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2019 | Book

Economics of Bioresources

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About this book

This fundamental book provides a cross-sectoral, multi-disciplinary view on the biobased economy. It explains opportunities for the value-adding production and use of bioresources, while also discussing the main drivers and obstacles involved. The book is divided into three major parts, the first of which introduces readers to the basics of bioresource economics and engineering. In terms of economics, it discusses decision-making from the policy, producer, investor, and citizen perspectives; in terms of engineering, it addresses key technologies and the processing of bioresources, as well as the development of biorefineries for high-value products on large and small scales. In turn, the book’s second part presents cases focused on different types of energy use, and written by practitioners. The cases illustrate the businesses and technologies involved, as well as the roles of citizens, social organisations and policies. The book’s third and last part highlights opportunities in sustainable agriculture, valuable industrial products and innovative services, while also outlining key conditions for success.

Written by a team of scholars and practitioners from various engineering, natural-science and social-science disciplines, the book is primarily intended for undergraduate and graduate students, and for practitioners in business and policy who wish to explore the sustainable production and use of bioresources. All theoretical issues are explained with the aid of real-world examples, making the content highly accessible.

Table of Contents

Frontmatter
Chapter 1. Introduction
Abstract
Bioresources, all goods of biological origin, are used in the production of energy, food, paper, clothes, in construction and for other products, as well as for leisure, tourism, education, science, arts and other services. They are based on the primary production of biomass, which includes harvested and processed algae, fungi, plants, crops, wood and plant residues, and in secondary production using animals and animal residues. Bioresources are considered non-exhaustible because after the disposal of products based on them, they close material cycles and disintegrate into nutrients for plants, animals and ecosystems. In addition, bioresources provide a sink for pollutants. The Economics of Bioresources is concerned with the value of bioresources. This book is focused on opportunities in bioresources. The possibilities of valuable uses alongside fostering nature are presented.
Yoram Krozer, Michael Narodoslawsky

Theories

Frontmatter
Chapter 2. Economic Systems
Abstract
Economics is a normative knowledge that aims at the creation of welfare with scarce resources. An economic system covers interactions between production, consumption, and their institutions, within a country, region, or community. Throughout the last century, the income of global economic systems has quadrupled after price correction, though achieved at the cost of social conflicts and degradation of natural qualities. Rarely is nature at the core of economic thinking though it is essential to welfare. Herewith, economic circulation and distributions are introduced, followed by presentations of economic cycles and growth, all with particular attention to nature and bioresources.
Yoram Krozer
Chapter 3. Decision Making
Abstract
Decision making in economics is sometimes presented as if a law of nature, but it is about morals. Morals differ across societies and in time. Hence, only a toolbox for decision making can be delivered with regard to various, even opposing arguments and interests. The toolbox refers to private and collective interests because they differ, are often antagonistic in practice, even if aligned in theory. Decision makers can deliberate and negotiate using various tools, but it remains uncertain whether their intentions can be realized. In the process of decision making, resources and values are introduced, followed by assessment methods in production and consumption, transactions between customers and suppliers, and the basics of investments and valuation of nature. All those and exemplary accounts are shown with regard to bioresources.
Yoram Krozer
Chapter 4. Business in Bioresources
Abstract
Individuals capable of combining resources into value-added products are known as entrepreneurs. The challenge of an entrepreneur is to ensure that the cost of investments is kept below the income from sales, thus making a profit for their investments that enable continuity of its enterprise. The results of investments are inherently uncertain since expenses are made before the sales in future, and sales are guided by customer demand that is difficult for an individual entrepreneur to influence. Once the investment is made, entrepreneurs are left with little choice but to reduce costs of resources during operations and product prices for sales, which inadvertently put pressures on profits. Business models are used in preparation for those investments, meaning income generating methods. Business strategies and models for bioresources are indicated.
Yoram Krozer
Chapter 5. Bioresources and Technologies
Abstract
The term bioresources represent a vast diversity of materials with an equally vast diversity of origins and properties. Common to all bioresources is that they ultimately utilize nature’s ability to generate complex molecules from carbon dioxide, water and nutrients with the help of solar irradiation by the process of photosynthesis. Herewith, human impact on total natural biomass production is considerable; either by directly using biomass for societal purposes or the impact on land use change as a result of economic and societal activities like agriculture or settlement development.
Michael Narodoslawsky
Chapter 6. Bioresources for Distributed Energy Systems
Abstract
Bioresources require as a basic resource (fertile) land to convert carbon dioxide, water, and solar irradiation into biomass. This makes them inherently de-centralized resources whose productivity is limited by the availability of these valuable basic resources, namely fertile land and water. Both of these basic resources are limited, which makes it crucial to utilize them with the highest possible efficiency. In practice, it means that all parts of bioresources harvested as well as all by-products along the value chain employing bioresources must be utilized, either for obtaining economic and societal profit or for maintaining the fertility of the basic resource (land) by returning nutrients to agricultural land or forests.
Michael Narodoslawsky

