The report ""Potential for Biofuel Use in Lithuania"" - Possibilities for the Procurement of Wood Fuel in seven Forest Enetrprise Areas in the North Eastern Lithuania - is the report of the First Phase of a Joint Swedish-Lithuanian Biofuel Development Project. The aim of this project is to contribute and to lay the basis for a sustainable development projects going on in Lithuania with financing from the Baltic Billion Fund under the assignment to STEM directed towards conversion of oil or coal fired boilers in the district heating system to the use of biofuel. The direction of the first phase of the project was to carry out a feasibility study to identify the present conditions for the utilisation of wood fuel and to define a demonstration area in the eastern part of Lithuania, where the largest forest resources are located.

The Swedish National Energy Administration has commissioned the Swedish National Board of Forestry through the County Board of Forestry in Värmland-Örebro to carry out this project which is made in co-operation between the Department of Forest and Protected Areas under the Ministry of Environment in Lithuania. The Energy Department and the Energy Agency under the Lithuanian Ministry of Economy and other relevant energy, forestry and environment institutions in Lithuania also participate in the project.