Biomass Feasibility Project Final Report - Xcel Energy
Biomass Feasibility Project Final Report - Xcel Energy
Biomass Feasibility Project Final Report - Xcel Energy
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into renewable technologies that support this mission. Results of RDF projects are<br />
expected to become available to broad audiences.<br />
The Board considers the primary objective of research projects to be testing a hypothesis<br />
or the marketability and application of an energy-related technology, with energy<br />
production being a by-product of the research.<br />
The project before you was conceived in 2003, submitted for the second round of RDF funding<br />
on March 16, 2004, and ultimately began on August 1, 2005. This report and the associated tools<br />
developed as part of the overall program effort is the culmination of over two years of work by<br />
the project team.<br />
Mission<br />
Minnesota has enacted a number of policies over the past decades that indicate a strong<br />
interest in expanding the biomass power industry within the state. The 1994 <strong>Biomass</strong> Mandate,<br />
the Renewable <strong>Energy</strong> Objective, and the recent Renewable <strong>Energy</strong> Standard have all<br />
provided support for bio-power within Minnesota. While general studies have indicated that<br />
Minnesota has significant potential to utilize existing biomass for electrical generation, no<br />
comprehensive statewide evaluation of Minnesota’s biomass resources in relation to existing<br />
infrastructure and appropriate processing technologies has been completed. <strong>Biomass</strong> is<br />
increasingly more complex than traditional electric generation approaches. It encompasses a<br />
wide range of feedstocks (crops to residues to animal manures and even, by some definitions,<br />
municipal solid waste and landfill gas) and a wide range of technologies (standard combustion<br />
boilers to anaerobic digesters to gasification processes). This makes a side-by-side comparison<br />
of diverse projects even more difficult.<br />
The concern becomes that without such a common framework from which to identify and<br />
compare diverse projects, projects may be selected for political expediency rather than<br />
technical and/or economic feasibility. The lack of a commonly accepted standard for decision<br />
making, combined with current regulatory and perceptual barriers in the biomass arena,<br />
complicates the selection process even further. The idea was therefore to provide tools and<br />
information to assist in the comparison of diverse biomass projects and allow for an objective<br />
evaluation. The result of this effort is before you.<br />
This project fulfills the objective delineated in the R&D portion of the RDF for assisting new<br />
technologies to the point where they can begin the process of commercial introduction by<br />
providing objective information to minimize transaction costs in the evaluation, selection, and<br />
ultimate implementation of biomass projects.<br />
Goals<br />
The goal of this project is to create a framework that communities and legislators can use to<br />
determine the feasibility of biomass generated electricity in their region and to develop costeffective<br />
projects that use local biomass resources efficiently. Although biomass can offer<br />
multiple benefits as a fuel source, biomass resources are extremely diverse in their physical<br />
characteristics and their potential for energy generation. It is imperative that projects are<br />
designed with this diversity in mind and within the parameters established by local or regional<br />
contexts. This project developed a number of resources to aid in the identification of areas in<br />
the state where relationships between fuel sources, local conditions, and appropriate<br />
technologies produce a promising opportunity for a biomass project. With this information,<br />
funding organizations, policy makers and state regulators will be better able to select the most<br />
Identifying Effective <strong>Biomass</strong> Strategies: Page 3<br />
Quantifying Minnesota’s Resources and Evaluating Future Opportunities