Perspectives on Business and Economics.Vol41

58 PERSPECTIVES ON BUSINESS AND ECONOMICS | VOL 41 | 2023 million tons of CO2e, to be achieved by 2030. The Danish Energy Agency projected Denmark would meet only approximately half of that remaining reduction goal by 2030, corresponding to a predicted 11.8-million-ton gap of CO2e (Danish Council on Climate Change, 2020). However, this does not mean the nation’s measures have been unsuccessful, as the country’s emissions are projected to decrease by a total of 11.7 million tons of CO2e by 2030 (Danish Energy Agency, 2021). This decrease represents major progress, for Denmark will have made huge steps in replacing coal, oil, and natural gas with more sustainable forms of energy, such as wind and bioenergy. As Denmark continues to ramp up capacity for renewable energy production, the nation’s carbon emissions will begin to approach its goal of carbon neutrality by 2050. For this projected emission decrease to occur, Denmark’s energy landscape will have to undergo further significant changes. While total energy consumed is only estimated to increase by 5 to 10 PJ, electricity demand is projected to increase by 50 to 60 PJ. Considering total electricity consumption in 2020 was around 112 PJ, this represents a nearly 50% growth in electricity consumption (Danish Energy Agency, 2020a). Concerns regarding the sustainability of Denmark’s high levels of bioenergy production may be exacerbated by an increased demand for electricity. Denmark will require higher levels of electricity production primarily from biomass combustion and wind turbines by 2030. Additionally, there will be a requirement to expand biogas production for use in transportation and manufacturing. The viability of biomass As the demand for renewable electricity production increases with the greater electrification of Danish society, biomass is expected to continue playing a crucial role in meeting that demand. Unlike solar or wind power, biomass energy cannot be considered inherently carbon neutral since the carbon emissions associated with the production, transportation, and combustion of biomass must be taken into account (Danish Council on Climate Change, 2018). International climate and accounting regulations consider biomass carbon neutral if significant sustainability measures are met. The vast majority of biomass comes from forest-based wood products. During the growth phase, the tree absorbs carbon from the atmosphere. For the process to be considered carbon neutral, the total absorbed carbon must be greater than what is released through production, transportation, and combustion. Sustainable forestry includes both selective logging and replanting in order to maintain the carbon stock of the forest and protect its integrity over time. Biomass products can be either locally sourced or imported. During the process of transporting the physical products, CO2e particles are emitted especially in cases of longer transit times and distances. The final phase includes the combustion of the biomass in large incineration facilities, where it is converted to electricity. This process also releases carbon into the atmosphere. Denmark’s reliance on biomass combustion as the source of 70% of its renewable energy consumption in 2020 brings forth potential sustainability issues corresponding to utilization of biomass going forward (Danish Council on Climate Change, 2018). How sustainable is biomass? The carbon neutrality of biomass has been argued by scientists and academics for some time, but the consensus opinion is that the process is at least near carbon neutral. Some studies show negative carbon emissions; however, in most cases the biomass life cycle has been shown to produce slightly positive emissions. This means that on average the carbon released through combustion is slightly greater than the carbon absorbed through replanting (Evans et al., 2010). The aggregate findings of seven individual studies from 1998 to 2007 demonstrate the average carbon emission from biomass energy is 62.5 g CO2e/kWh, with the highest being 132 g CO2e/kWh. This highend figure of 132 g CO2e/kWh is less than one-third the emission of natural gas and one-fifth the emission of coal combustion. These findings include the entire process, from cultivation to transportation to final combustion. Thus, there is evidence that the replacement of fossil fuels with biomass could see a minimum reduction in emissions of 74% and a maximum reduction of 98% (Evans et al., 2010). Although the emissions-related data for biomass seem promising, some experts remain concerned over the potential land and water use associated with high demand for biomass. There are significant amounts of water required during the cultivation, harvesting, transportation, and processing of biomass. Additionally, biomass growing competes directly with other agricultural activities for land space. Experts have concluded that replacing valuable agricultural land with biomass production is inherently unsustainable, so further biomass production will require growing crops used for bioenergy on previously uncultivated land (Evans et al., 2010). This solution mitigates some potential issues with regard to the overall sustainability of biomass energy production.

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