Rachel Donald of Ireland, an environmental journalist par excellence, was recruited to Mongabay in 2023 to take over its nearly decade-old podcast called The Mongabay Newscast. With good reason. She is the heart and soul behind the popular Planet: Critical, which covers the climate crisis by podcast and newsletter with subscribers in 160 countries.
Rachel had been reporting on Drax, the United Kingdom’s largest consumer of forest biomass for energy and a leading wood-pellet producer. She wanted to do a podcast on the issue, with Drax at the center. My colleague Mike DiGirolamo, with whom I’ve recorded from COP26 in Glasgow in 2021 and who works on the podcast, recommended she set up an interview with me. After all, I had just reported on what appears to be Drax’s intention to open the first wood-pellet mills in California.
Here’s the podcast link. I record a lot of these on both sides of the mic. Rachel was easily the best host I’ve been interviewed by. She combines a deep knowledge of the subject matter with a sharp ear for listening, a real plan for the arc of the conversation and a voice that exudes a genuine passion for the subject matter.
As Mike, who edited and produced the podcast from his home in Australia, says at the outset, if you are new to the issues of forest biomass for energy, my discussion with Rachel Donald is a good place to start.
These cut trees, viewed by California biologist and writer Maya Khosla, were harvested recently in Stanislaus National Forest, an area that falls within the potential harvest radius of a proposed wood pellet mill in Tuolumne County in central California. The mature trees were taken as part of a thinning strategy which often includes unburned forests for what is hoped to be wildfire prevention. Photo courtesy of Isis Howard.
I have been following the developments of the potential for wood pellet manufacturing in California for more than a year. The news hook that Drax, the United Kingdom based energy supplier and pellet maker, had recently entered into an agreement with a California governmental nonprofit that is promoting and planning for two new pellet mills, was what I needed to write this story.
It’s another forest biomass story steeped in controversy, as most of these stories are — whether they are centered in my home state of North Carolina, the US Southeast, or overseas in the European Union, United Kingdom, Japan or South Korea. The twist in California, a state ravaged by climate change-fueled wildfires since 2020, is that the “thinning” of the state’s vast woodlands and collection of burned trees and residues for wood pellet feedstock, will help reduce the risk of wildfires while boosting sagging economies in rural counties that cover parts of eight national forests.
More than 100 environmental groups, Indigenous tribes and community organizations have been pushing back against this growing industry in California and especially against the central argument for its existence — wildfire mitigation. My story explains both sides. There will very likely be more stories to come from California.
As part of its strategy to gather forest wood for wood pellet production, GSNR has said it will promote “salvage logging” in areas damaged or destroyed by wildfire. This June 2022 photo of an area burned in the Dixie Fire, one of the worst ever in California, illustrates what salvage logging looks like. “Ecologically there is nothing worse that can be done to a forest in California than to log after fire,” said Gary Hughes, a forest advocate with Biofuelwatch. “It is likened to beating a burn victim.” Image courtesy of Kimberly Baker/Klamath Forest Alliance.
Tractor-trailers each loaded with 40 tons of wood chips waiting at Enviva’s pellet mill in Ahoskie, North Carolina, which opened in 2011. “There’s no way Enviva is coming out of Chapter 11, [bankruptcy]” a former Enviva employee and whistleblower told Mongabay. “Their manufacturing equipment is not fit for the service it’s required to deliver. Only two of its 10 plants (one in Florida, one in Georgia, neither built by Enviva) are hitting their maximum achievable targets for pellet production.” Image courtesy of Bobby Amoroso.
In this story, I continue my coverage of Enviva, the Maryland-based company that claims to be the world’s largest producer of wood pellets for industrial-scale energy. The pellet maker has been a dominant force in the industry in the Southeastern United States, especially my home state of North Carolina, since it opened its first pellet mill more than a decade ago. A couple of years ago, it topped $1 billion in annual revenue, its stock price rising above $87 a share. Enviva boldly planned major expansions in the Deep South and predicted pellet production to go from 6 million metric tons annually to 13 million metric tons by 2027.
That was then.
In the spring of 2024, Enviva found itself in Chapter 11 bankruptcy, having lost hundreds of millions of dollars in 2023 from a variety of circumstances — some beyond its control, many of its own making. It’s stock price is below 50 cents a share and Wall Street analysts, once bullish on forest biomass energy, are now warning investors away. This story continues my explanation of why Enviva is failing, with additional insight from an exclusive source who continues to provide an invaluable look beyond Enviva’s public statements and required disclosures as a public company.
