Statement on SBP Approval Process

The Certification Body, PricewaterhouseCoopers LLP (PwC), became an ‘SBP-approved’ Certification Body in May 2016.

On 23 January 2017 (effective date), PwC was suspended for the delivery of SBP Supply Chain and Biomass Producer Certification in Canada and the USA.

Following the six month suspension period (23 January 2017 – 22 July 2017) and the subsequent SBP and independent Technical Review process, the following can be confirmed:

The suspension of PwC has been lifted for SBP Supply Chain and Biomass Producer Certification in Canada and the USA, excluding certification that includes Supply Base Evaluation.

The suspension of PwC for certification for Biomass Producer Certification in Canada and the USA including Supply Base Evaluation has not been lifted. As the six-month suspension period has come to an end, PwC is now terminated for Biomass Producer Certification including Supply Base Evaluation.

PwC may continue to offer certification in Canada and the USA for both Chain of Custody and for Biomass Producer excluding Supply Base Evaluation.

SBP: Fact not Fallacy

SBP is a credible and robust certification system enabling users of woody biomass for energy production to demonstrate compliance with regulatory, including sustainability, requirements. At the core of the system are:

  • 38 indicators defining legality and sustainability;
  • alignment with leading regulatory regimes on sustainable biomass practice; and
  • independent scrutiny of certificate holders’ management systems and procedures.

Responding to the Dogwood Alliance and Natural Resources Defense Council issue paper, The Sustainable Biomass Program: A Smokescreen for Forest Destruction and Corporate Non-accountability’, Carsten Huljus, SBP Chief Executive Officer, commented: “SBP has been benchmarked and accepted by leading competent regulatory authorities as a means of verification for compliance with biomass sustainability criteria. The suggestion that SBP is a smokescreen is based on a misunderstanding of what the system stands for and how it operates.

“The scope of the SBP certification system is clearly and publicly defined. Claims that SBP uses “flawed and incomplete carbon accounting, lacks independent audits and verification, and fails to provide performance-based thresholds and protections” are simply unfounded.

“Policymakers, civil society, biomass consumers and producers, and all other stakeholders can have every confidence in SBP providing assurances on the legality and sustainability of biomass used in energy production”.

The SBP certification system is founded on the two principles of legality and sustainability. Those principles are broken down into criteria and again into indicators, of which there are 38 in total covering a range of requirements, including ensuring compliance with local laws, ensuring features and species of outstanding or exceptional value are identified and protected, and ensuring carbon stocks are maintained or increased over the medium to long term.

Together those indicators set SBP’s definition of sustainability and legality, and are published in the first of the suite of six SBP standards. SBP’s definition maps on to similar schemes, such as the Forest Stewardship Council (FSC), the Programme for Endorsement of Forest Certification (PEFC), and those schemes recognised by PEFC, such as the Sustainable Forestry Initiative (SFI), and is based on the biomass sustainability criteria of European countries, in particular, Belgium, Denmark, the Netherlands and the UK.

The other five SBP standards cover how to evaluate the sustainability of the feedstock material, including requirements for stakeholder consultation and public reporting, how third-party verification is to be undertaken, and requirements for chain of custody.

At the heart of the SBP certification system is independent scrutiny. The first point of certification in the SBP certification system is the biomass producer (wood pellet/chip producer). The biomass producer is audited for compliance with the SBP standards, specifically that the feedstock it uses is sourced both legally and sustainably. In line with FSC, PEFC and SFI, that audit must be carried out by an independent, third-party Certification Body.

Since August 2016, the accreditation body, Accreditation Services International (ASI), has been responsible for reviewing the certification decisions made by the Certification Bodies, providing another level of independent oversight. And finally, the independent Technical Committee makes recommendations on technical decisions, including initial certification decisions.

Aside from the independence of the certification decision-making process, the independent Advisory Board provides advice directly to the Board of Directors on strategic matters, credibility of the certification system, and technical and public policy issues.

SBP-endorsed Regional Risk Assessment for Denmark Published

SBP has today published the SBP-endorsed Regional Risk Assessment for Denmark. The publication of the Regional Risk Assessment follows a period of public consultation and internal review by SBP, including an approval recommendation from the independent Technical Committee. SBP has also published a response to consultation, which summarises and considers comments received from stakeholders.

SBP-endorsed Regional Risk Assessments are a key part of SBP’s focus on identifying and mitigating risks associated with sustainably sourcing feedstock for biomass pellet and woodchip production. The SBP certification system is designed to provide assurance that feedstock is sourced legally and sustainably.

