The background

 If you picture an Austrian landscape, you’re probably imagining mountains, forests and lakes. It seems like a cliché, but almost 50% of the country is covered by woods and forests, which shapes it in many ways. The first is demographics; more than two-thirds of Austrians live in small towns or rural areas that have different needs to cities. Another is the economy; the wood industry accounts for more than 2% of Austria’s GDP. And then there is also the language, which is full of wood-related expressions, such as Ich glaub’, ich steh’ im Wald!, a way to express astonishment that literally means “I think I’m standing in the woods!”

Export-oriented and internationally successful, the timber industry is one of the largest employers in the country. KLH Massivholz Wiesenau GmbH pioneered the production of cross-laminated timber after developing it in cooperation with the Graz University of Technology in 1996.

Cross-laminated timber consists of several layers – typically three to seven – of cross-bonded single layer boards that are glued together. It can be used as a structural material in buildings, replacing concrete or steel in walls, floors, roofs and façade elements.

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The challenge

KLH’s original production site was in Katsch. In recent years, it has not been able to keep up with demand as the market has grown by more than 50% and the machinery and equipment is outdated.

The construction of a new production plant for cross-laminated timber panels in Wiesenau, 19 kilometres away from Johann Offner Group’s sawmill site in Wolfsberg – both in the Carinthia region – could alleviate the Katsch site problems. The Wiesenau site and the sawmill in Wolfsberg are connected by railway, which makes it easier to transport raw materials between them.

The action

KLH requested JASPERS’ assistance on all aspects of project preparation. The project was pioneering in three ways: first, the machine technology is unique in the world; second, it was JASPERS’ first time supporting a beneficiary from the private sector, which diversifies our portfolio; and third, it was JASPERS’ first assistance in Austria.

JASPERS assessed whether the project ist aus einem guten Holz geschnitzt, literally “carved out of good wood”, meaning that we evaluated its soundness to bring it up to the high standards of quality expected and in line with the requirements for EU funding. JASPERS assisted on all aspects of preparation of the major project. In particular, we provided methodological guidance and advice on the progress of the project feasibility study, the cost-benefit analysis and the new requirements for the 2014-2020 programming period.

After this advisory phase, the European Commission asked JASPERS’ independent quality team to review the documentation. This project appraisal function speed up the approval process for EU grants, which went ahead smoothly based on the result of the appraisal.

The results

Wood is a precious material that we cannot afford to waste. State of the art technology used in the machinery manufacturers, as well as the high degree of automation producing timber panels, improve efficiency and reduce the loss of wood.  

About 80 people from the Carinthia region will make a living thanks to this project, encouraging young locals to stay in the region. For example, the site will need crane and machinery operators, electricians, woodcutting and production specialists, forklift drivers, warehouse workers and CAD technicians.

Moreover, the project will support businesses in the region. The new timber site is expected to boost local wood-related SMEs, as about three-quarters of the wood required comes from the area. Complementary activities and products in related industries such as construction and forestry will flourish.

From an environmental and climate change perspective the project will cut CO2 emissions by about 1 812 tonnes a year, which equals more or less the weight of 100 truck cranes, as it makes use of green energy. Furthermore, it will reduce emissions related to the carbon storage potential of wood houses compared to houses made of concrete and steel, since wood as a raw material absorbs CO2.

This was JASPERS’ first project in Austria and we klopfen auf Holz, or knock on wood, that there will be more successful projects to come.