Presentation title

Analysis of biomass energy supply and demand in CambodiaConsultation workshop on Cambodia wood and biomass energy strategyMathieu Ruillet | GERES Cambodia| Siem Reap, Nov 2012

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industrial/commercial usersWood/Biomass energy value chain in CambodiaAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet2CHARCOAL PRODUCTIONFOREST MANAGEMENT alternative sourcing

energy supply

energy demand DEMAND MANAGEMENThouseholds(rural and urban)andhousehold-scale industry

SUSTAINABLE BALANCEIS AT STAKECHARCOALFUEL WOODBIOGASothers

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3BIO CHARBIOGASCHAR BRIQBIO WASTE

ALTERNATIVE SOURCING

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industrial/commercial usersWood/Biomass energy value chain in Cambodia:forest managementAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet3CHARCOAL PRODUCTIONFOREST MANAGEMENT alternative sourcing

energy supply

energy demand DEMAND MANAGEMENThouseholds(rural and urban)andhousehold-scale industry

SUSTAINABLE BALANCEIS AT STAKECHARCOALFUEL WOODBIOGASothers

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3BIO CHARBIOGASCHAR BRIQBIO WASTE

ALTERNATIVE SOURCING

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Forest management in Cambodia: an overview4

60% of the national territory is covered by forestsWoody biomass is still the main cooking fuel in Cambodia: it represents the main fuel in rural households (almost 100%) and the most popular one in urban households (almost 60%)Population growth and limited access to electricity put an extra burden on woody biomassBiomass is a renewable source only if the forest has time to regenerate (sustainable exploitation)High rate of deforestation may not only bring about a shortage of fuelwood but also soil degradation and impoverishment of agricultural landOverall balance between offer and demand is currently positive, there is however a discrepancy since wood energy situation varies between areas 181,035 km2country area91%of Cambodian households relyon woody biomass for cooking100,940 km2covered by forest90%of rural households have noaccess to electricity and relyentirely on biomassonly 20%of Cambodian households have access to electricitynational yearly demand of fuelwood5,500,000 tonsSource: National Census 2008, UNDP 2010, FAO 201123protected areasAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet

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Forest management in Cambodia:wood energy situation varies between areas5

Both firewood and charcoal are outsourced

Fuelwood is collected for free from forest lands close to the villages Charcoal is bought from illegal, inefficient kilns

WOOD SUPPLY BASSIN/BIOMASS ENERGY SUPPLYBIOMASS ENERGY DEMANDIN RURAL AREASBIOMASS ENERGY DEMAND IN URBAN AREAS

Urban development exerts significant pressure on areas not positively affected by development

Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet

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6Forest management in Cambodia: wood energy situation varies between areas

Source: FAO 2008Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet

Only a certain (?) portion of the extracted wood is actually used as fuelwood

Sustainable balance supply-demand of biomass:actions and constraints in forest management7Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu RuilletFOREST MANAGEMENT

LEGAL AND SOCIAL CONSTRAINTS

POLICYFRAMEWORKPolicies needed?Other projectsLimited environmental consciousnessWeak law enforcement against illegal wood cuttingNo regulation of charcoal productionLack of data on wood use

University Capacity Building Project Goal: address the shortage of trained biologists and reliable biodiversity dataSome achievements: first Cambodias Masters Degree in Biodiversity conservation; over 100 biologists trained to dateCBSFLMP project (2006-2010)Goal: secure local forestsTarget group: 451 villages / 200,000 haSome achievements: 65 field-level training sessions on community forestry; 33 nationals trained to become community forestry trainers

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industrial/commercial usersWood/Biomass energy value chain in Cambodia: charcoal productionAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet8CHARCOAL PRODUCTIONFOREST MANAGEMENT alternative sourcing

energy supply

energy demand DEMAND MANAGEMENThouseholds(rural and urban)andhousehold-scale industry

SUSTAINABLE BALANCEIS AT STAKECHARCOALFUEL WOODBIOGASothers

1

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3BIO CHARBIOGASCHAR BRIQBIO WASTE

ALTERNATIVE SOURCING

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Charcoal production: some basic figures9

