Market Analysis

Investors in the bioenergy industry face a unique market environment that is not only influenced by traditional supply and demand factors, but also by governmental policies and regulations. The regulatory environment is often as dynamic as the markets and sometimes a game changer.

We offer a full range of market research tools to analyze the market opportunity for your bioenergy investment project and assess the impact of public policy for the bio-energy industry as a whole and your business in particular. Our portfolio of services will help you answer these questions, and others, regarding the market environment in your industry sector:

• How will government policy (renewable energy mandates, carbon legislation, etc.) impact the growth of demand for biomass power, pellets and advanced biofuels?
• What financial incentive programs are available on federal or state level to support bioenergy investments?
• How is the capacity for specific industry segments (e.g. pellets) growing in a particular geography and how will it affect the competitive landscape and balance of supply and demand?
• What are the trends and outlook for product prices and how are those derived?
• What is the cost structure for specific manufacturing technologies?
• What impact do subsidies and renewable energy production credits have on cost structures and margins?
• Which industries compete for the same feedstock in specific geographies and how competitive is your facility relative to these other buyers?

Our team members have worked with clients in different phases of the project launch and the objectives of the market environment analysis have varied accordingly. In the initial project inception phase we can help your company develop a winning business strategy and prepare a business plan that serves as a strong financing document. The scope of our analyses range from serving as an independent third-party consultant to financial investors, to performing a full due diligence on the market outlook for the investment sector, to assignments for project developers to reviewing critical market-related assumptions that are being used in their business plan. Companies that have limited management resources during the project start-up, may also benefit from having our experts assist with business development by identifying and screening potential supplier or customer opportunities and developing/negotiating contracts.