Cases in Bioenergy

Frontmatter
Chapter 7. Biofuels from Willows
Abstract
The Green Energy Cluster, an organization in Romania with 75 members from business, academia, and the public sector, acts as a business and market developer, an educator and a trainer for specialists, as well as an executor of research, innovation, and facilitator of international cooperation in renewable energy. Its focus is on the use of bioresources for energy in rural areas. Biofuel based on short rotation cultivation (SRC), herewith, provides an economic bioresource which substitutes mineral fuels in a sustainable manner; if marginal land is used and low-input agroforestry is applied. This case shows practices in the Covasna region. Subsequent steps in short rotation cultivation are introduced followed by processing into biofuel and its use in communities, as well as an economic regional strategy based on the experiences.
Sandor Bartha
Chapter 8. District Heating in Villages
Abstract
The bioresources for energy production in rural areas are available in many countries, but citizens’ participation is often missing. District heating based on local bioresources is developed in seven villages in Croatia, Macedonia, Slovenia, Serbia, and Romania. Citizens’ participation is fostered, development of district heating based on bioresources is assessed, and the balance of energy demands and supplies in a village is estimated.
Sebestyén Tihamer
Chapter 9. Renewable-Based Gas Systems in Austria
Abstract
This chapter is about the potential production volumes of sustainably produced, bio-based methane (CH4) from anaerobic digestion, and synthetic natural gas. It refers to power-to-gas processes. Though based on the ground reality in Austria, the insights and learnings are useful for other countries too. The chapter starts with a characterization of available bioresources for anaerobic digestion, which is used as a basis for estimating the total theoretical potential of biogenic CH4 for the heating sector. Furthermore, the potential of synthetic natural gas in Austria has been estimated based on a projected increase of power generation. Wind and photovoltaics are used for producing H2 through the process of electrolysis. Another system component for H2 methanation is CO2 from biogas purification. The overall aim is to show how, and at what costs, renewable gases based on renewable resources can contribute to an energy supply for the heating sector.
Karin Fazeni-Fraisl, Johannes Lindorfer, Robert Tichler
Chapter 10. Manure Treatment for Biofuel
Abstract
Animal excrements, such as manure, are by far the largest organic waste stream in the European Union. It is particularly large in the Netherlands where millions of animals per year are raised for meat, milk, eggs, gel, leather and many other products for daily consumption. As long as people consume such animal products, this production causes an unavoidable (wet) stream of organic matter containing various minerals. The question is, whether the material content of manure can be recycled, meaning all its main components reused as valuable products. In this chapter, we address the possibilities of separating and reusing these components. The focus is on cattle and pigs because most of the dry manure of chickens is already largely reused (mainly for energy production), and the manure volume of other animals is insignificant.
Willem van Laarhoven

Reviews of the Sectors

Frontmatter
Chapter 11. Innovating for Sustainable Agriculture
Abstract
Bioresources can be produced endlessly if nature is used with care. However, today’s farming involves linear chains of producers in which animal and mineral fertilizers, pesticides, and other materials are supplied externally with much energy use and pollution. In addition, large material losses to the environment are observed and residuals are inefficiently reused. Possibilities to enhance the circularity in the agricultural chain are addressed because it is a key factor in the development of sustainable agricultural practices.
Willem van Laarhoven
Chapter 12. Potential Applications of Lignin
Abstract
The increasing consumption of fossil fuels is associated with environmental issues such as global warming and environmental pollution. Therefore, efforts have been made to find sustainable alternatives for different materials and energy sources. Plant biomass, especially wood, is the most important renewable material. The main constituents of vascular plants are cellulose with a content of 42–51%, hemicellulose with a content of 24–40%, and lignin with a content of 18–30%. Cellulose and hemicellulose represent the cell walls, while lignin acts as a strengthener thereof, and inhibits enzymatic degradation, regulates water transport, and demonstrates antibacterial activity. The utilization of todays and potential tomorrows application of lignin is summarizes in this chapter.
Marlene Kienberger
Chapter 13. Bioresources for Cultural Services
Abstract
Bioresources contribute to the regulation of environmental qualities, provide energy, food, other materials; deliver cultural values that encompass basic resources for scientific, artistic, and educational inspiration; support esthetical, ethical, and spiritual behavior, as well as foster tranquility, relaxation, leisure, quality of life, and suchlike amenities. Although the consumption of bioresources is usually associated with the uses of materials, the consumption value of the non-material activities in cultural ecosystem services is fast growing in terms of scientific interest and economic development. They refer to spiritual enrichment, cognitive development, reflection, leisure and recreation, as well as ethical and esthetic experiences. Herewith, the uses of bioresources for health, tourism, and education are introduced with a focus on urban areas where most people in the world live.
Yoram Krozer, Maia Lordkipanidze
Chapter 14. Conclusions
Abstract
Economy is comprehended as circular systems of transactions that reflect what people really pay, rather than what they aspire to. Various properties of bioresources are underestimated in the economic systems because they are not expressed in money; for instance the properties that bioresources are non-exhaustible, replenish nature because provide nutrients for new life, store and degradation of pollution and so on. Those ethical attributes that address the care for nature are increasingly demanded even though many highly valued attributes that contribute to welfare have no market prices. Despite this deficiency in all economies, many valuable uses of bioresources refer to the care for nature. Even more opportunities can be found when those benign properties of bioresources are valued in transactions. This leads people to gain knowledge about the various uses of bioresources, and the liabilities for damages to other interests or nature, which is possible if environmental qualities are integrated in all transactions.
Yoram Krozer, Michael Narodoslawsky
Metadata
Title
Economics of Bioresources
Editors
Dr. Yoram Krozer
Prof. Dr. Michael Narodoslawsky
Copyright Year
2019
Electronic ISBN
978-3-030-14618-4
Print ISBN
978-3-030-14617-7
DOI
https://doi.org/10.1007/978-3-030-14618-4