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Journal of Cleaner Production 196 (2018) 997e1006

Contents lists available at ScienceDirect

Journal of Cleaner Production


journal homepage: www.elsevier.com/locate/jclepro

Residual biomass as resource e Life-cycle environmental impact of


wastes in circular resource systems
Johanna Olofsson*, Pål Bo
€ rjesson
€- och Energisystem, Lunds Tekniska Ho
Environmental and Energy Systems Studies, Lund University, Miljo €gskola, Box 118, SE-221 00, Lund, Sweden

a r t i c l e i n f o a b s t r a c t

Article history: Within an envisioned circular bio-based economy, a key component is the valorization of biomass wastes
Received 23 November 2017 and residues into valuable products. If the commonly used method of life-cycle assessment (LCA) is
Received in revised form applied to such products, an update and adaptation of LCA practice is needed regarding potentially
9 April 2018
outdated assumptions of residual resources as free from environmental impact. This paper therefore
Accepted 11 June 2018
presents and discusses LCA approaches to evaluating residual biomass as resources, and implications of
Available online 15 June 2018
different approaches to LCA results and decision-making. Based on an analysis of 31 LCA studies of bio-
based products, and on a model for recycling in LCA, we discuss alternatives to zero-burden assumptions
Keywords:
Life-cycle assessment
for biomass residues. The studied literature shows a variety of approaches to assessing the impacts of
LCA residues, including views of relevant characteristics and causality in primary production systems, and
Zero burden intended use and interpretation of LCA results. In general, acknowledging upstream impacts through a
Circular economy simple model of recycling and allocation entails that the environmental characteristics of primary pro-
Bioeconomy duction systems reflect on by-products and residues. We argue that LCA studies of residue valorization
By-product must recognize the potential value of residues by considering upstream impacts, and thereby avoid both
misconceptions of residues as per default environmentally preferable resources, and unintentional
support for high-impact primary production systems. Residues as resources require this adaptation in
LCA practice in order to avoid misguided decisions for a low-impact, bio-based and circular economy.
© 2018 Elsevier Ltd. All rights reserved.

1. Introduction low or no value is a key part (Murray et al., 2015).


As another expression of the aspiration to mitigate environ-
With limited natural resources globally and increasing pressure mental pressure, life-cycle assessment (LCA) has become a popular
on ecosystems, one potential strategy to mitigate anthropogenic tool to assess and compare the environmental impacts of products.
environmental impacts is to make better use of available resources. The LCA method quantifies the use of resources and the emissions
Based on this idea, a popular concept is that of the circular economy that arise throughout a product's life cycle, commonly referred to as
(Geissdoerfer et al., 2017) which refers to a society where resource from cradle to grave and defined by system boundaries. In LCA
flows are circular rather than linear and implies that all resources studies of waste and low-value residues, the practitioner must set
are used efficiently, materials are recycled, and little end waste is the upstream system boundary, deciding where the study of the
created. Another popular term is bioeconomy, or bio-based econ- waste life cycle starts (Finnveden, 1999). One potential approach to
omy, which refers to a widespread use of biomass replacing fossil this is a zero-burden assumption in which the activities that
resources, and where efficient utilization of organic material and occurred prior to the generation or collection of the waste material,
cascading use (Keegan et al., 2013) can play an important role and consequently their environmental impacts, are left outside the
(Bugge et al., 2016). In working with these ideas towards more system boundaries (Clift et al., 2000; Ekvall et al., 2007; Nakatani,
efficient and circular biomass resource flows, the utilization and 2014). The underlying logic requires the comparison of systems
valorization of resources that were previously considered to be of with identical amounts of waste, because then the upstream pro-
cesses can be considered equal in the two systems, and their
environmental impacts will not affect the intended comparison
* Corresponding author. (Finnveden, 1999).
E-mail addresses: johanna.olofsson@miljo.lth.se (J. Olofsson), pal.borjesson@ Though they do not necessarily follow the same logic, similar
€rjesson).
miljo.lth.se (P. Bo

https://doi.org/10.1016/j.jclepro.2018.06.115
0959-6526/© 2018 Elsevier Ltd. All rights reserved.
998 €rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo

