http://www.austropapier.at/index.php?id=austropapier&L=1
The planned construction of a new biomass power plant in Austria has given rise to a heated debate about biomass subsidies and their consequences for the country's pulp and paper industry this week.
In
an open letter to the federal government, the trade association Austropapier
and leading players in the Austrian pulp and paper sector spoke out against the
construction of the biomass facility, warned against the drastic consequences
the project might have for pulp and paper mills in the country and demanded an
end to the promotion of wood combustion.The planned construction of a new biomass power plant in Austria has given rise to a heated debate about biomass subsidies and their consequences for the country's pulp and paper industry this week.
According to Austropapier, local wood is too valuable to be shipped directly from the forest to a biomass power plant. The association added that the proposed project threatens the supply of domestic pulp and paper producers as well as other members in the value chain.
Wood demand cannot be met: One of the signees of the open letter, Alfred Heinzel, CEO of Heinzel Holding, said that the wood imports of the Austrian pulp and paper industry have had to be doubled since 2005 and currently account for about 37% of the sector's annual demand.
According
to Peter J. Oswald, CEO of Mondi Europe & International, the excessive and
imbalanced biomass subsidy policy leads to an unfavorable ecological and
economic development.
Sappi
Gratkorn at risk: Berry Wiersum, CEO of Sappi Fine Paper
Europe, agreed with Oswald and pointed to the drastic effects a further drop in
local wood supplies might have for Sappi's Gratkorn pulp and paper mill.
According to him, an upcoming Euro 100 million investment at the site would not
be justifiable if local wood supplies were expected to drop further, resulting
in rising wood prices.
