As we concluded in the previous log, Summary, the Dutch market does not yet provide the conditions in which biomass can cost-effectively be used to produce electricity and heat on a large scale. This, and also the environmental issues justify government policy.
What would improve conditions for biomass applications, and in particular for large-scale electricity production, to be developed? Currently biomass has the attention of the government, the energy industry and research institutes. Various government measures are in use, varying from subsidy on production and R&D, to joint taskforces where all actors come together.

Recommendations for government conduct can be sought in:
- To dis- / continue, or improve upon current measures,
- To propose new measures.

Past and current measures have successfully stimulated electricity production from biomass. But there is also criticism. Power companies complain that a clear long term policy regarding biomass is lacking. To often measures change, regulation is ambiguous and there is no (international) agreement on environmental aspects with regard to CO2 emission permits. Essent, the largest Dutch electricity producer, explicitly mentions this in their annual report over 2005. They also anticipated cutting production from biomass by half if subsidy on bio-oil is decreased against earlier government statements. (Press release October 11th, 2005)
What is lacking is a stable environment for investment. The government can improve on this with:
- a clear long term policy,
- by resolute and progressively dealing with conflicting regulations,
- and where possible initiate the settling of disagreements concerning CO2 emission permits and the sustainability issue.

Essent Press release October 11th, 2005

Essent Annual report [pdf]