Businesses wishing to be more sustainable but worried about costs have been given a welcome boost by the Government.
This spring the Government announced plans to bring in the Renewable Heat Incentive which will provide a welcome cash incentive for companies trying cut carbon emissions by using sustainable energy sources such as wood fuel.
From July non-domestic installations will be able to receive tariffs of between around 2p and 8p per kilowatt hour for using a renewable source of heating.
These include everything from large-scale industrial heating to small business and community heating projects. Small biomass systems can receive a generous 7.6 pence per kilowatt hour. The RHI will be extended to domestic customers in 2012.
Sian Atkinson from the Woodland Trust said: "We are hopeful the Renewable Heat Incentive or 'RHI' will stimulate the woodfuel market. This could lead to much more creation of new native woodland in the UK, as well as management of existing woods such as restoration of planted ancient woodland sites.
"The Woodland Trust supports the use of biomass for energy where this leads to genuine greenhouse gas savings, and does not cause environmental harm. We particularly support schemes that lead to positive biodiversity and wider environmental gains. We believe small-scale, local heat projects are far more likely to provide these than large scale biomass power plants."
The woodfuel sector has been gradually developing over recent years, with injections of grant aid for capital projects and development of woodfuel supply chains. The RHI should provide an extra boost that will help it develop further.
To date, biomass installations have been more popular in developments such as schools and leisure centres, where local authorities have a commitment to reduce their carbon footprint, but woodchip boilers are also being used by big stately homes and small rural businesses who have access to their own supplies of fuel. As woodfuel supply chains get up and running, they should be a more viable option for a wider range of businesses.
For the UK’s woods, responsible, sustainable management of woods can be beneficial for many species. And if demand continues to rise, with a need for sustainable supplies close to the point of use, the Woodland Trust hopes to see more landowners and companies looking at creation of new woodland as a land-use option.
The UK has less than 12 per cent woodland cover, one of the lowest figures in Europe. An incentive that leads to more woods, particularly native woods, must be a good thing.
Contact us
Email corporatepartnerships@woodlandtrust.org.uk to get involved or call 01476 581 112