Yukon Biomass Energy Strategy: Challenges, Opportunities, and Moving Forward Yukon Biomass Forum 15 March 2016 Watson Lake District Heating System

Yukon Biomass Energy Strategy Biomass strategy approved by the Government of Yukon on 18 February 2016. Third energy related policy to emerge from the 2009 Energy Strategy for Yukon. Intent : “Over time the Yukon government aims to encourage the adoption of modern, clean-burning wood-heating technologies and optimize the use of local wood resources in the production of heat to deliver adequate energy during our long, cold winter months.” Scott Kent, Minister, Energy, Mines and Resources

Yukon Biomass Energy Strategy Promotes using locally produced biomass (wood) products to meet our heating, and to a lesser extent electricity, needs. Provides six key action areas to support the use of biomass products in Yukon: Commit to using biomass energy in government infrastructure. Develop regulations, policies and programs for biomass energy industry, as required. Manage biomass facility emissions to protect public/environmental health and safety. Facilitate private sector development in biomass energy. Manage and regulate Yukon forests sustainably. Ensure biomass fuel security and quality. Wood boiler system

Rationale for the Biomass Strategy The Yukon Biomass Energy Strategy was developed to meet Yukon government’s commitments in: The Energy Strategy for Yukon (renewable energy). The Climate Change Action Plan (GHG emissions reduction). Coordinate the strategy so it aligns with existing legislation and the Umbrella Final Agreement: Chapter 17 of Yukon First Nation Final Agreements (forest management). Forest Resources Act (forest management). Yukon Environmental and Socioeconomic Assessment Act (mitigation of adverse impacts). Our neighbouring jurisdictions (Alaska and NWT) are further ahead of us! Superior Pellet Mill (Fairbanks) Delta Junction Chip Feed Auger and Boiler Delta Junction Sawmill: Alaska

Example: The Northwest Territories Hopper and Boiler System, Yellowknife Recreational Centre The Government of the Northwest Territories has demonstrated that there is a net benefit to biomass. They have installed boilers in 20 public buildings. By 2012 NWT reduced their heating oil consumption by 6 million litres and greenhouse gas emissions by over 15,000 tonnes (not to mention the $$$ saved!). They are now focusing developing a locally based bioenergy infrastructure and sources of fuel (i.e. a biomass economy).

Anticipated Benefits of Biomass Correctional Center: 1st Project in NWT (2005) What we heard is the Yukon First Nations, Renewable Resource Councils, and the public support: Improving energy self-sufficiency (75% of the territory’s heating load is met with imported fossil fuels). Developing new economic opportunities. Diversifying heating fuel sources and using a lower cost fuel. Reducing greenhouse gas emissions. Using a safe fuel. $60M is spend on fuel and electricity to generate heat. $50M of this is spent on imported fossil fuels. Wood costs about $12-$20/GJ depending on type (cordwood/pellets), while oil/propane costs $35/GJ, and electricity costs $35-60/GJ. 136,000 tonnes of GHG’s were emitted in 2012 by burning fossil fuels for heat. Arctic Green Energy Ltd Pellet Delivery Truck Northern Properties: Private Sector

Anticipated Challenges of Using Biomass What we’ve also heard is that there are some issues that we will need to investigate carefully: Capacity development to ensure First Nations benefit from increased use of biomass. Managing air quality and emissions. Regulating industry growth to foster opportunities and to avoid too much, too soon. Developing the capacity of Yukon’s heating industry so they can cope with the transition. Elijah Smith School Gasifier Project

Past Usage of Biomass in Yukon In the 1980’s, Yukon government supported biomass projects at the Yukon College, Yukon schools (e.g. Elijah Smith School), and in the Andrew Philipsen Law Centre. These projects were unsuccessful for a number of reasons: training, fuel supply, project complexity, and public support. The biomass strategy is intended to help us do this better. Elijah Smith School Gasifier Project

Present Usage of Biomass in Yukon There are four biomass systems currently operating in Yukon: Kluane First Nation district energy system. Whitehorse Correction Centre pellet boiler. Dawson City Wastewater Treatment Plant chip boiler. Raven Recycling chip boiler. These systems have been learning experiences and suggest: Upfront capital costs are expensive. The boilers need a lot of fine tuning. Lots of training for operators is needed. Wood chip quality can be managed successfully by a Yukon supplier. Burwash Landing: District Heat System Boiler System

Future Usage of Biomass in Yukon Biomass Strategy commits Yukon government to: Work directly with First Nations to build capacity for biomass operations: training, project planning, and partnership development. Develop adequate regulations to ensure fuel security/quality and mitigate environmental or socioeconomic impacts to air quality and forests. Support the private sector (energy providers) in developing opportunities. Identify opportunities to install biomass systems in Yukon government buildings (2016/2017). Seeing the Forest for the Trees… Gunnar Nilsson-Mickey Lammers Research Forest

Thank You! Ryan Hennessey, Senior Energy Planner Energy Branch, Yukon government 867-393-7075 ryan.hennessey@gov.yk.ca