Global Potential Market of Forest Biomass Wood Pellets

Abstract

The Industrial Revolution 4.0 and society 5.0 encourage disruption not only from technology and business models but also from climate change. The Growth of energy demand is one of the triggers for increasing greenhouse gas emissions. Proper management of forests and plantations can have a multiplier effect, namely conservation, protection of life support systems, and sources of biomass fuel. The International Trade Center shows that Vietnam and Indonesia are the main producers of the Southeast Asia region with an export value of US $ 309,220,000 and US $ 26,764,000 respectively in 2019. Meanwhile, Denmark is the world's largest importer with an import value of US $ 542,474. .000. South Korea is the largest importer in Asia with a value of US $ 362,283 in 2019. Lampung Province has a forest area with an area of 1,004,735 hectares of the 94.1 forested land area in Indonesia. Increasing the function of some forests in Lampung to become Energy Plantation Forests can increase the production of wood pellets. The growth of biomass wood pellet production will increase the export balance of Lampung Province. The political will of European Union countries, South Korea and Japan in increasing the use of wood pellets as a fuel for electricity generation is an export opportunity for wood pellets in Lampung Province. The global Wood Pellet market with a value of US $ 5324 million in 2020 is expected to reach US $ 8095.4 million by the end of 2026, growing at a CAGR (Compound Annual Growth Rate) of 6.1% during 20212026. Gorontalo Province, with a planted concession area of 15 thousand hectares, can produce wood pellets of 36 thousand tons/year. 20% percent of Lampung Forest is increased to THE potential to produce 40 thousand