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Bio-energy is seen as one of the key options to mitigate greenhouse gas emissions and substitute fossil fuels. This is certainly evident in Europe, where a kaleidoscope of activities and programs was and is executed for developing and stimulating bio-energy. Over the past 10–15 years in the European Union, heat and electricity production from biomass increased with some 2% and 9% per year, respectively, between 1990 and 2000 and biofuel production increased about eight-fold in the same period. Biomass contributed some two-thirds of the total renewable energy production in the European Union (EU) (2000PJ) or 4% of the total energy supply in 1999. Given the targets for heat, power and biofuels, this contribution may rise to some 10% (6000PJ) in 2010. Over time, the scale at which bio-energy is being used has increased considerably. This is true for electricity and combined heat and power plants, and how …