Traditional charcoal producers operate with low-efficiency technologies (i.e. ground-pit kilns) with uncontrolled carbonization processesHigh conversion ratios and low calorific values bring about a greater demand for firewoodCharcoal is produced in rural areas (mostly areas around Kirirom, southeast of Kampong Speu)Charcoal is mainly transported to and consumed in urban areas Charcoal transportation has both an economic and environmental impactDue to rarefaction of resources, price of charcoal increases steadily192,400 tonsnational demand of charcoal per year6.5 kg/1 kgconversion ratio firewood/charcoal with traditional ground-pit kiln1,251,000 tonsof firewood needed yearly to cover national demand of charcoal48%of national demand for charcoal comes from Phnom Penh26.4 GJ/toncalorific value of charcoal produced with traditional ground-pit kiln15.6 GJ/toncalorific value of fuelwoodSource: GERES Cambodia analysisAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet

Sustainable balance supply-demand of biomass:actions and constraints in charcoal production10Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu RuilletCHARCOAL PRODUCTION

LEGAL AND TECHNICAL CONSTRAINTS

POLICY FRAMEWORKPolicies needed?Other projectsNo regulation for charcoal productionLimited basic knowledge of producers and no rigid compliance to standards and specifications Low affordability of producersLack of financial incentives/institutional mechanisms to bridge the financial gap between low affordability of producers and high price of efficient kilns Some achievements: 1 Yoshimura Kiln installed in the Sustainable Charcoal Pilot Center of GERES in Takeo and 2 in PursatConversion ratio of 4.5 Calorific value of 29.3 MJ/kg (tested in IUT-LUACOB, France)Potential yearly savings of 470,600 tons of firewoodTaken into account the higher calorific value, savings of 37% of woody biomass can be achievedSupport by public authorities is becoming stronger

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industrial/commercial usersWood/Biomass energy value chain in Cambodia: demand managementAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet11CHARCOAL PRODUCTIONFOREST MANAGEMENT alternative sourcing

energy supply

energy demand DEMAND MANAGEMENThouseholds(rural and urban)andhousehold-scale industry

SUSTAINABLE BALANCEIS AT STAKECHARCOALFUEL WOODBIOGASothers

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3BIO CHARBIOGASCHAR BRIQBIO WASTE

ALTERNATIVE SOURCING

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Demand management of biomass energy:households and household-scale industry12

Households and household-scale industries are the biggest consumers of firewood in CambodiaBiomass consumption for domestic cooking in rural and urban areas accounts for more than 50% of Cambodian energy consumptionHousehold-scale industries have a limited thermal efficiency (18-24% according to the industry), which could be improved by utilizing efficient stoves and kilnsImproved stoves and kilns are expensive and difficult to afford for households and household-scale industries84%of Cambodian households use firewood for cooking purposes3.135 kgan average ruralhousehold consumes every day7%prefer charcoal1.543 kgof charcoalof firewoodan average urban household consumes daily2.1 kgof firewood3.11 kgof charcoalSource: GERES Cambodia analysis and monitoring tests, National Census 2008Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruilleta palm sugar industryconsumes daily104 kgof firewooda rice wine distillery42.5 kg

Sustainable balance supply-demand of biomass:households and household-scale industry13Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu RuilletDEMAND MANAGEMENT

LEGAL, TECHNICAL AND SOCIO-ECONOMIC CONSTRAINTS

POLICY FRAMEWORKPolicies needed?Other projectsLack of technical knowledgeLack of technical specifications, no energy efficiency standards for stoves made in Cambodia and for products entering CambodiaLack of precision of current dataLack of financial/tax incentives for improved stoves and kilnsLimited access to credits for household-scale industries due to their informal characterDifficulties in changing the consumption patterns and cooking habits of end-usersLow level of awareness on the potential of energy efficiencyNew Lao Stove (NLS) and Neang Krongrey Stove (NKS): improved cookstoves for households Some achievements of NLS: over 1,800,000 stoves sold; 35,000 NLS produced/month in 42 production centers; avoided deforestation for 10,000 football pitches; savings of 9-25% of woody biomass (according to cooking habits)Some achievements of NKS: almost 360,000 stoves sold; 42 production centers in 9 provinces

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Demand management of biomass energy:the case study of garment and brick factories14

Demand from small and medium-size industries in Cambodia is a threat to a sustainable forest managementSupply from old rubber plantations is almost exhausted, industries are using other types of wood and biomass energy fuels (especially rice husks)Improved machinery (e.g. boilers for ironing in the garment industry) could be employed to increase the overall energy efficiency of the industrial processes and reduce the demand for fuelwoodOther potential measures comprise the reutilization of industrial wasteSource: GERES Cambodia analysis, UNDP 2010, IFC studyAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet1,600,000 m3obtainedannually from abandoned rubber plantations to supply brick, tile and garment industry69garment factories in Cambodia, corresponding tovolume of fuelwood consumed per year by 273,000 tons3,900 haper year40brick factoriesvolume of fuelwood consumed per year by 50,000 tons750 haper yearin Cambodia, corresponding to

