WASHINGTON, DC – The National Alliance of Forest Owners (NAFO) today praised the U.S. Environmental Protection Agency (EPA) for its efforts to include forest biomass as a source of transportation fuels in its final rule implementing the Federal Renewable Fuels Standard (RFS), and called upon Congress to fix the flawed definition in the Standard excluding most renewable forest biomass from the program.

David P. Tenny, President and CEO of NAFO, said, “The EPA has taken positive steps to enable forest owners to participate in the renewable transportation fuel market.  Unfortunately, the agency’s hands are tied under a statutory definition of biomass disqualifying as much as 90% of our nation’s private forests from contributing.  This policy forfeits the carbon benefits of transportation fuels made from renewable forest biomass, which reduce carbon emissions by over ninety percent compared to gasoline.”

Sustainable working forests are a primary tool to reduce GHG emissions, as recognized by the United Nations’ Intergovernmental Panel on Climate Change (IPCC).  The IPCC states, “In the long term, a sustainable forest management strategy aimed at maintaining or increasing forest stocks, while producing an annual sustained yield of timber, fiber or energy from the forest, will generate the greatest mitigation benefit.”

NAFO urged Congress to adopt a more inclusive definition of renewable forest biomass, such as that appearing in the House passed American Clean Energy and Security Act of 2009 in place of the overly narrow approach taken in the Energy Independence and Security Act of 2007, which established the RFS.  There are presently at least four different definitions of qualifying forest biomass in federal statute, adding complexity, confusion and cost to implementing federal policy and reducing the resulting environmental benefits, including benefits to forests from new investment in quality forest management.

Tenny stressed, “By excluding private forests as a part of our nation’s renewable energy strategy, the EISA  biomass  definition forecloses a critical part of the solution to reducing our dependence on foreign, high carbon sources of fuel.  That hurts the quality of our air, the energy independence of our nation and the ability of forest owners to invest in long term health of their forests.”

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NAFO is an organization of private forest owners committed to advancing federal policies that promote the economic and environmental values of privately-owned forests at the national level. NAFO membership encompasses more than 75 million acres of private forestland in 47 states.  View NAFO’s interactive map to see the economic impact of America’s working forests.

The National Alliance of Forest Owners is a national organization dedicated to advancing the environmental and economic benefits of private forests.  Our membership represents over 75 million acres of private forests in 47 states.  As a point of reference, this acreage is larger than the state of Arizona, the sixth largest state.

Forest owners occupy a unique position in the policy discussion on climate change and renewable energy, because our business model is to remove carbon from the atmosphere and turn it into public benefits – from carbon sequestration to energy to consumer products we all use every day.  All of this has been done while maintaining the same amount of forestland in the United States for the past 100 years.  In fact, over the last 50 years, standing inventory in our forests has grown by 49 percent[1].

We have achieved this while continuing to provide benefits all Americans enjoy: homes, furniture, books, paper, pencils and hundreds of other products that improve our quality of life, recreation opportunities, open space, clean air, abundant and clean water, wildlife habitat, and the list goes on.

This puts our forests in the position to make significant contributions to our nation’s climate and energy goals.  NAFO’s position is that we should utilize the full potential of our forests to address our nation’s climate change and renewable energy priorities.

First, America’s private forests can provide renewable energy that replaces foreign sources of energy, or energy that puts geologic carbon in the atmosphere, with an energy source that is renewable and domestic, and that recycles the carbon it uses.

Second, we can provide carbon offsets to greenhouse gas emissions through forest management practices that can remove increasing amounts of carbon from the atmosphere and through the products we produce, like wood for homes, that store carbon for long periods of time.

Consider these facts:

• Forests in the United States, nearly 60% of which are privately owned, remove almost 200 million metric tons of carbon from the atmosphere each year[2], offsetting about 10% of our annual fossil fuel emissions[3].
• The EPA estimates that the amount of carbon stored annually in forest products in the U.S. is equivalent to removing more than 100 million tons of CO2 from the atmosphere every year[4].
• Research on private forestlands has shown that more intensively managed forests and the products they produce can sequester and store as much as 150% more tons of carbon per acre than less intensively managed forests[5].

