The US Biomass Power Market Analysis and Forecasts to 2015

 The shortage of feedstock supply has hampered the
The US biomass market had a cumulative installedgrowth of the US biomass market. To offset this
capacity of 9,686 MW in 2009. The cumulativeissue the government is promoting cultivation of
biomass power installed capacity has increased fromagricultural crops as biomass inputs. They are also
8,835 MW in 2001 to 9,686 MW in 2009 at a CAGRlooking at importing feedstock to utilize the complete
of 1.2%. The growth of the biomass industry in thepotential of biomass energy and meet the current
US is stagnant in the last decade due to expiry ofand future demand in the country. The lack of proper
contracts signed under Public Utilities Regulatory Policylogistic facilities is also leading to dearth in the
Act (PURPA) by utility companies. The other reasonsfeedstock availability which is causing increase in
which affected the growth of the biomass industryfeedstock prices.
are high feedstock costs because of inadequateMain feedstocks used for biomass power generation
infrastructure facilities to transport waste andare wood waste, municipal solid waste (MSW) and
emergence of biomass industry in Europe andother waste. In 2009, wood waste contributed about
Asia-Pacific which came up with better framework78.9% to the total biomass power generation in the
supporting biopower industry compared to the US.US. Wood waste constitutes black liquor, wood or
The government has introduced financial incentives towoodwaste solids and liquids. Municipal solid waste is
offset the high investment needed for biomassanother important feedstock with 17% share in the
power generation. It has introduced various subsidyUS biomass power generation. Other waste
and incentive programs to compensate for as muchconstitutes 4.2% of the biomass power generation in
50% of the initial investment required. The recentlythe US.Industrial segment is the major user and
extended production tax credit (PTC) provides aconstitutes over 58.8% of the end user market for
tariff for each KWh produced to the biomass powerbiomass power in 2009. Presently, several industries
producers. To tackle the environmental concerns andare buying power from dedicated biomass facilities
handle increasing problems with different types ofestablished with the help of financial incentives from
wastes such as industrial waste, agricultural waste,federal and state governments. Residential segment
municipal waste etc led to biomass installations. Withis the other major end user of biomass power. It
proper financial support and government mandates inconstitutes 38.3% of the total end-user market.
place biomass installations have become a more viableCovanta Holding Corporation is the market leader in
option and an appropriate solution to the issue ofterms of cumulative installed capacity with a share of
waste management.11.3%. Covanta Holding Corporation is followed by
For further details, please click or add the below linkWheelabrator Technologies Inc. with a share of 8.7%
to your browser:and CMS Energy Corporation with a share of 1.7%.