A big supplier in the growing biofuel market

For 25 years, Södra Skogsenergi AB has sold fuel products from the forest. Deliveries have steadily increased, but there is more that can be taken advantage of from the forest.

Södra Skogsenergi mainly supplies major customers, heat and power stations, industries and pellet factories. As a private person, you can now use pellets to heat up your own home.

The market for Södra Skogsenergi AB is growing rapidly. Major customers such as district heating plants are extending their capacity. More and more people want to use biofuel to heat homes, offices, industries and other premises.
Södra Skogsenergi’s total deliveries are equivalent to heating about 100,000 detached homes. We are responsible for about a fifth of the market for biofuels in Southern Sweden.

The large and wide range of biofuels is an important reason for customers to choose Södra Skogsenergi to be their supplier. Local production is another good argument. It is neither economically nor ecologically defensible to transport biofuels great distances.

Södra’s great experience of timber transport is useful for ensuring effective deliveries of biofuels. During the warm months of the year, biofuels are stored in specially adapted terminals to be supplied when the needs of customers are greatest.

Södra Skogsenergi buys raw materials from Södra’s industries and from the members. Bark, chips and ready pellets are purchased from industry – particularly the sawmills. Forest chips and firewood for fuel are purchased from the members. About ten bogs, peat fuel, as well as horticultural and litter peat, is harvested. 

Together with our suppliers and customers, we carry on extensive development work. One example is the new way of bundling stumps and other residual products for transport to the depots. Stumps may become an important addition to raw materials and contribute towards meeting the increasing demand for biofuels.
Moving production from the forest to the depots will increase flexibility and reduce costs.

Södra is also participating in projects that will make it possible to produce biogas on an international scale.

Facts about Södra Skogsenergi AB 2005/06
Net sales: SEK 544 million
Operating profit: SEK 18 million
Number of employees: 15
Supplies: 5.3 million cubic metres