Renewable energy targets, forest resources, and second-generation biofuels in Finland

Introduction of second-generation biofuels is an essential factor for meeting the EU’s 2020 targets for renewable energy in the transport sector and enabling the more ambitious targets for 2030. Finland’s forest industry is strongly involved in the development and commercializing of second-generation biofuel production technologies. The goal of this paper is to provide a quantifi ed insight into Finnish prospects for reaching the 2020 national renewable energy targets and concurrently becoming a large-scale producer of forest-biomass-based second-generation biofuels feeding the increasing demand in European markets. The focus of the paper is on assessing the potential for utilizing forest biomass for liquid biofuels up to 2020. In addition, technological issues related to the production of second-generation biofuels were reviewed. Finland has good opportunities to realize a scenario to meet 2020 renewable energy targets and for large-scale production of wood-based biofuels. In 2020, biofuel production from domestic forest biomass in Finland may reach nearly a million ton (40 PJ). With the existing biofuel production capacity (20 PJ/yr) and the national biofuel consumption target (25 PJ) taken into account, the potential net export of biofuels from Finland in 2020 would be 35 PJ, corresponding to 2–3% of European demand. Commercialization of secondgeneration biofuel production technologies, high utilization of the sustainable harvesting potential of Finnish forest biomass, and allocation of a signifi cant proportion of the pulpwood harvesting potential for energy purposes are prerequisites for this scenario. Large-scale import of raw biomass would enable remarkably greater biofuel production than is described in this paper.