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Phytotechnology with Biomass Production
of RES min 1.3%, which will allow to go beyond EU commitment under the
Paris Climate Agreement to reduce GHG emissions by at least 40% by 2030,
compared to 1990 level (European Commission, 2019; RER 2030, 2019).
Germany is the largest producer of biomass which forms 23.6% of renewable electricity, and this share increased by 82.8% from 2008 to 2018 (Winkler
et al., 2020). Providing sustainably produced feedstock for a growing bioeconomy is an important contribution to increase decarbonization of the German
economy (Kiesel, 2020). In 2017 in the Czech Republic gross production of
electricity from renewable sources accounted for 11.1% of the total domestic
gross electricity production, and the share of renewable energy in primary
energy sources was approximately 10.5% in 2017 (Ministry of Industry and
Trade of the Czech Republic, 2018).
Perennial crops appear to be ideal for EU bioeconomy development;
however, their cultivation plays a minor role in EU agriculture, and only
about 43,800 ha of agricultural land were used for their production in 2015
(Cosentino et al., 2018). It may be explained by uncertainties about the economic viability and financial returns of these relatively novel crops, the
long-term allocation of agricultural land to their production, the high investment costs for initial establishment (Sherrington et al., 2008), and absent of
markets for biomass from perennial crops, in particular, from Miscanthus
(Lewandowski et al., 2016; Witzel & Finger, 2016).
However, since 2018, Miscanthus has been included in the so-called
“Greening” of the EU (Regulation (EU) 2017/2393), which might be advantageous for farmers to cultivate Miscanthus. In Central and Eastern Europe
Miscanthus has a potential for bioenergy and bioeconomy (Dubis et al., 2019;
Kvak et al., 2018; Tryboi, 2018). Biomass of this crop is becoming among important sources of energy in Ukraine (Roik et al., 2019) as country suffers from
lack of imported fossil fuels and looks for substitution sources (Geletukha,
2017). By 2035 the share of renewable energy in the Ukrainian energy balance
is expected to be 25%, with essential input of bioenergy plants. Two types of
energy crops are cultivated in Ukraine currently, fast-growing willow (79%)
and M. × giganteus (15%) (Geletukha et al., 2016).
The comprehensive literature review (Witzel & Finger, 2016) overviewed 51
scientific papers dealing with economics of Miscanthus cultivation to reveal
the factors influencing the adoption decision of farmers. The most crucial factors for the profitability of Miscanthus and adoption decision of the farmer
are diverse, including the following aspects: the expected lifespan, biomass
yields, prices, establishment and opportunity costs, and subsidization possibilities. The large uncertainty is concerning the key parameters: yields and
prices. Across 51 reviewed studies, mean yield assumptions ranged from 10
to 48 t dry biomass ha −1 while the assumptions concerning mean prices range
from €48 to €134/ton of dry mass. And absence of an established market for
biomass is mentioned as a major impediment leading to increased market
risks for Miscanthus feedstock.
Phytotechnology with Biomass Production
of RES min 1.3%, which will allow to go beyond EU commitment under the
Paris Climate Agreement to reduce GHG emissions by at least 40% by 2030,
compared to 1990 level (European Commission, 2019; RER 2030, 2019).
Germany is the largest producer of biomass which forms 23.6% of renewable electricity, and this share increased by 82.8% from 2008 to 2018 (Winkler
et al., 2020). Providing sustainably produced feedstock for a growing bioeconomy is an important contribution to increase decarbonization of the German
economy (Kiesel, 2020). In 2017 in the Czech Republic gross production of
electricity from renewable sources accounted for 11.1% of the total domestic
gross electricity production, and the share of renewable energy in primary
energy sources was approximately 10.5% in 2017 (Ministry of Industry and
Trade of the Czech Republic, 2018).
Perennial crops appear to be ideal for EU bioeconomy development;
however, their cultivation plays a minor role in EU agriculture, and only
about 43,800 ha of agricultural land were used for their production in 2015
(Cosentino et al., 2018). It may be explained by uncertainties about the economic viability and financial returns of these relatively novel crops, the
long-term allocation of agricultural land to their production, the high investment costs for initial establishment (Sherrington et al., 2008), and absent of
markets for biomass from perennial crops, in particular, from Miscanthus
(Lewandowski et al., 2016; Witzel & Finger, 2016).
However, since 2018, Miscanthus has been included in the so-called
“Greening” of the EU (Regulation (EU) 2017/2393), which might be advantageous for farmers to cultivate Miscanthus. In Central and Eastern Europe
Miscanthus has a potential for bioenergy and bioeconomy (Dubis et al., 2019;
Kvak et al., 2018; Tryboi, 2018). Biomass of this crop is becoming among important sources of energy in Ukraine (Roik et al., 2019) as country suffers from
lack of imported fossil fuels and looks for substitution sources (Geletukha,
2017). By 2035 the share of renewable energy in the Ukrainian energy balance
is expected to be 25%, with essential input of bioenergy plants. Two types of
energy crops are cultivated in Ukraine currently, fast-growing willow (79%)
and M. × giganteus (15%) (Geletukha et al., 2016).
The comprehensive literature review (Witzel & Finger, 2016) overviewed 51
scientific papers dealing with economics of Miscanthus cultivation to reveal
the factors influencing the adoption decision of farmers. The most crucial factors for the profitability of Miscanthus and adoption decision of the farmer
are diverse, including the following aspects: the expected lifespan, biomass
yields, prices, establishment and opportunity costs, and subsidization possibilities. The large uncertainty is concerning the key parameters: yields and
prices. Across 51 reviewed studies, mean yield assumptions ranged from 10
to 48 t dry biomass ha −1 while the assumptions concerning mean prices range
from €48 to €134/ton of dry mass. And absence of an established market for
biomass is mentioned as a major impediment leading to increased market
risks for Miscanthus feedstock.