Biomass and Bioenergy 30 (2006) 1021–1024 Opportunities and impediments to the expansion of forest bioenergy in Australia R.J. Raison CSIRO Forestry & Forest Products, PO Box E4008, Kingston ACT 2604, Australia Received 7 October 2004; received in revised form 16 May 2005; accepted 12 December 2005 Available online 4 October 2006 Abstract There are significant opportunities for expansion of a forest bioenergy industry in Australia based on distributed electricity generation and production of liquid fuels (ethanol and bio-oil). If the large amounts of forest residues already available annually could be utilized, this would deliver useful greenhouse benefits, assist regeneration of new forests that have increased environmental values, and benefit silvicultural management. Creation of new forests in low rainfall environments for both environmental and commercial reasons will also provide residues in the future that could be used for energy production, thus enhancing overall viability of such ventures. Currently, there are several serious impediments to realising the potential. These include:  Large reserves of accessible coal, and low cost of electricity generated in coal-fired power plants.  Uncertain greenhouse and renewable energy policy (specifically that relating to implementation of the Mandated Renewable Energy Target (MRET)).  Lack of proven efficient small-scale technology to enable distributed electricity generation that would reduce transportation costs for delivery of biofuels.  Controversy over the sustainable use of native forest residues for renewable energy generation.  Lack of markets for environmental credits (carbon, salinity, biodiversity).  Lack of efficient processes for producing ethanol from wood, inadequate commercial products from lignin, and the need for further development before diesel engines can be run on bio-oil for stationary power generation and transport. In Australia, apart from the use of firewood for domestic heating, forest bioenergy has developed only to a very limited extent, despite the existence of significant opportunities. A major impediment to expansion is lack of public acceptance and support, especially for the use of native forest residues which are the main available biomass source. A concerted effort at several levels is needed to address this issue. r 2006 Published by Elsevier Ltd. Keywords: Australia Mandate Renewable Energy Target; Native forest; Residues; Co-firing 1. Introduction Global interest in a range of renewable energy options has grown markedly in recent years in response to concerns about large and increasing fossil fuel greenhouse gas (GHG) emissions and associated possible adverse effects on climate change. Renewable forest bioenergy could, potentially, encom- pass the use of forest residues (biofuels) for:  Combustion and the production of heat and electricity.  Production of liquid fuels (ethanol, methanol, bio-oil).  Production of hydrogen and other fuels that could be utilized in fuel cells (still very much emerging technology). At this time, use of wood for heating and electricity generation is well developed globally [1] and offers the best ARTICLE IN PRESS www.elsevier.com/locate/biombioe 0961-9534/$ - see front matter r 2006 Published by Elsevier Ltd. doi:10.1016/j.biombioe.2005.12.012 E-mail address: John.raison@csiro.au.