Assessing Feedstock Availability and Economic Feasibility of Utilizing Forest Biomass for Biochar Production in Stationary and Portable Systems in Michigan

The accumulation of small-diameter and low-value trees and logging residues can negatively impact forest health by increasing the risks of pests, diseases, and wildfires. Biochar production presents a potential solution by creating markets for these underutilized resources. However, there is limited information on market dynamics and the influence of subregional conditions on the use of forest biomass for biochar. The study identified potential locations for biochar production and developed procurement zones using delivered wood prices to evaluate biomass availability and biochar application. The minimum selling prices (MSP) for biochar were calculated for local applications to assess the cost savings. Under a baseline scenario with an average delivered biomass price of $23.25 per green ton, stationary facilities produced 71% more biochar than the estimated requirements in the Upper Peninsula (UP) but only 10% more in the Lower Peninsula (LP). Portable units, however, produced less biochar than the required application in both regions, with deficits of 4% in the UP and 50% in the LP. While stationary facilities are more cost-effective and scalable, portable units can procure more biomass and offer greater opportunities for land application of biochar. Despite a lower MSP for stationary facilities, portable units could provide a more economical option by reducing investment costs and risks. The study recommends establishing portable units in the UP and stationary facilities in the LP to optimize forest biomass procurement and biochar production in Michigan. This analysis contributes to understanding resource availability and the potential utilization of forest biomass for biochar in Michigan.