A new angle to my coverage is how forest advocates have been shifting their attention to Washington, D.C., because of the Biden Administration’s Inflation Reduction Act and the billions provided to incentivize renewable energy. Enviva, in desperation, is eager to convince the Environmental Protection Agency and other government offices, that is produces an legit renewable energy source and climate mitigation strategy amid the climate crisis. No rigorous, independent research supports that claim in the timeframes needed to slow the rate of global warming. But Enviva is angling for millions in US tax subsidies to help it pay for new plants in Alabama and Mississippi.
As my story explains, there is a lot at stake not only in Enviva’s future as a major supplier of wood pellets to the UK and EU, but also the future of forests desperately needed to remain standing as yet our best and most effective defense against erratic weather and accelerating global warming.
This wood pellet manufacturing plant in Ahoskie, North Carolina was Enviva’s first in the state, opening in 2011. Wood feedstock – pine and hardwood – arrives at the plant already chipped from native forests within a 50-mile radius of the plant. The chips are dried and then pressed into pellets. According to a new study in Renewable Energy, wood pellet production emits more than 55 hazardous air pollutants, along with tons of volatile organic compounds and particulate matter. Many of the pollutants can be harmful to human health. Image by Justin Catanoso.
The interesting thing about the facts that are the heart of this story of mine: it all sounds so familiar. Burning forest biomass causes enormous amount of emissions and hazardous pollutants from both the manufacturing process and the burning-for-energy process? Don’t we know this already?
Well, yes and no. Forest and public health advocates have been decrying for as long as I’ve been covering this issue the harmful impacts from every process that is the wood pellet industry — from clearcutting native forests that reduce carbon sinks and degrade biodiversity, to emissions from drying wood before its pressed into pellets, to pollution from the transportation sector to move pellets from one place to another, and finally, enormous emissions from burning these pellets instead of coal.
Because so much is assumed — and obvious (like the obvious health hazards of smoking cigarettes for years) — we assume, too, that there are rigorous scientific studies that prove what so many assume. This may be true in Europe, but it has not been true in the United States — until the 2023 publication of the study that is focus of my story.
This research is enormously important given the growth of the wood pellet industry and the growing interest across the United States to start burning wood for energy and claim — erroneously — that it’s a legitimate climate solution. There is no legitimate science that supports that industry claim. I am glad Mongabay continues to cover this issue closely. Sadly, this important study was not covered by any other news media.
Forest biomass protestors outside Enviva’s Raleigh, North Carolina, offices. Across the UK, EU and Japan, forest campaigners have consistently protested the local and global impact of the world’s largest producer of forest biomass — wood pellets — for industrial-scale burning in former coal-fired power plants. Ultimately, the company’s own grave operational problem at its plants appear to be behind its financial collapse. Image by Kimala Luna courtesy of the Dogwood Alliance.
I was in the air on a Delta flight to Bozeman, Montana, on November 9, 2023, when I received a text message from a source: Enviva‘s stock was collapsing and the company had warned in a financial disclosure what it “may not be able to continue as a going concern.” I didn’t exactly see this coming, but ultimately, having written in May about Enviva’s unexpected financial tanking in the first quarter, I wasn’t fully surprised.
As I read the breaking news coverage from the environmental and business press about the near fall of the world’s largest producer of wood pellets for industrial-scale burning for energy instead of coal, I saw an enormous gap — even in The Wall Street Journal. All the stories recited the staggering losses and the new, interim CEO’s positive spin on a desperate situation. But none of the stories could explain why a billion-dollar company with long-term contracts around the world, and where demand for pellets is at a record high, had lost more than $250 million this year and exhausted a $570 million line of credit.
That’s the only story I wanted to write, and it’s linked here. Enviva’s travails are acknowledged — in carefully shrouded accounting language — in its public filings with the Securities and Exchange Commission. But I am fortunate to have as a source a former Enviva maintenance manager at two of its 10 Southeastern US mills. I interviewed him once I got settled in Montana and again when I returned to North Carolina. Based solely on his experience at Enviva over two years — 2020-20222 — he was able to explain the plausible whys and hows behind the staggering losses. This source, still unnamed for reasons of privacy and security, was my whistleblower in December 2022 in a story that reverberated globally.
This story quickly attracted international attention, too. In fact, it ranked as the No. 1 best-read story on the Mongabay website in November with more than 85,000 readers; that’s a lot. Better still, by year-end, my report made the list of 10 Most Read Stories of 2023, ranking sixth. As yet, though, it’s not clear yet what the ultimate ramifications of this downfall will be on the highly subsidized global market for forest biomass and the countries that have come to rely on this scientifically denounced form of energy in a climate crisis.