Finally, private forests produce and retain family-wage jobs and strengthen the overall economy.  NAFO researched the economic impact of working forests in 29 states and found that, on average, private, working forests:

• Sustain 8 jobs for every 1,000 acres under management
• Produce $270 in payroll for every acre
• Generate $733 in sales for every acre
• Contribute $318 to the GDP for every acre.

All told, that is 2.5 million jobs, $87 billion in payroll, $235 billion in sales, and $102 billion in contributions to the GDP.  And our private forests can do this while continuing to provide the many public benefits they have always provided our nation.

It is no wonder that the International Panel on Climate Change has stated that, “In the long term, a sustainable forest management strategy aimed at maintaining or increasing forest stocks, while producing an annual sustained yield of timber, fiber or energy from the forest, will generate the greatest mitigation benefit”[6] for climate change. Similarly, the EPA has identified responsibly managed forests as one of five key “groups of strategies that could substantially reduce emissions between now and 2030”.[7]

We appreciate the leadership of Senator Stabenow, D-MI, who recognizes and advocates for the many contributions our working forests can and should make in climate and energy policy.

Ultimately, Congress will determine the timing of legislation to address climate change and to further build the renewable energy capabilities of our nation.  When they do, we stand ready to make a full contribution to the effort and urge policy makers to recognize and fully utilize all of the benefits our private, working forests can offer.

[3] Birdsey, R., K. Pregitzer, and A. Lucier.  2006.  Forest carbon management in the United States: 1600-2100.  J. Environmental Quality 35: 1461-1469.

[4] US Environmental Protection Agency.  2007.  Inventory of U.S. greenhouse gas emissions and sinks:  1990-2005. EPA 430-R-07-002.

[5]Carbon Sequestration in Californian Forests; Two Case Studies in Managed Watersheds by Dr. Cajun James, Dr. Bruce Krumland, and Dr. Penelope Jennings Eckert, December 12, 2007. http://www.spi-ind.com/html/forests_research.cfm.

[6] Climate Change 2007: Mitigation. Contribution of Working Group III to the Fourth Assessment Report of the Intergovernmental Panel on Climate Change [B. Metz, O.R. Davidson, P.R. Bosch, R. Dave, L.A. Meyer (eds)], Cambridge University Press, Cambridge, United Kingdom and New York, NY, USA, page 543.

[7] Regulating Greenhouse Gas Emissions Under the CAA, 73 Fed. Reg. 44,354, 44,405 (July 30, 2008).

WASHINGTON, DC – The National Alliance of Forest Owners (NAFO) today delivered a letter (PDF) to the U.S. Department of Agriculture (USDA) supporting the purposes of the Biomass Crop Assistance Program (BCAP). NAFO pledged to work with the Secretary of Agriculture to ensure that BCAP is implemented effectively and in accordance with its intended purposes to help meet the nation’s renewable energy and climate change objectives while also sustaining private forests on rural landscapes.

David P. Tenny, President and CEO of NAFO, said, “We strongly support the BCAP as a means of providing carbon neutral energy from renewable forest biomass as part of our contribution to cleaner energy and a better climate. If administered properly, BCAP can help provide these important benefits, while developing vital new markets that give forest owners the financial means to maintain their forests in a working condition for the long term.”

The NAFO letter to USDA emphasized that the BCAP program should be administered in a way that:

• Recognizes that new markets for energy from forest biomass help sustain working forests as forests.
• Fosters a level playing field for all potential sources of biomass energy.
• Does not arbitrarily limit or otherwise allocate the use of renewable forest biomass in the marketplace.
• Is fiscally responsible.

Tenny explained that, “As an emerging market, energy from renewable forest biomass can add that extra revenue stream that helps maintain the economic viability of private forests and preserves the many environmental and social benefits they provide in rural America. The resulting investment by forest owners makes forests more productive and the raw materials they produce more plentiful for all end users. That is good for the environment, for forest owners and for the economy.

