The business of biomass

Biomass is derived from different plant-based organic materials. That includes so-called energy crops such as oil palms, soya or sugarcane as well as plant, household and industrial waste. Biomass can used in a variety of ways – for heating purposes, to generate electricity or to produce biofuels for vehicles and even airplanes.

The use of biomass energy has the potential to greatly reduce greenhouse gas emissions. Burning biomass releases about the same amount of carbon dioxide as burning fossil fuels. However, fossil fuels release carbon dioxide captured by photosynthesis millions of years ago - an essentially "new" greenhouse gas. Biomass, on the other hand, releases carbon dioxide that is largely balanced by the carbon dioxide captured in its own growth. Energy from biomass can also be stored for long periods and used when needed.

However, there are several downsides too. Biomass isn’t an inexhaustible energy source as opposed to the sun or wind. Fertile land needed to grow bioenergy crops is in limited supply worldwide. Energy crops often compete with food crops for land, they can devastate valuable natural habitats such as rainforests and marshland and can lead to huge monoculture plantations of oil palms, soya or sugar cane.