Biomass: A Boom For Microturbines
As energy costs and climate change are becoming greater concerns for many governments around the world, many are mandating wide shifts in how energy is produced. One such mandate is an increase in the use of biomass (wood scrap) to generate electricity and heat. However, as biomass is distributed vastly and has low energy density, it becomes difficult to collect and ship. For a biomass power plant to be economical, it must be located near a large source of readily available biomass, such as a paper mill or large sawmill.
However, current boiler systems are non-economical below 10 MW. New technologies employing microturbines would enable utilizing these biomass resources. Creating localized power plants in the 1 MW to 5 MW range. Analysts estimate that 6,000 GW worth of biomass power could be tapped in the United States from timber waste sources. For investors willing to take a long term gamble on the future of microturbines as a power play, Capstone Turbine (NASDAQ: CPST) offers the only pure microturbine play.