Feedstock certified at the forest level through FSC® or PEFC-endorsed schemes is considered SBP-compliant. Other feedstock must be evaluated using a risk-based approach if it is to count towards an SBP-compliant claim.

Typically, the Biomass Producer – a wood pellet or woodchip producer – is responsible for carrying out the risk assessment and putting in place mitigation measures to manage any specified risks such that the risks can be considered to be controlled and hence low risk. It is the role of an independent, third-party Certification Body, approved by SBP, to check that the feedstock evaluation has been correctly undertaken and that any mitigation measures are being effectively implemented.

The purpose of an RRA is to evaluate an entire geographic region and determine the risks associated with sourcing feedstock for wood pellet or woodchip production from that region. Thus, the need for individual Biomass Producers to conduct risk assessments is avoided and, therefore, consistency between Biomass Producers’ risk assessments guaranteed. The SBP RRA procedure also ensures active engagement with a diverse range of stakeholders in the region.

The SBP-endorsed Regional Risk Assessment for Denmark and the SBP response to consultation can be found at: www.sbp-cert.org/documents/risk-assessments/denmark.

SBP Celebrates 100 Certifications

The Sustainable Biomass Program (SBP) has today announced that 100 organisations now currently hold valid SBP certificates. The organisations have been certified in accordance with the SBP certification system, a unique certification system designed for woody biomass used in industrial, large-scale heat and power production.

Carsten Huljus, SBP Chief Executive Officer, commented: “The SBP certification system enables producers of woody biomass to demonstrate that they source the raw material responsibly and in compliance with the regulatory, including sustainability, requirements applicable to generators burning woody biomass to produce heat and/or power.

“Reaching 100 certifications is an important milestone for us. It firmly establishes SBP as an effective certification system for the biomass-to-energy sector”.

SBP Certificate Holders are either biomass producers, traders, or the end-users of SBP- certified biomass, such as large-scale utilities producing heat and power. The geographic reach of the SBP system currently extends to 15 countries. A list of Certificate Holders may be viewed at: http://www.sbp-cert.org/approvals-and-certifications/certificate-holders.

SBP Consultation on Final Draft Regional Risk Assessment for Denmark

SBP has today published the final draft Regional Risk Assessment for Denmark. Interested parties are invited to provide written comments on the draft.

Regional Risk Assessments are a key part of SBP’s focus on identifying and mitigating risks associated with sourcing feedstock for biomass wood pellet and woodchip production. The SBP certification system is designed to provide assurance that all feedstock is sourced legally and sustainably.

Feedstock certified at the forest level through FSC® or PEFC schemes and feedstock from recycled sources is automatically SBP-compliant. All other feedstock must be evaluated using a risk-based approach.

Typically, the Biomass Producer – a pellet or woodchip mill – is responsible for carrying out the risk assessment and putting in place mitigation measures to manage any specified risks such that they can be considered as controlled and hence low risk. It is the role of an independent, third-party Certification Body to check that the feedstock evaluation has been correctly undertaken.

The purpose of a Regional Risk Assessment is to evaluate an entire geographic region and determine the risks associated with sourcing feedstock for biomass wood pellet or woodchip production from that region. Thus, the need for individual Biomass Producers to conduct risk assessments is avoided. Further, Regional Risk Assessments are particularly valuable where statutory protection for forested land is limited.

Carsten Huljus, SBP Chief Executive Officer, commented: “Identifying and managing any risks so as to prevent illegal and unsustainable sourcing of feedstock for the production of biomass wood pellets and woodchips used in large scale energy production is central to the role of SBP.

“We encourage interested parties to take part in the consultation”.

The final draft Regional Risk Assessment for Denmark may be viewed at: http://www.sbp-cert.org/documents/consultation-documents/draft-regional-risk-assessments. Interested parties are invited to provide written comments on the final draft to Penny Bienz at penny.bienz@sbp-cert.org by Monday, 5 June 2017.

Statement on SBP Approval Status of NEPCon OÜ

SBP has lifted NEPCon OÜ’s suspension for SBP biomass producer (including Supply Base Evaluation) and supply chain certification in Russia.

The Certification Body, NEPCon OÜ, became an ‘SBP-approved’ Certification Body in September 2015.

It is an SBP requirement that a reduction in scope or suspension of a relevant accreditation, such as for FSC® or PEFC, by an accreditation body leads to a corresponding suspension of an SBP approval.