assumptions of zero-burden resources are present in LCA studies of how previous studies of main products and production systems
waste and residue utilization today. One example in the area of assign environmental impacts to residues, compared also to ideas
biofuels is the EU renewable energy directive (2009/28/EC), which from more methods oriented literature, we aim both to develop an
states that for calculations of biofuels' greenhouse gas emissions, understanding of the choices made by LCA practitioners concerning
waste raw materials “shall be considered to have zero life-cycle valuation of different residual materials, and to provide a first data
greenhouse gas emissions up to the process of collection of those inventory for upstream environmental impacts of residual biomass.
materials.” Here, the assumption of zero burden refers to burden- The purpose is thus to discuss implications across a range of po-
free residual or waste biomass that is used as raw material in a tential LCA applications and rationales.
product life cycle, and not to a comparison of waste treatment
options for a certain amount and type of waste. Thus, it appears that 2. Life-cycle assessment methods for residues and recycling
another type of “zero-burden assumption” is present in practice (as
is also pointed out by Oldfield and Holden, 2014; Oldfield et al., First, the definition of important terms such as waste and res-
2018; Pradel et al., 2016), and as can be exemplified by a number idue are introduced (2.1), followed by a review of potential lines of
of recently published LCA studies (see e.g. Esteve-Turrillas and de la reasoning behind assumptions of burden-free resources within LCA
Guardia, 2017; Etxabide et al., 2016; Hajjaji et al., 2016; Husgafvel (2.2).
~ arrubia Fernandez et al., 2017;
et al., 2016; Koller et al., 2013; Pen
Ramirez et al., 2012; Summers et al., 2015). 2.1. Definition of by-products, wastes and residues
The logic and applicability of zero-burden assumptions may
however be affected by a shift towards circular resource systems, Defining materials as main, co- or by-products, or residues or
where waste is increasingly considered, utilized and studied as a wastes, is not straightforward, and depends on context. The
resource with an economic value. In a recent study, Oldfield et al. concept of waste is defined in the European Union's Waste
(2018) discussed zero-burden assumptions for waste resources, Framework Directive (2008/98/EC) as “any substance or object
and through examples of garden and food waste the authors which the holder discards or intends or is required to discard“. The
showed that this is one of several method aspects in LCA which may directive also states criteria that define by-products and end-of-
be crucial to decisions regarding waste resources in a circular waste, the latter describing when a waste material ceases to be
economy. As a similar example, Pradel et al. (2016) studied the waste after recovery. Offering an alternative definition of waste in
paradigm shift in the waste status of wastewater sludge, and its the context of LCA, Weidema (2001) suggested that “a waste is an
implications to LCA. The authors concluded that the zero-burden output that does not displace any other product”. This definition
assumption becomes debatable when sludge is no longer consid- builds on, but offers a more precise distinction than, an economic
ered a waste material, and that it is not valid when sludge provides basis where a waste is simply an output that does not provide
further functions in other product systems, e.g. by means of economic value to the process from which it arose (Weidema,
nutrient or material recovery. Similarly, Oldfield and Holden (2014) 2001), or an output that has a negative economic value (Guine e
showed that the zero-burden assumption is prevalent but rarely et al., 2004). Avoiding a focus on economic value, the definition
discussed in studies of food-waste valorization, and argued that the of waste based on the potential further use of the material can be
assumption is not compatible with a recognition of the economic viewed as consistent with the ISO 14044 standard, where wastes
value of food waste. Further, in their LCA study of fuels made from are “substances or objects which the holder intends or is required to
residual fat, Seber et al. (2014) showed parallel calculations where dispose of” (ISO, 2006; Pelletier et al., 2015).
tallow was considered burden-free, and where it was considered In accordance with the definition of waste as an output material
accountable for a small percentage of upstream GHG emissions that is disposed of and not further utilized, we consider all biomass
from animal husbandry. Though only briefly addressed by the au- outputs that can potentially be further utilized as potential non-
thors, the assumed environmental impact of tallow substantially waste products. This starting point lets us investigate upstream
affected the resulting GHG emissions of biodiesel fuel. environmental impacts for any biomass that could be, or has been,
In order to avoid misguided decisions based on improper argued to be burden-free due to a perceived waste status, which is
method choices in a growing circular economy, a clarification of the in line with the idea of circular economy where wastes to a greater
applications and implications of zero-burden assumptions in LCA is extent should be considered resources for further use. Therefore
necessary. Where zero-burden assumptions are not valid nor use- the term residual biomass as used in this paper includes any bio-
ful, such as when the waste status of a material is uncertain or logical material that originates from processing of biomass, except
changing, an alternative approach for dealing with upstream im- for main products which are originally intended to be produced.
pacts of residual biomass as resources is needed. The main purpose While this definition does not say which particular materials are
of this paper is therefore to present and discuss approaches in LCA wastes and which are not, it provides guidance within a certain
for evaluating residual biomass as resources. Such approaches and context. As wastes and residues are not defined by physical prop-
method choices have implications to LCA results and decision- erties or chemical composition but rather by process economics,
making, and the discussion is especially important in light of a trade and markets, or even perception, what constitutes residual
potential future circular resource system which aims to mitigate biomass changes over time and across space e a product can be
anthropogenic environmental impact. both a co-product and a waste in different places, and it can go from
To this end, we discuss different LCA approaches to multi- being residual biomass to being one of several desirable, market-
functionality and wastes as resources, followed by a literature able co-products. As a complement to residual biomass, by-
study and analysis of evaluation of residual biomass in LCA. The products and residues is used here to indicate a span of potential
literature study comprises existing LCA studies on seven biomass valuation, waste status and utilization of the biomass investigated.
processing industry sectors and an analysis regarding their
methods for handling the multi-functionality of production sys- 2.2. Zero-burden assumptions and recycling
tems, and more specifically their assigning of environmental im-
pacts to residues. Findings from these studies are also discussed in As mentioned in the introduction, the original definition and
relation to additional LCA literature which focuses explicitly on application of a zero-burden assumption was for comparisons of
general method development and multi-functionality. By showing waste management options in systems with identical waste
€rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo 999

streams, where identical upstream processes can be left outside the


system boundaries of a comparative study (Clift et al., 2000; Ekvall Raw material
et al., 2007; Finnveden, 1999; Nakatani, 2014). This is the principle extraction
normally referred to when mentioning zero-burden (illustrated in
Fig. 1). As a look into recent LCA literature showed, there can
however be other grounds for assuming that a waste or residual Processing
material is assigned zero burden from activities prior to its
collection. System B
While the zero-burden assumption in Fig. 1 only applies under
specific circumstances, residues can be assigned zero impact from Product A Residue A
upstream processes based on models of recycling. LCA literature
Processing
commonly distinguishes between models of open-loop and closed- System A
loop recycling, where open-loop refers to a situation where a ma-
terial arising in one product life cycle is used as raw material in a
different subsequent product life cycle, while closed-loop refers to Product B Residue B
a material being recycled in the “same” product life cycle (ISO,
2006). The importance of such a distinction between closed- and
open-loop recycling is however debated (Finnveden, 1999; Geyer Fig. 2. Schematic illustration of open-loop recycling between two product systems (A
et al., 2016; Nakatani, 2014). For the purpose of this paper, valori- and B).