Enviva’s stock collapse this year: The company’s stock was trading above $51 per share on January 13, 2023, and gradually slid to half that until the May 3 plunge. It dived again on November 9, bottoming out at 62 cents per share that day, and has not recovered much value since. It is now trading as a penny stock. Source: November 16 end of day trading screenshot from Google.com.
In the spring of 2019, investigators tracked logging trucks coming from a mature hardwood forest and going to Enviva’s Northampton, NC, facility. The clear-cut, seen here, was located in the Tar-Pamlico River Basin, alongside Sandy Creek, feeding into the Pamlico Sound of North Carolina. Photo: the Dogwood Alliance
Radio journalist Rachel Lewis Hilburn, host of Coastline, a weekly program on WHQR public radio in Wilmington, North Carolina, had been following my coverage of the wood pellet industry over the past year. Of particular interest were the stories that focused on Enviva, the world’s largest producer of wood pellets, which has four manufacturing plants in eastern North Carolina.
When we spoke by phone to discuss her program, she was not only interested in my coverage, but also my reporting process, my working with a key anonymous whistleblower who once worked for Enviva, the distinction between environmental journalism and environmental advocacy, and what lessons I share with my journalism students at Wake Forest University.
Here’s the result, a wide-ranging, live-to-tape 50-minute discussion in three segments in which Rachel’s innate curiosity and enthusiastic interviewing style directed me through all of those issues and a few more. I really appreciated the opportunity to talk with her and her listeners. Thanks also to producer George Newman at WFDD on the Wake Forest campus for preparing the studio in which I spoke remotely with Rachel.
Extensive logging of remote mountains on Vancouver Island in British Columbia, Canada, feeds the timber industry. Many of the trees taken here are old growth, more than 200 years in age. Timber companies typically replace the natural forest with monoculture tree farms that lack biodiversity and sequester far less carbon than the original natural forests. Image by Justin Catanoso.
ECOLOGISTS and climate activists spend a lot of time, justifiably, decrying the always-growing rate of international deforestation. What they rarely look at, evaluate or consider, is the impact of global logging for the timber and biofuel industries. This story describes a major study published in July 2023 in the prestigious journal Nature about the impact that logging has on contributing far more to global carbon emissions than ever imagined.
The study, by a several researchers backed by World Resources Institutes presents staggering figures involving current and future demand for wood products and the impact is/will have on global tree cover, and thus, carbon sequestration from intact forests. It is, like too many of my stories, startling and dispiriting, especially when you consider the many “treaties” nations have signed, as recently as COP26 in Glasgow, to halt deforestation. Of course, those treaties always involve loopholes the logging industry has demanded and received.
The summer of 2023 has brought every single day a reminder of the climate catastrophes people are the world are enduring — massive wildfires in Canada, record temperatures in Mexico and the US Southwest, vicious storms and flooding in the Northeast, deadly heatwaves across southern Europe and India. Every forest felled for short-term profit makes the earth less able to slow the rate of warming, and the rate of calamity. This study in Nature makes clear that policy changes in logging are a near-term requirement, and even points to solutions that are close to plausible while actually preserving most of the forests policymakers have pledged to protect.
Note: this is a major study by top scientists with a leading NGO published in the most prestigious scientific journal. The Times and Post and others have been busy reporting every day on the horrible weather events this summer. None bothered to cover a significant root cause and potential solutions. That’s not how we get out of this climate crisis.
This 52-acre native forest in Edenton, North Carolina, U.S., was clear cut in late 2022 for both timber and for whole trees chipped to make wood pellets for bioenergy. The site was cleared for industrial development. Only trees for landscaping were to be replanted. Clear cuts like this around the world diminish global carbon storage. Image by Justin Catanoso.
Enviva’s smallest wood-pellet mill of four in North Carolina, this one in Ahoskie near the coast. Photo courtesy the Dogwood Alliance.
David Boraks, a talented environmental reporter for WFAE-Charlotte, the second-largest public radio station in North Carolina (reaching lots of South Carolina), contacted me in December after my Mongabay story regarding the Enviva whistleblower. He, too, has covered Enviva and its impact on communities and the environment in the poor counties where it operates, four out of 10 of which are in North Carolina.
David invited me to join him in a detailed discussion on the popular noontime news program Charlotte Talks. We discussed the wood pellet industry, its impact on the Southeastern US and the policies overseas that enable this controversial energy source to keep proliferating.