“If done right, BCAP can provide the incentives to create a new, sustainable marketplace for renewable forest biomass, capturing the full benefit of this renewable, carbon neutral energy source.”

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NAFO is an organization of private forest owners committed to advancing federal policies that promote the economic and environmental values of privately-owned forests at the national level. NAFO membership encompasses more than 75 million acres of private forestland in 47 states. To see the economic impact of America’s working forests, visit NAFO’s interactive map.

The Honorable Tom Vilsack
U.S. Department of Agriculture
1400 Independence Avenue, SW
Washington, DC 20250

Dear Secretary Vilsack:

The National Alliance of Forest Owners (NAFO) strongly supports your emphasis on building a strong foundation for renewable energy in our country.  We also support your effort to recognize the important contributions of private forests on the rural landscape as part of USDA’s “all lands” approach to resource management and rural development.

It is in this spirit of partnership and common vision that we write to share our views on the implementation of the Biomass Crop Assistance Program (BCAP).  NAFO’s members own or manage 75 million acres of private forests in 47 states and are poised to be important participants in BCAP and significant suppliers of the biomass our nation will need to realize its renewable energy potential.  Also, because forest biomass is a carbon neutral energy source, our contributions to achieving our energy objectives will also help address our nation’s climate change priorities.

We appreciate the care that must be given to ensure the BCAP and other renewable energy programs are implemented in a cost-effective way that will enable them to achieve their intended purposes.  We strongly support the purpose of BCAP and are committed to working with USDA to ensure the program is implemented in accordance with its purposes and with the highest degree of fidelity.

As USDA considers alternative approaches to optimizing the use of the BCAP program, we urge the Department to incorporate several principles that are fundamental to realizing the potential of forest biomass in meeting our country’s renewable energy needs.  First, we urge that USDA continue to recognize the important relationship between working forests and viable markets for the goods and services they produce.  As traditional markets for forest products cycle and decline, private forests become less competitive with other land uses.  New and emerging markets, such as renewable energy, help maintain the economic viability of private forests and preserve the many environmental and economic benefits they provide in a working rural landscape.

Second, we urge that the BCAP and other renewable energy programs administered by USDA foster a level playing field for forest biomass and all other potential sources of biomass energy.  This will enable markets for wood and other viable sources of biomass energy to develop efficiently and remain competitive in the marketplace over the long term, a key objective of our nation’s renewable energy policy.

Third, it is essential that the Department’s efforts to develop our nation’s biomass energy potential not arbitrarily limit or otherwise allocate the use of forest biomass within or among existing and emerging uses in the marketplace.  As energy markets for wood biomass develop and mature, short-term market adjustments in the flow of raw material to and among consumers of wood and wood residues are inevitable.  However, experience has shown that, over time, the introduction of additional markets for forest materials fosters investments that enhance the extent and productivity of working forests, resulting in a plentiful supply of raw materials for all end users and a more resilient and diverse marketplace overall.

Finally, NAFO recognizes that the BCAP and all other renewable energy programs must be implemented with appropriate fiscal discipline.  NAFO is prepared to work with USDA and other constituents of the BCAP program to help the program achieve its intended purposes within whatever cost parameters the Department and Congress determine appropriate.

Thank you again for your leadership in building a solid foundation for biomass energy within our country’s overall renewable energy framework.  We look forward to continuing our work together to achieve this important common objective.

Sincerely,

David P. Tenny
President and CEO

NAFO urges the Department to reconsider this approach and retain reforestation as part of the H-2B program.  Failure to do this will negatively affect reforestation efforts and cause significant harm to the economic viability of long-term forest management.

Reforestation work differs significantly enough from annual agricultural crops that the mandates for the H-2A program don’t fit reforestation.  For example, because of the spatial arrangement of forests on the landscape and the decades-long growing cycle, work sites vary from year to year and may stretch across multiple states.  Additionally, reforestation is much more susceptible to weather and other delays, including: too hot; snow; too wet; too dry; early or late seedling shipments; and the requirements of site preparation.

