Re-evaluation of Wood Energy Production Policies: Impacts on Transportation, Enviornment, Forest and Agricultural Sector

Project summary:

Recently conducted research on production of wood fiber on marginal agricultural lands has answered a number of questions, but has also raised several additional issues. Our industrial supporters also have pointed out the need for examination of questions surrounding the use of industrial wood residues in power generation. The use of industrial wood residue can have great significance in power plant siting decisions. Many forest industries are co-generating power, but are faced with excess supplies of wood residues. The emergence of increasing environmental restrictions on timber harvesting and the pending deregulation of the power industry are adding a new dimension and complexity to questions of powerplant siting and timber management investments. A re-examination of the power plant siting decision has potentially great ramifications for impacts on rural road from trucking traffic, transportation and wood production costs, environmental impacts of timber harvesting and investment opportunities for farmers in Minnesota. Better land use policies and decisions which can reduce the impacts on rural roads, and transportation costs and which can improve the environment and the income potential for farmers will be examined.