Economic and Environmental Evaluation of Biomass-fired Power Generation in Japan

Abstract

In this study, biomass-fired power generation in Japan was evaluated from the viewpoints of economics and the effects on the environment. Feedstock cost, plant capacity, and the efficiency of electricity generation were estimated with regard to the collection distance. Accordingly, the cost of electricity generation and the effect on CO2 mitigation were obtained as functions of the collection distance. From the economic viewpoint, a collection distance of approximately 50 km was considered realistic. However, since forest biomass is expensive, a policy that excludes the feedstock cost and includes tax reduction would be required. On the other hand, from the environmental viewpoint, the effect on CO2 mitigation was maximum when the collection distance was approximately 50 km; therefore, this was estimated as the optimum collection distance. In conclusion, a biomass-fired power plant is expected to contribute toward mitigating global warming.