Generating energy from biomass is becoming increasingly popular not only as it offers an environmental friendly renewable energy solution, but also attractive investments opportunities. Biomass will play a significant role in the European energy market in the near future. In fact, it is becoming a crucial part in fulfilling the 20 per cent target set for renewable energy use by 2020. Biomass use for power and Combined Heat and Power generation is steadily expanding in Europe, where bioelectricity is mostly produced from wood residues.

This rapid growth also intensifies the use of biomass for generating electricity in developing countries. Although many developing countries posses abundant raw material resources, this potential is currently largely untapped for several reasons: technological limits related to lower conversion efficiencies, lack of investment in modern and efficient technologies, lack of awareness, difficulties in finding suitable private investors and in particular logistic constraints as well as the lack of project management capacities.

The design of conventional and emerging biomass technologies depends on the source and logistics of the feedstock as well as the energy fuel type. The effective and feasible use of biomass is quite complex depending on the cost structure, supply of feedstock and an technology efficiency.