Sustainable balance supply-demand of biomass:the case study of garment and brick factories15Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu RuilletDEMAND MANAGEMENT

LEGAL, TECHNICAL AND SOCIO-ECONOMIC CONSTRAINTS

POLICY FRAMEWORKPolicies needed?Projects and data?Lack of technical knowledgeLack of technical specifications, no energy efficiency standards for stoves made in Cambodia and for products entering CambodiaLack of precision of current dataLack of financial resources for small and medium local companies and absence of affordable borrowing schemes (rather high interest rates from local banks up to 9.5% per year)Lack of financial/tax incentives for improved machineryLow level of awareness on the potential of energy efficiency

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industrial/commercial usersWood/Biomass energy value chain in Cambodia: alternative sourcingAnalysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet16CHARCOAL PRODUCTIONFOREST MANAGEMENT alternative sourcing

energy supply

energy demand DEMAND MANAGEMENThouseholds(rural and urban)andhousehold-scale industry

SUSTAINABLE BALANCEIS AT STAKECHARCOALFUEL WOODBIOGASothers

1

2

3BIO CHARBIOGASCHAR BRIQBIO WASTE

ALTERNATIVE SOURCING

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Biochar (carbonized wood through pyrolysis process) results as a residue from industrial, commercial and domestic processesGenerated biochar is dumped and absolutely underutilized and can be used to produce char briquettes with high calorific valueCase study of a sample of garment factories (69 out of 310) show a potential for incrementing the energy efficiency of the industry through reprocessing industrial wasteData about production of biochar by other demand sectors not available4,000 tonsof biochar40%energy efficiency of the garment industry 69garment factories in Cambodia generate monthly46%by converting biochar into char briquette29.5 GJ/toncalorific value of char briquette obtained from biochar processingAlternative sourcing from biochar: the case study of the garment industrythat can be increased up toSource: GERES Cambodia case study 2008Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet26.4 GJ/toncalorific value of traditional charcoal

18Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu RuilletALTERNATIVE SOURCING

LEGAL, TECHNICAL AND SOCIO-ECONOMIC CONSTRAINTS

POLICY FRAMEWORKPolicies needed?Lack of technical knowledge (need to import machinery from neighbouring countries)Need for frequent and expensive maintenance due to high-pressure operation of machineryUncompetitive price (high operation costs)Challenging diffusion/commercialization No fiscal facilitation/tax exemptions for the import of specific machinery used for the production of char-briquettes No standards/accreditation of the raw materials used for the production of char-briquettes 3 existing factories utilizing biochar, coconut waste and other residues to produce char briquette (Sustainable Green Fuel Enterprise (SGFE), Khmer Clean Charcoal (KCC) and a joint initiative between Thai and Khmer entrepreneurs Current joint production scale around 80 ton/monthPotential for expansion of production capacity up to 200 ton/month and above

Alternative sourcing from biochar: actions and constraints in char briquette production

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industrial/commercial usersWood/Biomass energy value chain in Cambodia:any question?Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet19CHARCOAL PRODUCTIONFOREST MANAGEMENT alternative sourcing

energy supply

energy demand DEMAND MANAGEMENThouseholds(rural and urban)andhousehold-scale industry

SUSTAINABLE BALANCEIS AT STAKECHARCOALFUEL WOODBIOGASothers

1

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3BIO CHARBIOGASCHAR BRIQBIO WASTE

ALTERNATIVE SOURCING

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Main points and next steps20A sustainable biomass energy chain would represent a valuable way to secure a self-sufficient energy supply to one targeted sector (e.g. households and HSIs) and can be viewed as a development driver for Cambodia on the long runSustainable balance between biomass energy supply and demand is at stakeFocus on four main areas of intervention:FOREST MANAGEMENTCHARCOAL PRODUCTIONDEMAND MANAGEMENTALTERNATIVE SOURCINGFor any of these areas there are already some projects being implemented by development agencies and constraints preventing those projects from having full positive impact on the balance between biomass energy supply and demand

Current data lack precision, comprehensiveness and updating!Analysis of biomass energy supply and demand in Cambodia | Nov 2012 | Mathieu Ruillet

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Thank you!Wishing you a fruitful discussion

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