zation and recycling of residual biomass in subsequent product


systems is considered a case of open-loop recycling. With this
impacts directly caused by that product”, and as a consequence
definition we view recycling of residual biomass as an exchange
impacts from raw material extraction is assigned to the first
between two subsequent life cycles or product systems, which al-
product life cycle (Ekvall and Tillman, 1997). This cut-off allocation
lows the study of the intersection between the two systems and the
approach effectively leaves the second product cut-off from the
use of residual biomass as a raw material in the second system.
environmental impacts related to the primary raw material
Further distinction between the terms of open and closed-loop
extraction, and as such it results in a type of burden-free assump-
recycling is, for all intents and purposes, not relevant to this
tion for the second product life cycle that does not correspond to
analysis.
the original zero-burden assumption as defined by Clift et al.
(2000); Ekvall et al. (2007); Finnveden (1999).
2.2.1. Cut-off method The cut-off method could be disqualified by the definition of a
The case of open-loop recycling, involving several subsequent multi-functional system in the sense that if a system is to be
product life cycles (Fig. 2), can be described as a multi-functionality considered multi-functional, it must provide more than one valu-
problem to which there are several potential solutions within the able function or material. The cut between two subsequent product
LCA method. The problem is that “the system boundary between life cycles as in the cut-off method could principally be viewed as a
products 1 and 2 is not clear-cut”, and it can in principle be solved specific case of allocation (or partitioning), where the first product
either by expanding system boundaries to include all products, or system is assigned 100% of the environmental impacts from raw
by allocating environmental impacts between them in order to material production. Subsequently, the allocation of 100% to the
study only one product (Finnveden, 1999). Both Ekvall and Tillman primary product system and 0% to the second product system could
(1997) and Finnveden (1999) present a selection of potential allo- be valid under certain circumstances but invalid under others. As an
cation approaches, out of which a so called cut-off method is example, Schrijvers et al. (2016) consider the cut-off approach as a
considered easily applicable to the extent that users may not possible case of economic allocation, applicable when the recy-
perceive it as an allocation (Finnveden, 1999). The underlying idea clable material leaving the first product system has a market value
is that “Each product should only be assigned the environmental of zero. In this case however, the authors argue that if the recycled
material has no economic value, the system under study could be
seen as not in fact being multi-functional (Schrijvers et al., 2016).
Using a similar logic, Pradel et al. (2016) conclude that wastewater
Raw material extraction Raw material extraction sludge can be assigned zero-burden only if it is not considered a
valuable output of the system, and that the assumption of burden-
free sludge is “strongly questionable when a ‘waste-to-product’
sludge is used as an input in an open-loop recycling LCA”. The very
Production Production
definition of multi-functionality could thus be interpreted as dis-
qualifying an allocation of zero environmental impact to residues
that are of some value.
Use Use The cut-off allocation approach (meaning 100-0 allocation be-
tween product systems) could also be disregarded due to other
inconsistencies and issues. Schrijvers et al. (2016) identify a po-
tential problem in considering recycled material cut-off from up-
Waste management Waste management stream impacts since it is possible that the very same material was
option A option B
already considered to provide a reduced impact in the study of the
main product, which would result in impacts getting “‘lost’ between
System boundaries product life cycles”. This is in line with the idea that the sum of
attributional (or accounting, as opposed to consequential) LCA
Fig. 1. The zero-burden assumption for comparison of waste management options. studies should correspond to all observed environmental impacts
Processes prior to the waste management are considered equal in the two systems to (Sonnemann et al., 2011).
be compared, and are thus left outside the system boundaries.
1000 €rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo

2.2.2. Alternatives to zero burden system B. Therefore we focus mainly on the perspective of residual
Overall, there are several potential lines of reasoning for biomass utilization as a case of open-loop recycling with allocation,
assuming burden-free resources in LCA, but the original zero- as described above. On the other hand, an important aspect of the
burden assumption is not necessarily well-founded in studies presented approach is the investigation of relevant bases and re-
that do not compare treatment alternatives for a certain amount of lationships for which to value and assign (allocate) environmental
waste. Instead, assumptions of burden-free resources in such impacts to residues, and a basis for substitution should indicate a
studies could be derived from a principle of open-loop recycling relevant characteristic for valuation of a residual material. In order
under specific circumstances and assumptions which lead to an to include and illustrate such potentially valuable characteristics of
allocation of zero impact to residues. This principle of recycling, residues, LCA studies which apply substitution to deal with multi-
however, can yield a different outcome under circumstances where functionality are also included in the literature analysis.
or when a 100-0 allocation between main product and residue is In order to delimit the literature and focus on the circular bio-
not justified. In such cases, the allocation between product and based economy, seven industry sectors using biomass feedstock
residual material must be investigated and based on physical or were chosen as basis for the literature analysis. The seven sectors of
other relationships between them. This type of allocation in open- brewery, bakery, dairy, fishery, slaughterhouse, sawmill and pulp
loop recycling can thus be an alternative to assumptions of burden- mill were chosen to represent common existing sectors of interest
free resources in cases where residues are utilized and valorized, for developing circular, bio-based economies in the Nordic coun-
such as when the study focus changes from comparisons of waste tries. With the limited selection of these seven biomass processing
treatment options to residue valorization. Therefore, this type of sectors, the literature analysis does not aim to provide a compre-
allocation is chosen in this paper as the basis for evaluating the hensive account of multi-functionality issues and their conse-
environmental impacts of residual biomass as resources. quences, but to present sufficient material to illustrate the general
In a more general context, allocation is one method option to ideas and conclusions of this paper. This is not to say that utilization
deal with multi-functional systems as is also the method of system of residues and development of circular bio-economy is not of in-
expansion (ISO, 2006). The idea of system expansion has created an terest, occurring or relevant in other sectors (see e.g. Maina et al.,
LCA practice of substitution (Pelletier et al., 2015; Vadenbo et al., 2017; Zabaniotou, 2018). As delimiters to the scope for the pur-
2017) in which by-products are considered to replace other com- pose of this study, primary production systems such as forestry and
parable products and thereby offer environmental benefits to the agriculture were excluded due to the additional complexity when
main production system. Consequently, substitution can deal with soil systems and functions are taken into account (Goglio et al.,
the multi-functionality of additional products or residues so as to 2015), as was the biorefinery type of biomass processing, since
produce results for the main product or product system, as opposed relevant multi-functionality issues and resulting environmental
to expanding the system and hence also the studied function. In impacts for co-products are widely studied for this specific sector
terms of valuation of residues as resources, substitution indicates (Ahlgren et al., 2015; Cherubini et al., 2011; Sandin et al., 2015). As
which products are considered substitutable by a certain residual an additional delimiting factor, only more recent studies (from 2010
biomass type, thus pointing to a potential value of the residue. and onwards) were considered.
While there may be value to such information, no explicit For the literature analysis of the seven industrial sectors, data-
connection to LCA calculation approaches for recycling or cascading bases including Scopus and Web of Science were searched for
use of materials can be derived from the literature. relevant studies. For studies to be considered relevant, the
following criteria had to be met:
3. Literature analysis
i. Application of life-cycle assessment method
Based on the principle of allocation in open-loop recycling, ii. Study of biomass within one of the chosen industrial sectors
previous LCA studies can provide an estimation of the environ- iii. Handling of by-products or residues by allocation or
mental impacts related to residual biomass. First, previous studies substitution
of main products or production systems can provide an insight into iv. Published between 2010 and mid 2016 (when retrieval of
the relationships between products and residues which have been literature was completed)
considered in establishing the allocation ratio, in other words the
basis for allocation. Second, the same studies can provide a quan- Studies which met these criteria were analyzed regarding
titative inventory of the upstream environmental impacts which is method choice for handling by-products and residues, both in
allocated to residues. This is illustrated in Fig. 2, where the envi- terms of which method was chosen and regarding the resulting
ronmental impacts allocated to residual biomass from system A environmental impacts associated with each residual biomass
constitutes the upstream impacts of residual biomass which enters stream. As complementing information, claims to follow certain
system B. For the purpose of investigating such upstream impacts method guidelines were noted, as adherence to guidelines can
of residual biomass, we studied published LCA studies in which the potentially explain method choices in the studies. In order to
method choices for handling multi-functionality were described, as broaden the analysis and discussion, findings from the literature
were the resulting environmental impacts associated with by- retrieved according to the above criteria were also discussed in
products and residues. The literature studied thus provides basis relation to additional LCA literature which focuses explicitly on
for both a qualitative analysis for valuation of residues, and a method development and multi-functionality.
quantitative assessment of the upstream environmental impacts of
residues. 4. Results and discussion
Connections between upstream environmental impacts of res-
idues and the use of substitution in previous studies are not as clear. The literature analysis of the 31 studies (Table 1) included both
In the context and logic of recycling as stated above, the method of the underlying relationships used for assigning impacts to residues
substitution is not directly applicable: it can deal with a residual (4.1), and the quantification of the environmental impacts associ-
material from the point of view of system A and its main product as ated with residues (4.2). See Appendix for the full inventory.
in Fig. 2, but it cannot provide a quantitative estimation of up- The limited number of studies identified did not allow for a
stream impacts of residual material from the point of view of generalization regarding method choices for residues and by-
€rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo 1001

Table 1
LCA studies included in the literature analysis. Allocation of upstream impact to residual biomass based on mass (M), energy content (En), economic value (Ec), or by other
means.

Sector Reference Residual biomass Allocation

Bakery Jensen and Arlbjorn (2014) Barley sharps, malt sprouts


Brewery Williams and Mekonen (2014) BSG
Mattila et al. (2012) “Mash”
Dairy Finnegan et al. (2015) Co-products. E.g. whey and buttermilk powders. Physico-chemicala
Chalmers et al. (2015) Co-product. Milk fat
Kristensen et al. (2015) Whey Ec
Briam et al. (2015) Whey M: milk solids, total
Gonza lez-García et al. (2013a) Whey Ec, M
Gonza lez-García et al. (2013b) Whey M: fat
Gonza lez-García et al. (2013c) “Residual stream” M
Verge et al. (2013) Co-products: buttermilk, buttermilk powder and whey powder Physico-chemicalb
€ et al. (2014)
Flysjo Co-products: whey protein concentrates, whey based products Ec: raw milk, product revenue,
M: milk solids
Aguirre-Villegas et al. (2012) Dry whey, whey cream Ec, M: milk solids, En: nutrition
€ (2011)
Flysjo Buttermilk, skim milk and cream Ec
Fishery Pelletier and Tyedmers (2010) “Trimmings” En: gross chemical
Vazquez-Rowe et al. (2014) Offal and fat residues Ec, En: protein
Cooper et al. (2014) Offal (viscera, heads, tails, trim wastes)
Trang Thuy et al. (2015) Fish meal, fish oil, other Ec, Exergy
Ziegler et al. (2013) Fish residues M
Svanes et al. (2011) Skin, bones, fins, other M, En, Ec, Hybrid
Slaughter-house Gonza lez-García et al. (2015) Viscera, bones, blood
Wiedemann et al. (2015a) Raw hides, tallow, meat and blood meal Ec, Hybridc
Wiedemann and Yan (2014) Hides, pet food, protein meal, tallow, blood meal Ec, En: protein, Hybridd
Thevenot et al. (2013) Viscera, sludge, blood, feathers
Teixeira et al. (2013) Liver, throat, breast, skin Ec, M
Desjardins et al. (2012) Hide, offal, fat, bones Ec, M
Sawmill Leino et al. (2016) Sawdust, bark
Ramasamy et al. (2015) Off-cuts, shavings, sawdust, splinters “Physical”
Murphy et al. (2015) Wood chips, sawdust, bark M
Kayo et al. (2015) Residues (sawdust)
Pulp mill Culbertson et al. (2016) Co-products: lignin, (soap) Ec, M
a, b
Allocation of raw milk based on mass (milk solids), followed by industry-specific data for “average resource use” (e.g. energy, water) (Feitz et al., 2007).
c, d
Hybrid model combining allocation (based on protein energy) and substitution.

