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The European Biochar Market Report for 2021/2022 provides valuable insight into the maturing biochar industry in Europe, including production plans, equipment, and projects. The report highlights the versatility of biochar, its potential for mitigating climate change, and its applications in agriculture, construction materials, and urban environments. The market has seen increased activity, with 25 new installations in 2021 and 44 projected for 2022. The cumulative installed production capacity has grown consistently, with an expected growth rate of slightly above 85% in 2023. The report also discusses several large-scale biochar projects that demonstrate the potential for biochar to be a valuable source of renewable energy and carbon sequestration. The speaker emphasizes that the key to finding the best solution is the smart allocation of biomass and biochar, along with the cascaded use of biomass and biochar.
00:00:00 In this section, the speaker introduces the updated report on the European biochar market which will be shared in large parts due to its significance for the whole industry. The biochar market consists of two product categories, the material biochar and carbon capture and storage. Biochar is a versatile material used in agriculture, construction materials, and as a potential carbon sink that can be monetized in the carbon market. The creation of a carbon sink occurs through the capture of CO2 from the atmosphere by plants through photosynthesis and the transformation of that CO2 into a stable form of carbon through pyrolysis. The classical use case of biochar is in agriculture, but newer applications have been developed, such as in the urban environment for stormwater treatment and the well-being of plants and trees, as well as in construction materials.
00:05:00 In this section, the speaker discusses the motivation behind creating the European Biochar Market Report, which is to provide a sound basis for making business and political decisions in the biochar industry. The lack of readily available and up-to-date market data motivated the creation of the report, which aims to give insight into the scaling biochar market and its potential for mitigating climate change. The report analyzes biochar production plans, equipment, and projects in Europe, including those under construction.
00:10:00 In this section, the focus is on the European biochar market report for 2021/2022, specifically on biochar production and equipment manufacturers. The report looks exclusively at biochar at EBC quality grade, which can be EBC or EBC certified, and there are two main paths regarding production: dedicated biochar production plants and plants that include charcoal production for the metallurgic industry. The report examines six categories in terms of production volumes, ranging from micro to industrial. The methodology used is a combination of internet research, interviews, and information obtained from equipment manufacturers. The report only presents data in a consolidated way to respect confidentiality, and there is an additional part reserved for EBI members. The market is seeing an increase in maturity in terms of equipment manufacture, and more equipment manufacturers are joining the space.
00:15:00 In this section, the speaker discusses the growth and maturation of the biochar industry in Europe. The market is becoming more dynamic and has seen increased activity, with a solid number of serious industrial players producing EBC biochar. The speaker presents numbers on the installation of biochar plants, with 25 new installations in 2021 and 44 projected for 2022, though some projects may be delayed due to permitting or material shortages. With more projects under planning and development, it is expected that the industry will continue to grow in the coming years.
00:20:00 In this section, the video presents data on the cumulative installed production capacity and growth rate in the production of biochar in the EU. The growth rate has been consistently high and accelerating, with a growth rate of 71 in 2022, and an expected growth rate of slightly above 85 percent in 2023. In terms of actual biochar production, there is an estimated 40,000 tons to be produced in 2022, equivalent to about 100,000 tons of CO2. The size of the production equipment is mainly in the large and above category, with almost 90% of the equipment having a capacity above 200 tons. Additionally, there are installations in the industrial category that can quickly ramp up production if they switch to a higher percentage of biochar allocation. Finally, due to confidentiality agreements, some information on country region distribution could not be provided.
00:25:00 In this section, the speaker discusses the expected production capacity of biochar in three main regions, including Germany, Austria, Switzerland, and Scandinavia. While Scandinavia, particularly Sweden, is emerging as a dominant player, there are still many regions with untapped potential. The talk then delves into the EBC certificate, which has accelerated the adoption of biochar production, with around 70% of the end-of-2022 expected production set to be EBC certified. The talk also highlights trends in the industry, such as the emergence of new industrial players, growing system sizes, and the replacement of fossil carbon with biogenic and activated carbon.
