21: By early 2009, policy targets existed in at least 73 coun- tries, and at least 64 countries had policies to promote renewable power generation, including 45 countries and 18 states/provinces/territories with feed-in tariffs (many of these recently updated). The number of countries/states/ provinces with renewable portfolio standards increased to 49. Policy targets for renewable energy were added, supplemented, revised, or clarified in a large number of countries in 2008 (Renewable Energy Policy Network for the 21st Century, 2009).1 By allowing projects to qualify for feed-in tariffs and be counted towards RPS goals, designation of forest biomass as a renewable energy source has been an important driver of biomass energy project development. The REN21 status report indicates that by the end of 2008, 52 GW of biomass power capacity existed worldwide, about evenly split between developed and developing countries. The European Union and United States accounted for 15 GW and 8 GW of this capacity, respectively. About 2 GW of this total were added in 2008, an annual increase of approxi- mately 4 percent. Within the broad context of biomass energy policies, individual countries have emphasized different policy instruments. A variety of researchers have conducted assessments of country-specific impacts of biomass policies—for an excellent summary see (Junginger, 2007). Faaij (2006) points out that: All EU-15 countries implemented policies for supporting bioenergy. These include the deployment of compensation schemes, tax deduction (in some cases specifically aimed at biofuels), feed-in tariffs, tax incentives, energy tax exemp- tion, bidding schemes, CO2-tax and quota. Precise targets on the national level differ strongly however and are hard to compare because of differences in definitions and fuels in or excluded (such as MSW and peat).The same is true for the level of (financial) support provided through the various programs and instruments. The different countries clearly have chosen very different approaches in developing and deploying various bio-energy options. Partly this is caused by the natural conditions (type of resources and crops, climate) and the structure of the energy system, and also by the specific political priorities linked to the agricultural and forestry sectors in those countries. A general conclusion of these studies is that higher rates of biomass energy development are typically a function not of any single factor but instead result from the combined effects of a variety of policy instruments, in the context of a country’s existing mix of energy sources and the degree of development of its forestry sector (Kautto, 2007; Junginger, 2007). For example, Sweden is one of the European countries that have most rapidly adopted biomass energy systems. Two key factors have been identified as 1 For an extensive list of countries and their policies, see Table 2, pages 23–24, www.ren21.net/pdf/RE2007_Global_Status_Report.pdf, and pages 17–18 of www.ren21.net/pdf/RE_GSR_2009_Update.pdf BIOMASS SUSTAINABILITY AND CARBON POLICY STUDY MANOMET CENTER FOR CONSERVATION SCIENCES 10 NATURAL CAPITAL INITIATIVEPDF Image | NATURAL CAPITAL INITIATIVE AT MANOMET
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