As Derb Carter, a lawyer with the Southern Environmental Law Center, told Boraks: “What’s happening in North Carolina is the forests are being cut and exported to Europe. None of that is used to produce anything benefiting North Carolina in any way. And you’re losing that carbon storage in the forest.”
Logged trees for biomass in Bischofsheim, Germany. Image by 7C0 via Flickr (CC BY 2.0)
Thisstory describes the final revisions to a multi-year process in the European Union that led to a largely status quo rendering of the European Union’s Renewable Energy Directive, especially as it applies to burning forest biomass for energy and heat as a means of reducing coal burning.
Before the debates in Brussels even got started in earnest in 2021, hoped was raised in Madrid, Spain, at the end of the United Nations climate summit, COP25, when Frans Timmermans, the Dutch politician who is the EU’s top environmental minister, answered a question of mine regarding biomass energy and whether not counting emissions at the smokestack was skewing emission-reduction accounting. Timmmermans’ response — that it was time to take a close look at regulations regarding biomass because new science had emerged — sent a wave of hope through European forest advocates.
If Timmermans was willing to follow the science, they reasoned, certainly changes were possible that would protect native forests, reduce or eliminate subsidies for purchasing wood pellets, and most importantly, reverse the science-challenged definition of woody biomass as a renewable energy source equal to zero-carbon wind and solar. Australia made this definition change policy in December 2022.
After two years of intense lobbying, special documentaries, investigative reporting, overwhelming public opposition, letters signed by hundreds of EU scientists and clear evidence that exchanging coal for wood is not only adding to deforestation globally but adding to emissions as well, the changes in the third iteration of RED are minimal — at best. My story explains the details. This quote captures the alarm and disappointment:
“The revised RED is not based on advancing scientific or even pragmatic insights as we fought and hoped for years,” Fenna Swart, a forest advocate with The Netherlands’ Clean Air Committee, told Mongabay. “It is only a political solution for key stakeholders… for an unsolved global problem.” Stakeholders who benefit, she said, include northern European member states with large harvestable forests such as Sweden and Finland, and the forestry and energy industries.
As I witnessed during a reporting trip to the North Carolina coast in November 2022, native forests are falling at a constant and growing rate to enable Marylond-based Enviva, the world’s largest maker of wood pellets, to meet accelerating demand for wood pellets in Europe, the United Kingdom and Asia — all because of deeply flawed national policies at the worst possible time in the climate crisis. Deforestation in harvest areas of North Carolina is estimated at 6 percent a year and will only increase an Enviva’s wood pellet production doubles by 2027. This photo of mine is of Enviva’s smallest plant in Ahoskie, NC.
A view of an Edenton North Carolina forest clear-cut photographed in November 2022. A logger on site told Mongabay that roughly half of the trees cut there and chipped were destined for a nearby Enviva wood pellet plant. Enviva exports large amounts of wood pellets to the UK, EU and elsewhere. The firm makes extensive green claims. Image courtesy of Bobby Amoroso.
Cause and effect. That’s something journalists covering controversial topics hope for — that our dogged reporting will come to more than praise or complaints from readers, that it might actually have a more tangible impact. About two weeks after my exclusive whistleblower story was published, this story illustrates a clear cause and effect, a tangible impact from my reporting.
On December 14, a liberal Dutch politician from Amsterdam cited specific details from the Enviva whistleblower story as the motivation behind a motion, approved 150-114, to compel the Dutch government to stop paying subsidies to wood-pellet manufacturers found to be untruthful in their wood-harvesting practices. Accountability journalism is a large part of what has motivated me throughout my career, and here at the end of 2022, it is bearing fruit in a way that happens all too rarely.
What this all means for wood pellet producers and energy companies that depend on wood pellets to generate energy as they phase out coal (not an environmentally or climate-friendly swap, scientists tell me) should become clearer in 2023. It is a story I will continue to cover.
Meanwhile, in what amounted to a fabulous gift on Christmas Eve,Bill McKibben, writer, author, educator and one of the leading and loudest US voices in global environmentalism, devoted his lastSubstack newsletterof the year to my reporting in December 2022. McKibben also promoted my stories out to his vast audience on Twitter, which resulted in an additional enormous response and engagement beyond what we were already seeing with Mongabay’s coordinated social media postings by colleague Erik Hoffner.
Illustration with Bill McKibben’s newsletter under the headline: A little Xmas cheer for trees/ Biomass burning has a bad week
