The global wood pellets market will reach US$ 9 billion from a current US$ 4 billion, in the next seven years.
The statement was made by Michele Rebiere (Viridis Energy Inc.) at the summit that preceded the International Biomass Conference, held March 24-27 in Orlando, US, as the Biomass Magazine BM reported.
Ms Rebiere, quoted by Biomass Magazine, added that by far the European pellet market is the largest in the world and expected to register the highest growth. The EU pellet consumption is forecast to increase from 20 million metric tons (mmt) in 2013, up to 28 mmt in 2015, and 42 mmt by 2020. In Europe, the rising demand is both covered by large power plants, but also a significant upsurge was recorded in the heating sector. For example, in Italy, where pellets are mostly used in heating, demand has doubled in one year.
The North American market is at a current 4 mmt, and forecast to be at 5 mmt in 2015. In this respect, Ms. Rebiere said: 'I think the forecasts in North America will increase substantially, as the interest in cofiring with coal is likely to increase'.
In Asia, the wood pellets market is projected to increase 7 times by 2020: from 1mmt in 2013, to 3 mmt in 2015, up to 7 mmt in 2020.
At the same meeting, Seth Ginther, executive director of the U.S. Industrial Pellet Association, offered estimates that range between 25 mmt to 70 mmt by 2020. “I think that 2013 was the year we’re beginning to see where the market is going to shake out. It’s going to be more like the 25 mmt level, but that still is going to be significant,” said Mr. Ginther, quoted by BM.