Biomass pellets refers to pellet fuel made from biomass. Biomass pellets can be derived from various sources including woody plants, timber industry, sawdust, sugarcane crop, and switch grass. It is commonly used as a heating fuel. Fossil fuels, such as coal, natural gas, and petroleum are the primary non-renewable sources of energy across the globe. Globally, the major portion of energy requirements is fulfilled by fossil fuels. The global consumption of fossil fuels continues to increase, thus leading to rapid depletion of fossil fuels. Moreover, global warming is a major environmental challenge across the globe. The different governments and international organizations are framing stringent environmental regulations, in order to reduce the pollution and carbon emissions. This further compels government to adapt renewable energy technologies, such as wind, biomass, solar and tidal energy for power generation.
The increasing use of biomass pellets in power industry is propelling the growth of the global biomass pellets market. The growing demand for renewable energy source is one of the important factors supporting the growth of the biomass pellets in the power industry. The increased government initiatives and stringent environment regulations are the key drivers promoting the growth of the global biomass pellets market. The rapid depletion of fossil fuels and global warming caused by their usage has shifted the global interest from conventional energy to green energy. The different governments across the globe have initiated several projects and schemes to promote and encourage the generation of renewable energy. The implementation of stringent environmental regulations across the globe is propelling the demand for efficient renewable energy sources.
Geographically, North America accounted for the second largest share within the global biomass pellets market, in terms of value and volume. The major reason behind growth of the biomass pellets market in the region are increasing demand of biomass pellets in industrial sector, strict environmental regulations, and increasing concern for global warming. Biomass pellets provide an efficient solution to decrease the global dependency on fossil fuels and reduce the emission of greenhouse gases in the atmosphere. Therefore, the high rate of depletion of fossil fuels and increasing demand for the reduction of greenhouse gases are indirectly creating ample opportunities for the growth of the North American biomass pellets market.
The key companies operating in the global biomass pellet market include Drax Biomass, Viridis Energy Inc., Westervelt Renewable Energy LLC, Enviva Biomass, Energex, Helius Energy Ltd., International WoodFuels LLC, New England Wood Pellet and Forest Energy Corporation.