Read the entire comments (PDF).

NAFO has published a white paper to answer the question, “Why is Biomass Carbon Neutral?” Read the entire paper here and learn more about the carbon mitigation benefits of working forests .

CHARLOTTE, N.C. (December 9, 2009) – A new study, commissioned by the National Alliance of Forest Owners (NAFO) and conducted by Forest2Market, quantifies the economic impact of private, working forests on the U.S. economy. The study found a significant gap between the contributions made by privately-owned forests over other ownership types. On average, they generate $277,000 in state GDP per 1,000 acres, while public forests generate just $41,000 per 1,000 acres.

The study also concludes that the national average economic contribution per 1,000 acres of private, working forest includes 8 jobs, $270,000 in payroll, $9,850 in state taxes (income and severance taxes only) and $733,000 in annual sales.

“The study completes the picture of the contributions that working forests make,” says David P. Tenny, President and CEO of NAFO. “We all know that private, working forests provide clean water and air, open space, wildlife habitat, recreation, and other environmental benefits. This study demonstrates the significant economic benefits these forests provide: family waged jobs, a strong tax base, and the economic foundation of the forest products industry.  They are fundamental to both the economic and environmental infrastructure of our nation.”

The study, which looks at economic contribution by state and region as well as nationally, is the first of its kind. “To our knowledge, no one else has taken a comprehensive look at the total contribution that forests make to the economy,” says Pete Stewart, CEO and President of Forest2Market.

“This study demonstrates that private working forests support local and state economies,” says Stewart. “While the industry is struggling from the depressed housing market and the wider recession, it’s important to know exactly how much working forests contribute in jobs, taxes and GDP. With a clear view of the total contribution, we can better understand the consequences of public policies and market factors that limit how much work these forests can do.”

Results of the study are available using the interactive map on NAFO’s website.

About Forest2Market
Headquartered in Charlotte, N.C., Forest2Market provides supply chain expertise, from the forest to the market. Serving forestry, wood products, paper, lumber and bioenergy companies, Forest2Market provides customers with sound data and information to meet critical business needs. Offerings include pricing services, delivered price benchmarks, forecasts, raw material availability and pricing studies, and consulting services.

About NAFO
NAFO is an organization of private forest owners promoting federal policies that protect the economic and environmental values of privately-owned forests at the national level. NAFO membership encompasses more than 75 million acres of private forestland in 47 states.

Contacts:

Suz-Anne Kinney, Communications Manager
Forest2Market
14045 Ballantyne Corporate Place, Ste. 150
Charlotte, NC 28277-2845
Email: suz-anne.kinney@forest2market.com
Phone: (704) 540-1440

Dan Whiting, Director of Communications
National Alliance of Forest Owners
2025 M St, NW, Suite 800
Washington, DC 20036
Email: dwhiting@nafoalliance.org
Phone: (202) 367-1222

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Failing to consider forest residue as a renewable, clean-energy source would virtually kill a potentially valuable tool for reducing greenhouse gas emissions. It would also ignore overwhelming scientific evidence that shows biomass energy can return significant carbon-sequestration benefits.

Claims that biomass energy is anything but carbon-neutral ignore the fact that not all carbon is created equal, at least in terms of the global carbon cycle. When fossil fuels are burned to produce energy, there is a net increase in carbon released to the atmosphere, because it takes carbon that was stored safely underground and adds it to the atmosphere. That kind of carbon is called fossil carbon.

Biomass energy, however, deals with biogenic carbon – carbon that is already part of the atmospheric system. There’s no carbon added because the carbon in question is already part of the global-carbon cycle. It’s like the difference between good cholesterol and bad cholesterol. You want to increase your good cholesterol and lower your bad. Biogenic carbon is OK, but you want to lower the amount of fossil carbon being released into the air.