WHY NOT replace that coal with that waste wood?

The PROFIT motive.

Forestry in NZ is largely a free market economy industry (?)

We do not extensively use wood as energy, at an economic level it cannot compete with fossil fuels.

So the Biocoal idea is doomed?

There are THREE main reasons why the window of economic opportunity is opening for Biocoal:

1. My design for a Biocoal production plant is ‘disruptive’ and does not follow the traditional biomass processing plant thermodynamic and economic model.
2. The EROI of fossil fuels is decreasing due to all the low hanging fruit being consumed.
3. Carbon tax (ETS) is set to increase. (from $25 to $40 or $50 or even $100)

Fossil Fuel consuming industries will increasingly lose their social ‘license to operate’
Baby food made using coal!!! shock horror