Economic Benefit and Emission Reduction Effect of Wood Pellet Fuel Production

CHEN Zhuo;Department of Circulation Economics,Fujian Business University;

CHEN Zhuo%Department of Circulation Economics,Fujian Business University

wood pellet fuel;;economic benefit;;emission reduction effect

(1)Background——China is not only a large energy consumption country,but also a large pollutant emission country due to energy consumption. Wood pellet fuel is a kind of relatively clean energy. Therefore,the development of wood pellet energy has certain significance for developing clean energy,ensuring energy supply and developing rural economy.(2)Methods——Taking a production line of wood pellet fuel with annual production of 15,000 tons as an example,the economic benefit potential of developing wood pellet fuel is analyzed,and the emission reduction effect of wood pellet fuel compared with coal is studied by using the economic benefit evaluation method of investment projects and the related research data of combustion emission measurement of wood pellet fuel.(3)Results——(1) The profit of the project is high and feasible,and the annual profit is 1. 049 million yuan.The net present value of the project is 2. 532 million yuan and the profitability is good. Moreover,the investment payback period of the project is short and the risk is small. The payback period of static investment is only 2. 55 years,and the internal rate of return is 82. 2 %,which is far higher than the average level of the industry benchmark rate. Therefore,the overall benefit of the development of wood pellet fuel is very considerable,and it is economically feasible to invest in this kind of project.(2) under the condition of producing the same amount of heat,the emissions of carbon monoxide,sulphur dioxide,nitrogen oxides and soot from the combustion of wood pellet fuel are 26. 8%,3. 1%,44. 5% and 14. 7% of the emissions from coal combustion of medium quality respectively.It can be seen that the emission reduction effect of the utilization of wood pellet fuel is very significant,and its development and utilization can effectively protect and improve the ecological environment.(3)Because the raw materials of wood pellet fuel come from forestry harvesting residue,wood residue and wood processing residue,it is the reuse of wood production and processing waste,which can save resources effectively. At the same time,the collection of raw materials for the production of wood pellet fuel can provide employment and increase the income of farmers in forest areas,and is also conducive to the economic development of forest areas.(4)Conclusions and Discussions——It can be known from the estimation that the investment of 15,000 tons of wood pellet fuel project is feasible,the profit is high,the annual profit is 104. 86 million yuan,the net present value is 253. 19 million yuan,the profitability is good,the investment recovery period is short,the risk is small,static The payback period is only 2. 55 years,and the internal rate of return is 82%,which is much higher than the industry benchmark rate average. Therefore,the overall benefits of the development of wood pellet fuel are considerable,and investment in such projects is economically feasible. Under the conditions of the same heat,the combustion of wood pellet fuel emissions of carbon monoxide,sulfur dioxide,nitrogen oxides and soot are respectively 26. 8%,3. 1%,44. 5% and 14. 7% of medium-quality coal combustion emissions.The use of wood pellet fuel,the emission reduction effect is very significant,and its development and utilization can effectively protect and improve the ecological environment. Because the production of wood pellet fuel is derived from forestry harvesting residues,material residues and wood processing residues,it is the reuse of wood production and processing waste,which can effectively save resources. At the same time,the collection of raw materials for the production of wood pellet fuel can provide employment for the forest area and increase the income of farmers,and is also conducive to the economic development of the forest area. To promote the development of wood pellet fuel energy in a country or region,the government should adopt incentive policies:(1)The development of wood pellet fuel energy should be regarded as a strategic component of the development of clean energy;(2)The advanced production technology for wood pellet fuel should be studied and popularized so as to improve the production efficiency;(3)A purchase subsidy policy should be implemented to reduce the cost of use.