Summary

• The use of wood for electricity generation and heat in modern (non-traditional) technologies has grown rapidly in recent years, and has the potential to continue to do so.
• The EU has been, and remains, the main global source of demand, as a result of its targets for renewable energy. This demand is largely met by its own forest resources and supplemented by imports from the US, Canada and Russia.
• Countries outside the EU, including the US, China, Japan and South Korea, have the potential to increase the use of biomass (including agricultural residues as well as wood), but so far this has not taken place at scale, partly because of the falling costs of competing renewables such as solar PV and wind. However, the role of biomass as a system balancer, and its supposed ability, in combination with carbon capture and storage technology, to generate negative emissions, seem likely to keep it in contention in the future.
• Although most renewable energy policy frameworks treat biomass as though it is carbon-neutral at the point of combustion, in reality this cannot be assumed, as biomass emits more carbon per unit of energy than most fossil fuels. Only residues that would otherwise have been burnt as waste or would have been left in the forest and decayed rapidly can be considered to be carbon-neutral over the short to medium term.
• One reason for the perception of biomass as carbon-neutral is the fact that, under IPCC greenhouse gas accounting rules, its associated emissions are recorded in the land use rather than the energy sector. However, the different ways in which land use emissions are accounted for means that a proportion of the emissions from biomass may never be accounted for.
• In principle, sustainability criteria can ensure that only biomass with the lowest impact on the climate are used; the current criteria in use in some EU member states and under development in the EU, however, do not achieve this as they do not account for changes in forest carbon stock.

Also see Woody Biomass for Power and Heat: Impacts on the Global Climate, which assesses the impact of the use of biomass for energy on greenhouse gas emissions, how these are accounted for under international climate accounting rules, and analyses the sustainability criteria currently in use and under development to minimise negative impacts.

This transatlantic dialogue will bring together a number of stakeholders, focused on options for reducing deforestation in agricultural supply chains. Key questions will be asked such as: What are the current and projected patterns of supply and demand for key commodities, and their impacts on forests? Who are the key producers and what is their relative impact on forests? How are these patterns likely to change in the future? What are the key points of leverage in these supply chains? What is the scope of potential action by the US, the EU, and its member states?

The current status and future trends in the global production and trade in major agricultural commodities will also be examined, along with the key leverage points for influence. Global forest footprint of major agricultural commodities and deforestation hotspots will be discussed and key drivers of deforestation will be examined. Finally, the potential roles of government in reducing commodity-driven deforestation will be analysed to gain a better understanding of the potential for state action in the EU and the US contexts.

Attendance at this event is by invitation only.

While there is much anecdotal information about the impact of mining on forests, no comprehensive review of minerals as a forest risk commodity has yet been undertaken. Indications are that mining activities are an important driver of deforestation in many countries, and that the impact of mineral extraction on forest resources is likely to increase with growing global demand for minerals. 

This event will discuss the state of knowledge on the impact of mining on forests, identify the available policy tools aimed at supporting sustainable supply chains, and determine the data needs to facilitate improved monitoring, control and regulation of the sector. 

Attendance at this event is by invitation only.

Summary

• Procurement policy has been used effectively to exclude illegal and unsustainable timber from consumer-country markets.
• As the public sector is a major purchaser of food and catering services for schools, nurseries, hospitals, care homes, canteens, prisons and the military, public procurement policies in this area clearly have the potential to promote the uptake of sustainable products not associated with deforestation.
• Many public authorities, particularly at local and regional level, already have a procurement policy for food; in principle, criteria for sustainable production could be incorporated relatively easily.
• Some products – particularly palm oil, cocoa, coffee and tea – are better suited than others to this approach; for all these products, voluntary certification initiatives currently under way could provide identification mechanisms on which procurement policies could rest.
• Other commodities may not be as suited to procurement policy, and it may be more effective to use other regulations; this applies particularly to soy, for which biofuel regulations are likely to have a bigger impact.
• In cases in which private-sector initiatives are under way to achieve 100 per cent sustainable imports (such a target has been set for palm oil in several countries), procurement policy may be unnecessary. In other cases, the adoption of a new procurement policy could serve as the spur to a private-sector initiative. 

• Clearance of forests for agriculture is a major cause of deforestation worldwide; the three most significant commodities in this regard are palm oil, soy and beef, which between them accounted for an estimated 76 per cent of the deforestation associated with agriculture in 1990–2008. International markets are an important driver of demand, particularly for palm oil and soy.
• Global production of palm oil has grown strongly for several decades, more than doubling over the period 2000–13. Indonesia and Malaysia between them account for more than 80 per cent of palm oil production, and are likely to continue to dominate world exports. The European Union (EU), India and China are the main consumers, importing almost 60 per cent of the market; EU demand is driven significantly by biofuel policy, while India and China use palm oil mainly as a cooking oil and in processed foods.
• Global production of soybeans has roughly doubled since 2000, and the expansion of output has been particularly rapid in South America; Brazil and Argentina accounted for almost 50 per cent of global production in 2013. Overwhelmingly the main importer is China (which took 43 per cent of all soy imports in 2014), mainly for animal feed for its growing meat industry. The EU is the second largest importer, using soy for animal feed and biofuel.
• In contrast, consumption and production of beef has grown only slowly. Major producers are the US, Brazil, the EU and China; principal exporters are Brazil, India, Australia and the US. The US and the EU are still major consumers, although – as in most developed countries – consumption is falling slightly; other significant consumers include Brazil, India, Pakistan and China. Russia and Japan are also significant importers.
• Three main factors underlie the growth in both consumption and production of palm oil and soy: population growth; changing dietary preferences; and policy support for biofuels. The first two are just as relevant to beef. Continued growth in world population and the expansion of the global middle class, with accompanying higher consumption levels of processed food and meat, will continue to drive demand upwards – strongly for palm oil and soy, more weakly for beef. Given the difficulty of increasing yields, particularly in developing countries, the further expansion of agricultural land into forest areas is inevitable. None the less, three other factors may restrict this growth: the private-sector commitments and government policies that are being developed with the aim of decoupling agricultural production from deforestation; a loss of support for biofuels, most notably in the EU; and health concerns, particularly over the consumption of palm oil and beef.