products in LCA, but it allowed for a first assessment of the envi- large fractions of the total biomass ending up in by-products and
ronmental impacts of the residues and by-products included. The wastes (e.g. slaughterhouse and fishery).
uneven distribution of studies across the different industrial sectors
(Fig. 3) could potentially be explained by the amount of LCA 4.1. Method choices for multi-functionality and residues
research in general within the sectors in combination with the
scope and method of this paper (see 2.2). Further explanation for a 4.1.1. Allocation and cause of production
low number of identified studies could be a dominating focus on While allocation was the most common method choice, applied
main products (e.g. brewery and bakery sectors, as opposed to by 70% of the identified studies, the basis for allocating environ-
dairy), or by internal use of residues (e.g. pulp mill). Contrastingly, a mental impacts to by-products and residues differed between
higher number of studies and a more explicit focus on multi- studies and between sectors (Fig. 3). Among the 22 studies applying
functionality issues could potentially be explained by relatively allocation, 12 used more than one basis (e.g. mass, economic value)
for allocating between biomass streams. The most common
grounds for allocating environmental impacts were related to total
or specific mass fraction (13 of 22 studies), economic value (13
Bakery studies) or total or specific energy content (7 studies). The
Brewery reasoning for choosing or recommending a certain basis for allo-
cation differs between studies and as allocation in general is a
Dairy widely studied and debated part of LCA, it is not likely that the 31
Fishery
studies identified here provide an answer to this debate. The
studies included can however provide an insight into common or
Slaughterhouse contrasting reasons to choose a certain type of allocation over
another in relating a share of environmental impacts to residual
Sawmill
biomass. Some general patterns and conflicting arguments in and
Pulp mill across different industrial sectors are discussed below.
Number of studies
0 3 6 9 12
4.1.1.1. Causes and characteristics. General issues in identifying
Only allocation Only substitution Both allocation and substitution relevant bases for allocation appear to be the question of what can
Fig. 3. Distribution of studies included in the literature analysis. The differently
be considered the main driver or cause of production, and the
colored sectors of each bar show the number of studies applying a certain method for connection between the main desired function of production to the
dealing with multi-functionality of by-products and residues. € et al. (2014)
characteristics of residues. For the dairy sector, Flysjo
1002 €rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo

