Position statement: Fonterra use of bioenergy takes another step forward

The announcement that Fonterra is taking another step in its transition to low carbon production with replacement of a coal boiler at its Waitoa site, in the Waikato, with a 30 MW wood biomass boiler builds on the trend of food processors to adopt bioenergy solutions, says the Bioenergy Association.

Brian Cox, executive officer of the Bioenergy Association said that “the use of renewable biomass to replace coal to produce heat arises because of the increased use of forest residues, instead of leaving the residues in the forest to rot.  In this investment by Fonterra the supply of biomass from residues as fuel has been facilitated with the entry of Wood Energy New Zealand, as an accredited wood fuel supplier, into the North Island to supply the fuel to Fonterra.  Wood Energy New Zealand, which is a partnership of Pioneer Energy and Niagara Sawmilling, has a strong strength of supplying wood fuel in the South Island.  The entry of Wood Energy New Zealand into the North Island heat market will provide encouragement for other heat users to transition from fossil fuels to a biomass fuel.”

Mr Cox said that “With Fonterra making this fourth transition from fossil to biomass fuel for producing heat at its milk processing facilities, they are providing significant leadership and demonstration on how easy it is to move from coal to biomass fuels.  Such investments however need to be well planned and undertaken in partnership with their wood fuel suppliers.  The transitions cant be done overnight which demonstrates that reduction in our greenhouse gas emissions will take time.”