Presentacin de PowerPoint

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Side event _at_ CoP 11 Montréal, December 6th
2005 THE SUSTAINABLE FOREST PRODUCTS INDUSTRY,
CARBON AND CLIMATE CHANGE KEY MESSAGES FOR
POLICY-MAKERS
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Sponsoring Organisations

• WBCSD, the World Business Council for
  Sustainable Development, a coalition of 180
  global companies, including forestry and forest
  products, united by a shared commitment to
  sustainable development.
• NCASI, the National Council of Air Stream
  Improvement, an independent, non-profit research
  institute that focuses on environmental topics of
  interest to the forest products industry.
• ICFPA, the International Council of Forest
  and Paper Associations, is comprised of trade
  associations in 43 countries representing
  industries accounting for more than 90 of the
  worlds paper and more than 50 of the worlds
  wood production.

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Agenda today - Objectives

• 1. Launch the new WBCSD publication
• The Sustainable Forest Products Industry, Carbon
  and Climate Change Key Messages for
  Policy-Makers
• Advocacy tool to improve policy maker
  understanding of our current and potential future
  contribution to acheiving global climate goals
• 2. Discuss and refine our Key Messages with the
  experts panel and workshop participants
• Policy makers, researchers, business, NGOs,
  think tanks, media
• 3. Broaden  climate  stakeholder understanding
  of the Sustainable Forest Products Industry
• ICFPA/WBCSD side event on Wed 7 December, 1800
  2000 (6.00 8.00 PM) in the Banquet Room, Hotel
  Places dArmes Forest Products Industry
  Climate Action

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Agenda today - Format

• Moderator James Griffiths, Director, WBCSD
• Key note presenter (25 minutes)
• Robert Prolman, Director International
  Environment Affairs, Weyerhaeuser Company
• Respondents panel of experts (10 minutes each)
• Policy Maker Brian Emmett, Assistant Deputy
  Minister, Natural Resources Canada
• Environmental NGO Jeff Fielder, Climate Policy
  Specialist, National Resources Defense Council
• Technical Researcher Reid Miner, Vice President,
  NCASI
• Company Executive Karen Risse, Environmental
  Business Services Manager, International Paper
• Moderated Questions Answers from the floor
• Summary Comments

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Respondents panel

• Respondents panel of experts (10 minutes each)
• Policy Maker Brian Emmett, Assistant Deputy
  Minister, Natural Resources Canada
• Environmental NGO Jeff Fielder, Climate Policy
  Specialist, National Resources Defense Council
• Technical Researcher Reid Miner, Vice President,
  NCASI
• Company Executive Karen Risse, Environmental
  Business Services Manager, International Paper
• Two questions
• Respond to our key messages.
• Pose their own key messages.

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Climate Change Challenges and Opportunities

• The connections between our industry and the
  global carbon cycle are complex
• Hastily enacted climate change policies can have
  unintended consequences on our future and
  greenhouse gas emissions
• Policies that reflect the interrelationships
  between renewable forests, biomass energy and the
  inherent role that forest products play in
  reducing and avoiding greenhouse gas emissions
  can contribute to progress in addressing the
  global challenge of climate change.

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The Sustainable Forest Products Industry

• Responsible Managers of Carbon
• We use forest resources sustainably and
  efficiently.
• We supply products that store carbon, require
  lower energy inputs during their life cycle than
  most alternative non-wood products, and are
  highly recyclable.
• We are energy intensive, but meet most of our
  energy needs with carbon-neutral biomass fuels.
• We have made substantial progress over the past
  several years, from a carbon point of view, but
  we have a number of challenges.
• There are policies that can create even more
  progress, if crafted to reflect the
  interrelationships that exist between our
  industry and the global carbon cycle.

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Responsible Managers of Carbon

• Sustainably managed forests are a renewable
  natural resource
• Optimum forest management practices will be those
  that ensure continued carbon sequestration in the
  forest, provide wood fiber for biomass-based
  products and carbon-neutral biomass fuels, and
  protect the ecological values of the forest in a
  balanced way.

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The forest industry is highly resource efficient

• Essentially all of the material removed from the
  forest is used either in products or as biomass
  fuel in the forest products industry.
• In many industrialized countries over one-half of
  the paper is recovered for recycling, allowing
  forest fiber to serve repeated uses.