argued that the farmer is paid differently for different types of milk cases where they are not considered to fairly depict dynamics of the
solids, and therefore a weighted economic relationship better “re- industrial sectors, their markets and their environmental impacts.
flects the economic value of the raw milk and ‘the driver’ behind pri-
mary production” than the basis of total milk solids content. Similar 4.1.2. Substitution
reasoning is found in Flysjo € (2011). For the slaughtering process, While allocation was the most common method choice for
Gac et al. (2014) instead recommend an allocation approach based handling multi-functionality in the reviewed studies, substitution
on dry matter content, meaning dry mass in general, based on the was applied in roughly half of the identified studies. Since the ISO
idea that “most of the co-products generated are used for their standard for LCA prioritizes system expansion and recommends the
physicochemical characteristics: for their content in protein (human allocation approach for by-products but not for wastes (ISO, 2006),
food, pet-food) and/or in fat (gelatine, fats)”. Similar ideas are pre- claims to adhere to ISO could potentially explain the choice of
sented by Pelletier and Tyedmers (2010) for fish by-products, as substitution (as equivalent to system expansion) to deal with
“satisfying human needs for food energy is the root cause of all food wastes. The investigated literature, however, shows no pattern of
production activities”, but here the authors suggest an allocation substitution being more common among studies which claim to
based on the gross chemical energy content (higher heating value) follow ISO standards (see Appendix).
of the by-product streams to reflect a similar idea. Agreeing with Similarly to the analysis of allocation in the studied literature,
the nutritional value of food as the main cause of production, the most common basis for applying substitution is mass (total
Desjardins et al. (2012) instead recommend an economic approach: mass or mass of e.g. solids or protein, used in 8 out of 14 studies)
“Conversely, the economic approach better reflects the market driver of and energy content (used in 6 out of 14 studies). According to these
the whole beef industry, whose main function is to provide food.”. It is data, most of the studies which apply substitution to deal with
thus possible not only to see conflicting ideas about the actual multi-functionality use the same bases for relating residues to
cause of production being the need for protein, fat or energy, as environmental impacts as do studies which apply allocation.
opposed to the cause effect relationship being explained by eco- A few studies, however, illustrate the possibility to tailor the
nomics and market transactions, but also about the conclusions basis for substitution to reflect the residues' characteristics of value
drawn regarding suitable bases for allocation to represent causes or in substituting other products. For instance, Jensen and Arlbjorn
drivers of production. (2014) assume that bakery by-products can substitute pig feed on
a basis of digestible energy content, and Cooper et al. (2014)
4.1.1.2. Allocation from the point of residues' utilization. The idea of investigate substitution by fish offal on a basis of gelatin strength.
main cause of production is also mirrored by the finding that Such characteristics could potentially have been used also as a basis
allocating more environmental impacts to residues and by- for allocation, but they may not describe a relevant relationship
products than to main products is rejected. The reason for deem- between product and residue. Instead, when substitution is
ing such allocation unreasonable could potentially be explained by applied, the chosen material to be substituted and its function
the previously mentioned notion that main products drive pro- decide the relevant basis and relationship, more so than any rela-
duction, which cannot be completely disregarded. As an example, tionship between product and residue. In this way, the basis for
Ziegler et al. (2013) did not choose energy allocation “due to the substitution can reveal potentially valuable characteristics in
counterintuitive result” that by-products with high fat content biomass residues which are not considered the driving processes of
would be assigned a larger share of environmental impact than the main production system, and thus not a suitable basis for
low-fat fillets. Similarly, and also for fish, Vazquez-Rowe et al. allocation. Therefore, the basis for substitution by residues in pre-
(2014) disregarded mass allocation for the same principal reason. vious studies could potentially add guidance for acknowledging the
For slaughtering processes, Wiedemann and Yan (2014) did not find value of residual materials, especially within the industrial sectors
allocation based on protein and energy content suitable since it where no previous studies have applied allocation.
resulted in more environmental impact being allocated to a kg of
co-product than to a kg of main product. The authors did not 4.2. Inventory for upstream impacts of residual biomass
consider such results meaningful due to the “minor importance” of
by-products. Although the results in this specific case were also 4.2.1. Inventory
distorted by the different moisture contents of the flows, the The studies included in the literature analysis were all scanned
argument that it is unreasonable to allocate higher environmental for potential inventory data in the form of environmental impacts
impacts to by-products and residues than to main products seems allocated to, or through substitution avoided by, residues and by-
to be considered valid standing on its own. products. Notably, only 9 studies out of the 22 applying allocation
Viewing economic signals as the main cause of production, clearly presented the environmental impacts allocated to residues
economic bases for allocation can be an attractive, but not uncon- (see Table 2). Out of the 14 studies applying substitution, only three
tradicted, alternative. Pointing out drawbacks of the approach, presented the impacts avoided through substitution.
Murphy et al. (2015) disregard economic allocation for a sawmill Based on the GHG emissions data in Table 2, it is apparent that
process because it is considered too difficult to estimate future different studies, as well as different allocation methods within
economic value of by-products, “especially in the face of rising de- studies, yield different results. This is expected, but nevertheless
mand due to renewable energy targets." Not settling the debate but adds complexity to the principle of including upstream environ-
providing an illustrative example, Ziegler et al. (2013) argue against mental impacts in environmental assessments of residues as re-
an economic allocation in their study with an example of a sources. As for differences due to the allocation methods applied,
collapsed fish stock. The authors point out that while the revenue which can be seen within studies, this methodological issue is not
made from by-products to the fishery may be comparably low to likely to be resolved. Regarding differences between studies,
other products, it still increases the overall profitability of an un- naturally the same type of product may be produced causing
sustainable practice, and may increase demand. Due to this different environmental impacts, and different method choices can
connection, the authors suggest to use mass based allocation in further explain differences in results. As an example, physical or
order to make visible the potential consequences of choosing fish mass-based approaches to allocation appear to result in upstream
meal stemming from collapsed stocks. It appears that both physical GHG emissions of whey which vary by a factor of 10. This variation
and economic bases for allocation are criticized and disregarded in can partly be derived from the inclusion or exclusion of raw milk
€rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo 1003

Table 2
GHG emissions allocated to by-products and residues based on the literature study. For each result, the type of allocation is indicated in parenthesis: M: mass, Ec: economic, En:
energy content, Ph: physico-chemical based on (Feitz et al., 2007). Note that not all of the seven studied industrial sectors are represented in Table 2.
1
Sector Reference Biomass and allocated GHG emissions (kg CO2-eq. kg )

Dairy Finnegan et al. (2015) Milk powders: 12.4 (Pc)


Whey powders: 13.1 (Pc)
lez-García et al. (2013b)
Gonza Whey powder: 4.36 (M)
Verge et al. (2013) Buttermilk: 0.9e1.2 (Pc)
Powders: 8.3e10.8 (Pc)
€ et al. (2014)
Flysjo Whey-based products: approximately 5 (Ec: product revenue) or 7.4 (Ec: raw milk)
or 10 (M: milk solids)
Aguirre-Villegas et al. (2012) Dry whey: 1.2 (M: milk solids) or 0.67 (En: nutrition) or 0.23 (Ec)
Whey cream: 0,4 (M: milk solids), 0.6 (En: nutrition), 0.5 (Ec)
Fishery Svanes et al. (2011) Skin, bones, fins, other: 0.2 (Ec) or 1.1 (Hybrid) or 1.7 (M) or 1.8 (En)
Slaughter-house Desjardins et al. (2012) Hide: 12.9 (M) or 12.3 (Ec)
Offal: 12.9 (M) or7 (Ec)
Fat and bones: 12.9 (M) or 2 (Ec)
Pulp mill Culbertson et al. (2016) Lignin (dry): 0.55e0.70 (M) or 0.18e0.19 (Ec)
Soap: 0.55e0.70 (M) or 0.088e0.099 (Ec)

