USDA grants record amount to biomass thermal projects

Yesterday, the USDA Forest Service announced $80 million in investments to "spur wood products manufacturing, expand active forest management, and accelerate energy innovation across America’s timber-producing communities."  

This year, there are a record number of thermal biomass projects, ranging from support for existing and new small wood pellet plants making pellets for domestic heating, expansion of firewood businesses, larger biomass thermal heating plants, etc.  Of the $80 million, at least $12 million went to more than 30 projects in 19 states that involved thermal biomass applications.  In addition, quite a few projects include biomass to electricity.

"Firewood, pellets and wood chips - these are domestic renewable energy sources that America needs for heating our homes, institutions and businesses," said John Ackerly, President of the Alliance for Green Heat. "They help take strain off of our electric grids, they are affordable for rural communities and sustainable."

The Alliance for Green Heat was not eligible for funding for firewood bank assistance through this grant process but has been advocating for an extension of the funding established through a Congressional earmark.

The program was founded in 2015, under President Obama, in part to mitigate the impacts of climate change, as wildfires began to increase.  It also sought to assist using low grade wood as an energy source. Overall, it has supported the forestry industry in many ways, but from its founding in 2015 until 2021, the budget was relatively small, around $8 million. As of 2022, as wildfire risks became even greater, and with funding from the Bipartisan Infrastructure Law, funding began to climb rapidly and reached $74 million last year. 

The $80 million announced yesterday includes grants under three programs:

• The Wood Innovations Grant Program supports projects that expand the use of wood products, including firewood and pellets
• The Community Wood Grant Program helps fund ready-to-go, local projects that use wood for heat and energy.
• The Wood Products Infrastructure Assistance Program funds facilities that purchase and process byproducts from forest restoration projects from federal or tribal lands.

The following grants included thermal biomass applications.

Alaska

• Alaska Energy Authority, $184,651: Advance multiple wood energy projects in interior Alaska that will increase markets for low-value wood and enhance active forest management activities.
• Alaska Energy Authority, $836,723: The project will re-design and construct a woodchip fired combined heat and power (CHP) system at the Tok School. maintaining a markets for biomass resources being consumed by the plant.
• DnA Timberworks, LLC, $85,200: Install a firewood processor to expand markets for small diameter timber while supporting active forest management and wildfire risk reduction in Alaska.

Arizona

• White Mountain Lumber, LLC, $127,508: Establish firewood processing capabilities to support active forest management on nearby National Forests in Arizona.

California 

• American Wood Fibers, Inc, $300,000: Install wood pellet mill to increase low-value wood utilization while supporting active forest management in California.
• Falk Forestry, Inc, $299,664: Establish sawmill and firewood production to increase timber utilization and active forest management in northern California.
• California Hotwood, Inc, $232,000: Upgrades to firewood processing capacity to support reduced wildfire risk and active forest management on National Forests in California.

Colorado

• All Seasons Farm, LLC, $194,500: Increase firewood manufacturing capacity to expand the utilization of low value species and byproducts from active management and reduce wildfire risk on National Forests in southern Colorado.

Idaho

• Northwest Biomass, $172,318: Improve wood processing capacity to increase utilization of forest residues and support active forest management in Idaho.
• Ambient Green, LLC, $386,364: Expanding firewood processing capacity to support markets forest small diameter and low value species, while reducing wildfire risk and aiding in active forest management on National Forests in Idaho.
• Jantz Logging, LLC, $109,901: Establish firewood processing operation to expand markets for small diameter and low value species and support reducing wildfire risk and active forest management on National Forests in Idaho.
• Todd Niehoff, $317,200: Upgrades to firewood processing operation to expand markets for small diameter and salvage timber while reducing wildfire risk and supporting active management on National Forests in Idaho.

Maryland 

• Garrett County Board of Commissioners, $150,000: Design a biomass thermal energy system to expand markets for low value timber and support active forest management in Maryland.
• State of Maryland Department of Natural Resources, $300,000:  Expand statewide biomass energy development in Maryland to increase markets for low-value wood while enhancing active forest management activities.

Massachusetts 

• Slaves of the Immaculate Heart of Mary St. Benedict Center, Inc, $300,000 : Install district wood energy system to expand markets for low value forest biomass thereby supporting active forest management.

Michigan

• Northern Michigan University, $114,553:  Engineering plan to restart biomass energy system at a Michigan university   resulting in increased markets for low-value wood and support for active forest management.

Montana

• California Hotwood, Inc, $129,400: Improve residue processing equipment to increase firewood production from low value and small diameter forest byproducts in support of active forest management and reduced wildfire risk across National Forests in Montana and Idaho.
• Kanduch Logging, Inc, $258,780: Improve firewood production capacity to expand markets for small diameter forest byproducts and low value species to support active forest management and reduced wildfire risk across Montana's National Forests.

New Hampshire 

• PK Wood Pellet, LLC, $300,000: Install new pellet mill at a former sawmill site to expand markets for low-value wood while supporting active forest management in the northeast U.S..

New Mexico

• Junction Commodities, LLP, $1,000,000: Facility upgrades to produce wood pellets from small diameter material, wood manufacturing byproducts, and low value species, while supporting reduced wildfire risk and active forest management on National Forests and tribal forestlands in New Mexico.

New York

• Fitzpatrick & Weller, Inc, $800,085: Install wood energy emissions control equipment at two wood manufacturing facilities to support rural job retention while maintaining active forest management activities in New York.

Oregon

• JB Wood Recyclers, $1,000,000: Convert wood drying kilns from natural gas to wood biomass combustion supporting active forest management and low-value biomass utilization.
• Top Hat Mushrooms, Inc, $869,172: Design and install a biomass boiler to utilize residual wood  waste and local forest biomass which will support low-value wood markets and active forest management.

South Dakota

• Forest Products Distributors, Inc, $1,000,000: Increased wood pellet manufacturing capacity to increase utilization of forest byproducts, support active forest management, and reduced wildfire risk across the Black Hills National Forest and National Forests in Wyoming and Colorado.

Utah

• Maynes Equipment Repair, $374,605: Expansion of firewood processing operations to increase utilization of small diameter and low value timber and support wildfire risk reduction and active forest management on National Forests in Utah.

Vermont

• Department of Forests Parks & Recreation Vermont, $299,793: Advance multiple wood energy projects in Vermont to increase markets for low-value wood and enhance active forest management activities.
• PK Wood Pellet, $1,000,000: Purchase and install a wood boiler system a new pellet plant in Vermont supporting markets for low-value wood and active forest management in the region.

Washington

• Northwest Sawmill, LLC, $150,000: Expand wood residue processing and drying capabilities to increase biomass utilization while supporting rural jobs and active forest management in Washington.

Wisconsin

• Hack-Away Forest Products, Inc, $300,000: Expand firewood production capabilities and support active forest management in Wisconsin by increasing markets for low-value timber.

Tribal Proposals

• Washoe Tribe of Nevada and California, $368,020: Increase firewood production capacity to expand markets for small diameter and low value timber and support reduced wildfire risk and active forest management on National Forests and other federal forest land in Nevada and California.