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Forest products

• Can usually be recycled, providing eco-efficient
  use of the forest resource
• In the end of their life cycle, can be used as
  biomass fuels displacing fossil fuels.
• In use, provide a climate benefit as compared to
  products that are more energy and carbon
  intensive.

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Forest products store carbon while in use and
then slowly return it to the atmoshpere

• Measured against common alternative building
  materials, wood-based structures of comparable
  thermal performance use less energy and have
  fewer CO2 emissions.
• Wood building materials require less energy to
  manufacture.

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Wood product manufacturing carbon characteristics

• Uses little or no fossil fuel compared to pulp,
  paper making.
• Has the potential for playing an important role
  as nodes in an expanded biomass infrastructure
  aimed at supplying increased amounts of biomass
  fuels to industry and society, because of their
  dispersed locations
• Uses purchased electricity, making it vulnerable
  to increased electricity costs, and depending on
  the source of the power, an indirect contributor
  to greenhouse gas emissions
• Relies on fossil fuel-based transportation of raw
  materials and products.

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Pulp and paper manufacturing carbon
characteristics

• That uses virgin fibre usually derives a
  significant amount of its energy from biomass
• Has steadily improved its energy efficiency over
  time
• Uses large amounts of steam, which have allowed
  pulp and paper mills to be a leading user of
  highly efficient combined heat and power (CHP)
  technology

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Forest Industry CHP Advantage

• Compared to conventional electrical power
  generation systems, combined heat and power
  systems produce twice as much usable energy from
  the same amount of fuel.

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The Forest Products Industry is energy intensive,
but...
Biomass fuels provide most of the energy to
produce our products

• In developed countries, on average, the forest
  products sector obtains more than half its energy
  from biomass.
• The forest products industry derives a greater
  fraction of its energy requirements from biomass
  than any other industry.

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Energy efficiency and technology

• Have allowed pulp and paper producers to improve
  their ability to use biomass for fuel and reduce
  their use of of fossil fuels.
• But, we have the potential and the need to make a
  greater contribution over time.

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But challenges remain for the industry

• Direct greenhouse gas (GHG) emissions from fossil
  fuel combustion in the forest-based industries
  are approximately 264 million tons of CO2 per
  year, which is about one percent of global GHG
  emissions. Indirect emissions from purchased
  power are estimated to be 130 to 180 million tons
  of CO2 per year.

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Challenges for the industry

• The forest products industry is capital
  intensive, making it difficult and expensive to
  change technology to accommodate near-term policy
  actions.
• The best way for the forest products industry to
  reduce emissions is through technological
  innovation and accelerated capital stock
  turnover. However, the industry is capital
  intensive, with very long-lived capital equipment
  (the typical predicted lifetime for a power
  plant, chemical pulp mill or paper production
  line is 25 years ).
• Climate change-related policies like taxation,
  licensing opportunities and procedures and
  emissions pricing and trading all affect our
  competitiveness.
• The shape of future policies will determine
  whether the affect is positive or negative, and
  whether we capture the climate benefits of
  forests and forest products.

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Challenges for the industry

• Dangers of increasing carbon storage in forests
  via harvesting prohibitions
• Reduce the availability of wood fiber for the
  forest value chain and for biomass fuels
• Increase the risk of loss of stored carbon via
  fire or infestation
• Increase the costs of forest products, causing
  them to lose market share to competing products
  that do not store carbon and are more energy and
  carbon intensive.

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Challenges for the industry

• Risks of attempting to expand the use of biomass
  fuels without ensuring commensurate increases in
  virgin and recovered fiber supplies could create
  competition for wood fibre, and
• Reduce the availability and increasing the cost
  of wood fiber for manufacturers of forest
  products.
• Result in the loss of market share to non-wood
  based products that may be more energy and carbon
  intensive.
• Threaten the viability of forest product
  manufacturing facilities that provide more
  economic sustainability benefits than operations
  that merely burn fiber for energy.

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Other policy considerations

• Active forest management practices, such as
  competition control, fertilization, thinning and
  prescribed fire, that can enhance forest carbon
  sequestration.
• The role of forests in supplying raw material for
  biomass-based products and biomass fuels that
  displace fossil fuels.
• The very long investment horizons and uncertain
  economic returns on investments in improved
  forest productivity.
• Both the industrys varied manufacturing
  facilities, and the long value chain and high
  recycling rates.