production in studies of dairy products. Further complicating the valuable characteristics of residues as also an underlying cause of
possibility of relying on previous studies is the fact that the status as the whole primary production system e demand for nutrient and
by-product or residue is not static for any one material, and thus energy, or economic demand. Physical allocation can be considered
attention to both current and potentially future situations should to run the risk of allocating more impacts to residues than to main
be paid by LCA practitioners. In general, when considering up- products, which is perceived as intuitively unreasonable from the
stream impacts of residual biomass based on other studies, it be- point of view that the economic demand for main products drives
comes important to be aware of the different method choices made production. Conversely, allocation based on low economic values of
upstream, and to adapt relevant data to the requirements and as- residues risk neglecting the support from residue valorization to
sumptions of new studies. potentially unsustainable production systems.

4.2.2. Transparency and visibility of upstream impacts of residues 4.3.1. Causes and rationales
In this approach for including upstream impacts of residues, While several of the identified studies provide a motivation for
transparency in LCA studies is required so as to clearly state the choosing one approach to allocation over another, the arguments
chosen methods and relationships for dealing with multi- more often appear to build on the specific situation and by-product,
functionality. As for transparency in the studies included in the and less often on a general underlying rationale for LCA. None-
literature analysis, remarkably, a majority of the studies identified theless, the motivations for choosing or disregarding a certain
neither state nor provide sufficient information to facilitate a allocation approach resemble those found by Pelletier et al. (2015)
calculation of allocated or avoided environmental impacts. Out of who, based on a mapping of the field of LCA, put forward two
the 31 studies identified, only 12 stated the environmental impacts general rationales for LCA based either on a focus on natural science
allocated to, or avoided by, by-products and residues. Although and physical flows, or on socio-economic relationships. For
some additional studies provide information that could be used to instance, regarding the underlying cause of production, the idea of
perform further calculations, we find the overall result not only a economic incentives as cause for activity was explicitly stated by
substantial lack in the general aim for transparency in LCA, but Desjardins et al. (2012) and Flysjo € (2011) as a motivation for eco-
particularly problematic from the point of view that by-products nomic allocation. Not necessarily aligning fully with the natural-
and residues may be facing increasing utilization and valoriza- science rationale, Gac et al. (2014) and Pelletier and Tyedmers
tion. Such a development would lead to outdating assumptions in (2010) motivated the choice of a physical approach by referring to
previous LCA studies regarding the use and value of residual the need for energy (protein, fat) as the cause of activity, which
biomass, and potentially outdating results based on such could be argued to reflect either the “value” of the production
assumptions. system, or a strictly physical relationship. Representing ideas from
Because LCA does not provide absolute truths, but rather give both the two rationales, Ziegler et al. (2013) dismiss energy allo-
method-dependent results that need interpretation and critical cation due to a counterintuitive result e a principle of fairness
examination, transparency throughout studies is important. We which Pelletier et al. (2015) argue to be central to a socio-economic
argue that this need for transparency is increasingly important rationale e and instead choose mass allocation in order to make
regarding the chosen method for handling multi-functionality, and visible a relationship stemming from market dynamics. From the
regarding the environmental impacts either allocated to by- point of view of basing LCA studies on coherent rationales, such a
products and residues, or avoided through substitution. Both motivation could be difficult to accept.
method choices affect final results, and their bases and results The suggested physical and socio-economic rationales are gen-
should therefore be made openly available. eral for LCA, but have certain implications in situations involving
by-products. For instance, a criticism towards economic allocation
4.3. General discussion is that it effectively equates low economic value to low environ-
mental impact regardless of the origin of a material (Pelletier et al.,
In striving to avoid issues of seemingly burden-free resources, 2015) e a principle which was exemplified by Ziegler et al. (2013) in
different approaches to handle upstream impacts of by-products the mentioned example of a collapsed fish stock. Conversely,
and residues can be derived from the literature. The literature Svanes et al. (2011) provide an example of the idea that LCA results
analysis performed in this paper showed that an appropriate basis can be used to incentivize a certain desired behavior (Pelletier et al.,
for allocating impacts to residues is considered one that reflects 2015), such as allocating a low relative share of environmental
1004 €rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo

