Energy, fuels, and chemicals 3233 



Table 26-16. — Energy used by the pulp and paper sector by geographical area^ 

 Geographic area Energy used 



lO'^ Btu's Percent 



South 1 ,325 62 



North 474 22 



Rocky Mountain 43 2 



Pacific Coast 302 14 



Total 2,154 100 



Data from U.S. Department of Agriculture, Forest Service (1976). 



oil and natural gas for use elsewhere as a fuel or petrochemical feedstock. 

 Because of its proximity to vast amounts of virtually unused pine-site hard- 

 woods, the forest products industry in the South has a better opportunity than 

 anywhere else in the country to convert to wood fuel. 



The industry already has experience in handling such bulky wood materials. 

 However, certain problems will have to be addressed, mainly storing and han- 

 dling the large volume of wood fuel that will be required to replace fossil fuels. 

 Wood-fueled furnaces are less convenient and have more emissions than those 

 operating on oil and natural gas. Finally, the use of pine-site hardwood chips as a 

 fuel may have to compete with their use for higher- value products. 



26-10 ECONOMICS 



As a replacement for natural gas (at $3.00 per million Btu) to generate steam, 

 pine-site hardwoods have a fuel value of about $23/green ton and when used to 

 replace oil, the value is nearly $36 (table 26-17). In other words, 1 green ton of 

 pine-site hardwoods can be used to generate the same amount of steam as $23 

 worth of natural gas. If the wood costs less than $23, there is then a savings in 

 fuel cost. The replacement fuel value for the pine-site hardwoods will, of course, 

 continue to rise with the cost of oil and natural gas. For example, decontrol of 

 gas prices will tend to move the heat value of wood fuel toward $40/green ton. 



Table 26-17. — Fossil fuel cost for steam production and fuel replacement value 

 for pine-site hardwoods^ 



Natural 

 Statistic Oil gas 



Fuel cost, $/MM Btu^ 5.00 3.00 



Furnace efficiency, percent 80 76 



Steam cost, $/MM Btu 6.25 3.95 



Fuel replacement value for pine-site hardwoods, 



$/green ton^ 35.75 22.58 



'Does not include handling, storage, maintenance, amortization, or other costs. 

 ^Representative values for natural gas and oil. 



^Following assumed: 42 percent moisture content, higher heating value 7,827 Btu/lb, 63 percent 

 furnace efficiency. 