00:30:00 In this section, the video discusses the growth of the biochar market, which has been accelerated in recent years with an average growth rate of 67% from 2019 to 2022. The production capacity for biochar has grown from 35,000 tons at the end of 2021 to an expected 65,000 tons by the end of 2022. The EBC Sync certification enables the valuarization of clients’ climate services, and there is currently one EBC Sync certified C-Sync trader, with more traders in the process for accreditation. Among industrial negative emissions technologies, biochar is the easiest to scale to significant volumes in the near term, making it a key conclusion to the biochar market. The section also presents several reference installations of medium, large, very large, and industrial projects that meet specific quality criteria, such as producing EBC certified biochar and using energy sustainably.
00:35:00 In this section, the video highlights several large-scale biochar projects, including a plant in Switzerland that uses municipal green waste to produce 700 tons of biochar and 750 kW thermal energy, which is fed into a district heating network. The plant also plans to use biochar for gardening in the city. Other projects mentioned include a plant in Hamburg that produces 3000 tons of biochar per year, a forest residue plant in Switzerland producing 4000 tons of biochar per year, and a charcoal producer in Germany that is EBC certified for its high-quality, pure charcoal and also produces biochar. The projects vary in feedstock and output, but all demonstrate the potential for biochar to be a valuable source of renewable energy and carbon sequestration.
00:40:00 In this section, Hans Jerk discusses the scaling of biochar and its potential to become a permanent negative emission technology. The focus is on the synergies between different negative emission technologies, particularly biochar and afforestation, which can improve soil quality and make afforestation easier. The graph shows an exponential growth rate in biochar production, which is expected to reach one megaton by 2026. However, the real question is how fast biochar can scale to real climate relevance, and whether it can help prevent a major climate crisis when combined with other negative emission technologies.
00:45:00 In this section, the speaker discusses the potential growth of the European biochar market, predicting that the current growth rate could be maintained up until 2030 without being restricted by biomass availability. The speaker suggests that the DG Climber’s target of 5-10 megatons for technical carbon targets is not ambitious enough, and the industry could potentially reach 100 megatons by 2034. The presentation highlights that pix biochar is likely to dominate negative emissions in terms of volume for at least a decade, and there are no significant barriers to charcoal manufacturers switching to producing biochar.
00:50:00 In this section, the speaker discusses the unique characteristics of biochar as a technical product and how carbon credits can help reduce purchasing prices, although they are rarely the primary driver of a sale. The question of whether there is enough feedstock for producing or displacing Europe is also addressed, and it is said that there is enough biomass to go for 100 million tons of biochar, and that unused feedstocks like crop residues can be more efficiently used in biochar production. The production capacity of biochar is also discussed, and while the production capacity limits certain applications, there is potential for growth as there is a surplus that will find a demand.
00:55:00 In this section, the speaker addresses concerns about the competition for biomass and the economic viability of biochar. They suggest that the solution is in the synergies between bioenergy and biomass usage, and the differentiation between wet and dry biomass. The better usage is to use existing biomass streams, such as fast-growing forests, instead of planting new ones. The ideal situation requires a smart allocation of biomass, not necessarily putting everything into biochar. The speaker emphasizes that cascaded use of biomass and biochar is crucial to finding the best solution, and the pricing topic is complex and tricky to discuss. They also note a growing trend in the business model of pyrolysis suppliers towards heat as a service, where they invest, set up plants, and take care of the biochar.
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The EBI European Biochar Market Report 2021/2022 video emphasizes the importance of smart biomass allocation and the usage of energy in pyrolysis projects. The speaker notes that heat is becoming a key element in these initiatives and highlights limited options for producing it. These include wall heat pumps, fossil fuels (not a long-term solution), and pyrolysis/biogas to produce gas to burn the biogas. The audience is thanked for their interest, and the presentation ends with an invitation to follow the LinkedIn profile for updates.
01:00:00 In this section, the speaker emphasizes the need for smart allocation of biomass and the usage of energy. They discuss the importance of heat in pyrolysis projects and project developments as heat becomes a key element in these initiatives. They highlight the limited options for producing heat, which includes wall heat pumps, fossil fuels (not a long-term solution), and pyrolysis and biogas to produce gas to burn the biogas. The speaker thanks the audience for their interest and ends the presentation with an invitation to follow their LinkedIn profile for updated information.
