US Secretary of agriculture nominee Tom Vilsack sees biofuels and bioenergy helping meet Biden’s climate goals. In related news: USDA support for bioenergy will be discussed at the International Biomass Conference March 16-17; and changes are coming to supplier shares of the Japanese biomass market. In BC Business news: the pillar of the province’s economy is made of wood; natural resource industries are helping the recovery; and exporters are increasingly caught in a container squeeze.
In other news: Nova Scotia protects 20 new sites; US perspectives on the role timber plays as an alternative to concrete and steel; and loggers as environmental heroes. Meanwhile: Sappi’s latest financials, Rex Lumber CEO joins the US Endowment board; and the Texas Forestry Association elects a new president.
Finally, the 2021 Association of BC Forest Professionals’ virtual AGM kicks off today.
Kelly McCloskey, Tree Frog Editor
Housing starts in the United States last year exceeded population growth. Even if every new resident lived alone, we increased supply more than fundamental demand. …This imbalance will ease, though, as multi-family construction will drop over the course of the year. The single family sector will see demand continue to grow as people move out of apartments, continuing to push up demand for standalone housing. Comparing total housing units built, both apartments and single family homes, with population growth helps to see gross imbalances. …We clearly overbuilt from 2002 through 2006. Then we underbuilt. Builders have been overbuilding from 2018 through 2020. …The 2020 pandemic led many people to try to move from apartments to single family houses, and that’s the greatest part of the story. 
Vancouver residents don’t normally see logging trucks rumbling down Howe Street, so they can be forgiven for thinking forestry is a rural B.C. pursuit that doesn’t really affect them. In fact, forestry accounts for 15% of B.C.’s economic activity, and roughly 40% of the jobs the industry supports are in Vancouver and the Lower Mainland, according to… the Council of Forest Industries. In total, the industry contributes $13 billion annually to B.C.’s GDP. …Lisa Dominato, a Vancouver city councillor, said the forest industry spends close to $1 billion in Vancouver annually through 500 suppliers. …She added that local governments see the value of supporting B.C.’s forestry sector, while also addressing housing shortages and climate change by supporting businesses like the construction of tall wood buildings, which uses mass timber products instead of steel and concrete. …foresters invariably meet resistance on environmental and social-licence grounds. The increasing involvement of First Nations in the sector helps address some of those issues.
Beyond windmills, solar panels and a constant stream of innovation to mitigate carbon emissions in the built environment, many now believe timberland holds the key to a more sustainable world as it shifts towards a circular ‘bio’ economy. …An increasing range of products manufactured from sustainably-cultivated forests is contributing to climate-change mitigation. …They range from cross-laminated timber used in construction of high-rise structures as a replacement for concrete and steel, to the wood fibre and pulp used in production of fabrics and baby nappies, replacing synthetics. …“There is a recognition that we need to make some significant changes,” says David Brand, chief executive of New Forests. …Brian Kernohan, chief sustainability officer at Hancock Natural Resource Group, says: “We share the view that forest and farmland have a big role to play in helping us meet the Paris Agreement targets.”
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It’s unlikely that when Dale Wilson’s grandfather was repaid an outstanding debt with a deed to a stand of trees in the middle of nowhere, it would lead the whole family down such an enriching path. But that’s exactly what happened in 1916. It placed the Wilson family in a pristine part of British Columbia – Qualicum Bay, on Vancouver Island. Their small parcel of land provided a living for Dale’s father, who harvested timber from the land with horses and an axe. It also provided a lifetime of memories for Dale, especially being lifted onto the backs of those giant horses and wandering the forest on childhood adventures. In his “retirement” as a tugboat captain he pursued a woodlot licence that bordered the Wilson family homestead and the family was awarded Woodlot Licence 1464. …Dale and Brenda were happy to share their forest with tourists and town residents alike. Over the years, they took great pride in educating the public on their harvesting and reforestation activities.
While Japanese biomass demand continued strong growth in 2020, upcoming policy changes will impact trade flows, supply and demand. Hawkins Wright estimates Japanese wood pellet demand was 1.8 million metric tons in 2020, up 20% on the year with little sign of slowing. We forecast wood pellet demand will grow 33% in 2021 and have identified over 4 gigawatts of woody biomass capacity in the pipeline. Japan’s Ministry of Economy, Trade and Industry has approved nearly 8 GW of woody biomass capacity under the feed-in-tariff, but many projects are not at an advanced development stage. …In December, U.S. pellet producer Enviva made its first shipment of wood pellets from the U.S. South to Japan. …Traditionally, the Canadian west coast has been the preferred choice for Japanese end users. …However, since the spot market developed in Japan, Southeast Asian producers have been increasing their share. …Japan is the fastest-growing industrial biomass market globally.
Continuing its annual tradition of uniting the industry’s top experts, advocates, service and technology providers, academia, project developers and other stakeholders, the International Biomass Conference & Expo will take place March 16-17, marking its 14th consecutive year with a virtual event including all components of the traditional in-person event, from the association leader roundtable discussion, to a virtual trade show with online chat and video capabilities, to breakout panel discussions with opportunities to ask presenters live questions. ….As for big ticket items for the biomass power industry, Annand says one is the policy outlook for the next few years. “This includes the USDA wood utilization and bioenergy support, as well as the prognosis for enabling electricity producers to participate in the renewable fuel standard,” she says.
