Environmental and Economic Problems of Using the Biofuel Market

Purpose The purpose of this article is to identify environmental and economic problems of using the biofuel market based on the analysis of the domestic and international experience of developed countries, to show a steady trend in the development of industrial production of pellets as one of the most progressive and consumed types of biofuels. Design/methodology/approach: The authors use analytical, index and comparative analysis methods to determine the nature of changes in the development trend of industrial pellet production in 2020 as compared to 2016. The objects of the study are the states of the Asia–Pacific region (APR). Conclusions: It has been established that all countries of the Asia–Pacific region, following the requirements of the signed and ratified Paris Climate Agreement, are forced to work to reduce their carbon footprint in the Earth’s atmosphere. As the energy strategies of Japan and China show, an important part of the struggle for “climate neutrality” within the framework of the national economic complexes of the countries of the region will be to reduce the role of coal in the supply of thermal power plants, due to an increase in the share of solid wood biofuels. Originality/value: Based on the analysis of the dynamics of statistic indicators, global trends in the production of wood pellets in some countries in the Asia–Pacific region and their exports are reflected. The Asia–Pacific biofuel market is very promising for Russia, primarily for timber companies located in the Far Eastern Federal District. The ecological and economic problems of biofuel production and use are reflected. A system of evaluation indicators is proposed, attention is focused on reducing environmental and economic problems in this area due to the innovative development of the timber industry, effective marketing and financial activities, as well as the readiness of Russian biofuels to enter the world market.