Therefore, following the suspension of NEPCon OÜ’s FSC accreditation for Forest Management and Chain of Custody certification in Russia by Accreditation Services International (ASI) on 1 December 2016 (effective date), SBP suspended NEPCon OÜ’s approval for SBP biomass producer (including Supply Base Evaluation) and supply chain certification in Russia on 6 January 2017 (effective date).

On 21 April 2017, ASI announced that the suspension had been lifted. Following a review to ensure that the other SBP requirements are still fully met, SBP has also lifted its suspension (effective 21 April 2017).

SBP Annual Report 2016 Published

The Sustainable Biomass Program (SBP) has today published its first annual report. The report covers the calendar year 2016, and is available at: www.sbp-cert.org/documents/annual-reports.

Carsten Huljus, SBP Chief Executive Officer, commented: “The report provides an easy-to-follow guide to SBP, which we hope helps to communicate what is a fairly complex certification system. The performance review takes a good look at the key outputs of 2016. A lot has been achieved in a short period and we are grateful to all our stakeholders for the invaluable support they have given to the process.

The current governance arrangements are described alongside the critical role of independent oversight. In linking good governance and independent oversight we aim to deliver a credible and robust certification system.

“I trust our first annual report will make a good base against which we will be able to monitor and report on our performance and progress in the coming years”.

Statement on SBP Approval Status of PricewaterhouseCoopers LLP

The Certification Body, PricewaterhouseCoopers LLP (PwC), became an ‘SBP-approved’ Certification Body in May 2016.

As part of the SBP’s processes and procedures, a Certification Body is evaluated against SBP’s requirements (SBP Standard 3). Where those requirements are not fulfilled a non-conformity is raised against the Certification Body’s own process and procedures. In cases where an approved Certification Body does not effectively implement corrective action of a major non-conformity and demonstrate conformity within the required timeframe, SBP shall immediately start the suspension process.

Consequently, PwC has been suspended (effective date 23 January 2017) for SBP biomass producer (including Supply Base Evaluation) and supply chain certification for Canada and the USA.

Once evidence has been provided that the major non-conformities in question have been closed, and providing the other SBP requirements are still fully met, SBP will be able to lift the suspension. However, the period of suspension shall not exceed six months unless specifically authorised by SBP.

Until the suspension is lifted, PwC shall not enter into new agreements for certification, and may only perform initial certification services with explicit written approval from SBP. PwC shall, however, continue to conduct surveillance audits for existing clients during the period of suspension

SBP Governance Transition Process: Consultation Launched

SBP has today launched a consultation as part of its governance transition process.

Following a comprehensive review of 12 certification systems in operation across a variety of sectors a proposal for the new governance arrangements for SBP has been developed. The overriding objective is to transform SBP into a multi-stakeholder governed organisation. Further details on the governance transition process may be viewed here.

As part of the process we are now consulting on the key documents that will underpin the new structure and define the core of SBP’s future governance arrangements.

Thomas Dalsgaard, Chairman of SBP, commented: “We are at an important stage in the development of the certification system. Our plan to transform SBP into a multi-stakeholder organisation is gaining momentum and the new arrangements are on schedule for implementation in early 2019.

“This consultation is fundamental to the new arrangements and we encourage interested parties to take part and help to shape SBP’s future”.

The documents on which we are seeking stakeholders’ views can be found at: https://sbp-cert.org/documents/consultation-documents/live-consultations. Interested parties are invited to provide written comments and feedback using the templates provided by 31 January 2018. All responses should be sent to info@sbp-cert.org.

NEPCon Accredited for SBP Certification

NEPCon has become the first Certification Body to be accredited by Accreditation Services International (ASI) for SBP certification services.

ASI, the appointed accreditation body for the SBP certification system, has undertaken a thorough assessment of the processes and procedures in place at NEPCon and is satisfied that the accreditation requirements for the SBP certification system have been met.

The ASI accreditation process starts with a desk review of supporting documentation from the Certification Body, and is followed by an on-site head office assessment. The last stage is a witness assessment of a Certification Body audit. A recommendation decision is then submitted to the ASI Accreditation Committee, with the final accreditation decision taken by the ASI Managing Director.

Carsten Huljus, Chief Executive Officer of SBP, commented: “The accreditation process introduces an important level of independent, third-party oversight, bringing SBP into line with other, well-recognised certification systems. I congratulate NEPCon on their achievement.”

Certification Bodies must become accredited by ASI if they wish to provide SBP certification services to their clients and prospective clients from 1 January 2018. The requirement applies to all Certification Bodies, including those that are currently SBP-approved.