impact to by-products in order to incentivize their further use. upstream impacts of residues should be taken into account, and the
Clearly, the different understandings and ideas of what LCA results chosen method explicitly stated and motivated. Avoiding unwar-
reflect and are used for, motivate directly opposing approaches for ranted assumptions of burden-free resources may be especially
allocation to by-products and residues. important in studies of residues generated in primary production
systems with potentially high environmental impacts.
4.3.2. Physical relationships: characteristics and origins As another potential alternative to avoid unwarranted zero-
While a variety of physical approaches to allocation were burden assumptions, the issue of burden-free residues can be
exemplified in the 31 identified studies, in the general LCA litera- viewed as a problem of narrow system boundaries which creates
ture, several studies have focused on identifying system- or the need to separate residues from upstream processes and to
industry-specific biophysical relationships between co-products allocate environmental impacts. Avoiding such separation and
(see e.g. Thoma et al., 2013; Wiedemann et al., 2015b). In pre- allocation by expanding system boundaries would also eliminate
senting such an approach, Brankatschk and Finkbeiner (2014) argue the problem of seemingly burden-free resources, as each residual
that the allocation basis should reflect the “functionalities” of all stream and its valorization would be studied in connection to up-
considered co-products, an idea which is also supported by stream processing, main products and other by-products. It is
Pelletier et al. (2015) who consider it the essence of a relevant un- however unlikely that all environmental assessments will be car-
derlying physical relationship. ried out with expanded system boundaries and functions since it
Furthering the idea of biophysical approaches to allocation, does not allow for single material or product comparisons. This is
models which reflect the underlying biophysical causality of a not least the case within the boundaries of regulatory documents
system could be argued to correspond to the ISO standards' second such as the EU renewable energy directive (2009/28/EC) which
step of priority (underlying physical relationships) more than an does not allow such solutions for biofuel calculations. It is therefore
arbitrary choice of physical parameter such as total mass. As ex- important to discuss other potential solutions such as the ones
amples, Chen et al. (2017) suggest to base allocation to animal based on allocation of upstream impacts to residues presented in
products on the modeled metabolic energy requirements of this paper, and to discuss the potential implications of using LCA
different body-tissue growth, and van der Werf and Nguyen (2015) studies with unwarranted assumptions of burden-free resources as
suggest the physiological construction cost of plant compounds as bases for decision-making.
basis for allocation. Both studies argue that a relevant relationships While inclusion of upstream impacts of residues address issues
between outputs of a system is their common origin, which the of seemingly superior materials, identifying the most favorable
models supposedly reflect, more so than the physical characteris- uses of a residual material, from different perspectives, requires
tics of the materials produced. As pointed out by Mackenzie et al. consideration of different possible pathways for utilization. This
(2017), however, a thorough motivation to how and why the sug- especially important in the context of emerging valorization pro-
gested models succeed to depict underlying physical relationships cesses and technologies, as the environmental aspects of such
is lacking. The authors conclude that the question of whether such a processes and uses must be compared to current and alternative
model could actually be produced remains an open question. uses of materials in order not to suggest changes which undermine
As an alternative to allocation, substitution allows for relation- the overall goal of minimizing environmental impacts (see e.g.
ships between residues and comparable products from other pro- Jørgensen et al., 2012; Tufvesson et al., 2013; Welfle et al., 2017).
duction systems to indicate valuation of residues. The identification Therefore the avoidance of unwarranted zero-burden assumptions
of substituted products as well as a representative basis and ratio is crucial in developing LCA studies for a circular bio-economy, but
for substitution remains crucial method aspects to be thoroughly other method considerations may be equally important in
considered and studied (Hanserud et al., 2018; Vadenbo et al., addressing answers to different questions.
2017). With further development of technology, industry investments
In relation to residues' utilization, different views of what LCA and policy incentives aimed at valorizing different types of residual
results represent and can be used for e such as their potential role material in a circular economy, residues are likely to be increasingly
as governing instrument to incentivize further use e could muddy utilized and considered to hold some value. Considering this as a
the understanding of residues' environmental impacts as resources. paradigm shift where wastes are increasingly seen as resources,
Transparency and clarity regarding approaches, motivations and environmental assessments of residues should move away from
intended uses become essential. While we do not aim to conclude zero-burden assumptions where residual material is free from
on a superior approach to allocation, further studies could examine upstream environmental impacts, and increasingly consider
and test the implications of different approaches' to upstream including upstream environmental impacts or by other means
burdens in decision contexts regarding residues as resources. broadening the system boundaries. If tools like LCA fail to do so,
they may provide invalid decision support out of line with a new
4.3.3. Avoiding zero-burden assumptions resource management strategy. More specifically, if residues are
While a specific method for dealing with upstream impacts is continuously considered burden-free by default, no matter the
not suggested here, acknowledging these difficulties and the un- system from which they arose, materials from systems causing high
derlying complexity calls for studies to investigate the upstream environmental impact can be premiered for their perceived envi-
impacts of residues and by-products, including impacts resulting ronmental performance when compared to other resources. In the
from different method choices. As a first step, previous studies can worst case, the premiering and use of such residual materials may
be used to assess the upstream impacts of residues, but this fail to provide the intended environmental benefits, but potentially
approach depends on transparency in the field of LCA, and its add to the profitability and enforcement of high impact primary
applicability is limited to studied environmental impact categories production systems. Note that the findings of this paper are not fit
and biomass streams. Further difficulties can arise when different for conclusions regarding whether or not a circular bio-based
studies use different methods for handling multi-functionality and economy is a desirable goal for environmental sustainability, but
different upstream system boundaries, and when the relationships they point to the risk of failing to realize intended targets if de-
used become outdated, calling for the LCA practitioner to make cisions and policies are based on assessments with narrow per-
important choices. Nonetheless, there is no support for default spectives. The approach for including upstream impacts of residual
zero-burden assumptions for residues in the LCA literature. The biomass presented in this paper is one attempt to address and
€rjesson / Journal of Cleaner Production 196 (2018) 997e1006
J. Olofsson, P. Bo 1005

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cation in LCA of livestock co-products: modeling metabolic energy re-
the role of environmental assessments and LCA for decision-
quirements of body-tissue growth. Int. J. Life Cycle Assess. 22 (6), 883e895.
support in an increasingly circular and bio-focused economy. Cherubini, F., Stromman, A.H., Ulgiati, S., 2011. Influence of allocation methods on
the environmental performance of biorefinery products-A case study. Resour.
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This work was supported by the Research Council of Norway Goglio, P., Smith, W.N., Grant, B.B., Desjardins, R.L., McConkey, B.G., Campbell, C.A.,
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Gonza lez-García, S., Hospido, A., Moreira, M.T., Feijoo, G., Arroja, L., 2013b. Envi-
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Appendix A. Supplementary data Gonza lez-García, S., Castanheira, E.G., Dias, A.C., Arroja, L., 2013c. Environmental life
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