■ Energy Use

Climate change, and society’s response to it, is one of the most significant global environmental concerns we face today. In addition, energy independence is becoming a security priority globally. Buckeye is addressing both of these areas by increasing the use of renewable energy sources, which do not contribute to the build-up of greenhouse gases in the atmosphere, while focusing on reducing our overall energy consumption.

As greenhouse gases relate directly to climate change concerns, they are an important air emission parameter targeted by agencies for regulatory control. In fact, beginning in 2011, the U.S. Environmental Protection Agency (EPA) requires the annual reporting of greenhouse gas emissions and will begin to limit emissions of greenhouse gases when facilities install new emission sources or modify existing sources.

Fossil Fuels

Since 2006, Buckeye had reduced its fossil fuel consumption on a per tonne basis each year. According to the US Department of Energy, in 2006 the American pulp and paper industry sourced 38% of its direct energy needs from fossil fuel sources. Buckeye, in contrast, secures only 17% of our energy needs from fossil fuels.

Energy conservation continued to be a major focus for Buckeye in 2010.

The Energy Independence Project (announced in 2009) included extensive modernization of our Florida site’s #2 Recovery Boiler in 2010. A primary objective is to generate more steam from biomass fuel. With portions of the project completed in 2010, it exceeded our expectations, generating in excess of 74,000 #/hour of steam; this was 26% higher than the projected gain of 58,500 #/hour.

However, the contribution of this project to our fossil fuel reduction was offset by Buckeye’s decision to resume sales of tall oil, one of our bio-based by-products, to more lucrative industrial chemicals markets rather than burning it for energy in our lime kiln. As a result, we required additional natural gas to replace the fuel value of the tall oil. The net result is our fossil fuel usage increased in 2010.

With a second recovery boiler conversion scheduled for late 2011, our commitment to increasing our reliance on renewable fuels remains firmly in place. We are confident we will reach or exceed our long-term fossil fuel goal in accordance with the original time line.

Electricity

Buckeye continued its commitment to increase renewable electricity production with the installation of the fifth turbine generator at our site in Perry, Florida, in 2010. This 25 MW unit, which operates with biomass-based steam, is the centerpiece of our Energy Independence Project.

In September 2010, the #4 turbine at the Perry site experienced a catastrophic stator failure that required two months of repairs. This substantially increased our purchased power during that time, and impacted the overall electricity usage in 2010. This setback was behind us by early November, and purchased power usage has reduced to previous levels. With the additional power generation from the energy independence project, we expect no long-term impact and we believe that the 2015 goal will be achieved on schedule.

Biomass

Biomass is a renewable fuel and is considered carbon neutral (greenhouse gas neutral) because it is terrestrial carbon. Unlike the trapped carbon in fossil fuels, terrestrial carbon is in continuous exchange with living sources, such as forests.

In 2010, greenhouse gas neutral biomass provided 79% of Buckeye’s total energy needs. This represents a leadership position in the American pulp and paper industry, which supplies, on average, 65% of its energy needs from carbon neutral biomass (AF&PA study of member companies; 2010).

You can learn more about the forest biomass and the carbon cycle by viewing the following series of videos produced by NCASI (National Council of Air and Stream Improvement).

NCASI Biomass Part 1
NCASI Biomass Part 2
NCASI Biomass Part 3