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Our Carbon Opportunities

• Because the forest products industry, while
  energy intensive, is biomass-based, there are
  significant opportunities to leverage
  breakthrough technologies. Examples include
• Development of forest-based bio-refineries to
  convert forest biomass into gaseous and liquid
  fuels and other commercial products.
• Significant breakthroughs in the most
  energy-intensive areas of forest product
  manufacturing i.e., mechanical and chemical
  pulping, pulp and paper drying and chemical
  recovery.

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Our Carbon Opportunities

• The industry can become more energy efficient and
  increase its use of biomass for energy.
• The European pulp and paper industry has
  volunteered for a 2010 goal of achieving on
  average a 25 increase in biomass share of
  on-site biomass primary energy consumption for
  heat and power and an increase in biomass share
  of total on-site primary energy consumption from
  49 to 56.
• The American Forest and Paper Association has
  taken on a goal of reducing the greenhouse gas
  intensity (i.e., a reduction in greenhouse gas
  emissions per ton of production) of its
  membership by 12 by 2012.

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Our Carbon Opportunities, Continued

• Canadas pulp and paper sector cut greenhouse gas
  emissions by 22 during the 1990-2000 period
  while expanding output by a similar magnitude. In
  November 2003 it became the first industry in
  Canada to sign a Memorandum of Understanding with
  the federal government committing to further
  emissions reductions in the 2008-2012 period as
  part of Canadas plan for reaching its targets
  under the Kyoto Protocol.
• The Japan Paper Association has targeted a 13
  reduction in energy intensity and a 10 reduction
  in CO2 emissions intensity by 2010, compared to
  1990 levels.

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Our Policy Recommendations

• The forest products industry supports the ongoing
  recognition of biomass as a low-impact, renewable
  and CO2 neutral energy source. The many benefits
  of biomass-based products and fuels can only be
  realized if public policies promote the
  development of adequate supplies of wood and
  recovered fiber
• The use of biomass as a carbon neutral energy
  source must be balanced against the economic,
  social and environmental benefits of using this
  resource within the forest products value chain
• Incentives for the development and deployment of
  biomass-based technologies (such as biomass
  gasification) are needed to make our industry
  energy self-sufficient and potentially a net
  supplier of renewable energy
• Government policies can help reduce the cost of
  capital through lower interest rates, tax
  incentives and accelerated depreciation

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Our Policy Recommendations, Continued

• The many benefits of combined heat and power
  production are well known throughout the forest
  products industry, therefore regulatory barriers
  that discourage facilities from maximizing
  combined heat and power potential should be
  removed
• Additional forestbased carbon sequestration
  should be carefully considered to avoid
  unintended consequences, such as the withdrawal
  of productive forests from the forest products
  value chain, or artificial pricing of limited
  forest resources
• The carbon removed from the atmosphere and
  sequestered in forest products throughout their
  useful lives should be more fully recognized, as
  should the carbon and energy attributes of forest
  products compared to competing products.

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Summary

• The Sustainable Forest Products Industry is a
  Responsible Manager of Carbon
• Sustainable managed forests are a renewable
  natural resourse
• We are energy intensive, meet most of our needs
  with carbon neutral biomass fuels and are
  increasing biomass fuel energy efficiency
• We are highly resource efficient forest fiber
  for products and fuel
• Our products store carbon
• Our products are high recylable and forest fibre
  can be repeatable reused - as products or energy
• We are part of the solution to climate change
• Avoid unintended policy impacts that limit our
  ability to contribute to the worlds climate
  goals

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Respondents panel

• Respondents panel of experts (10 minutes each)
• Policy Maker Brian Emmett, Assistant Deputy
  Minister, Natural Resources Canada
• Environmental NGO Jeff Fielder, Climate Policy
  Specialist, National Resources Defense Council
• Technical Researcher Reid Miner, Vice President,
  NCASI
• Company Executive Karen Risse, Environmental
  Business Services Manager, International Paper
• Two questions
• Respond to our key messages.
• Pose their own key messages.

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Questions Answers   www.wbcsd.org
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Summary

• The Sustainable Forest Products Industry is a
  Responsible Manager of Carbon
• Sustainable managed forests are a renewable
  natural resourse
• We are energy intensive, meet most of our needs
  with carbon neutral biomass fuels and are
  increasing biomass fuel energy efficiency
• We are highly resource efficient forest fiber
  for products and fuel
• Our products store carbon
• Our products are high recylable and forest fibre
  can be repeatable reused - as products or energy
• We are part of the solution to climate change
• Avoid unintended policy impacts that limit our
  ability to contribute to the worlds climate
  goals