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The rapidly growing biofuel industry poses considerable challenges to its supply chain network design and operations. Along with coal, natural gas and nuclear power, one of the most important sources of energy is peat. This paper presents the key characteristics of the peat fuel for supply chain that comprises of feedstock production and logistics.Local peat fuels play an important role in the decentralized and diversified energy system. Fuel peat is a local, indigenous, solid fuel that is use as milled peat or sod peat, or as peat briquettes, pellets and granules.The main advantages of energy density peat fuel: low cost on unit of heating capacity; close arrangement of the mining enterprises (about 100 km); the possibility of sharp increase in consumption of fuel in peak loads, i.e. is not present need of accumulation and according to derivation of current assets on fuel purchase.The logistic scheme of energy dense peat fuel production consists of three levels. The first level is peat field. Here the peat raw materials are mining, exposing to roughing-out and collecting in points of storage of raw materials. The main production operations connected with production of energy dense peat fuel are carried out at the second level - points of fuel production on which initially processed peat raw materials are separated, crushed, pressed, passes heat treatment and is packed. Further ready fuel is delivering to region heat sources - the third level of logistic system.
Keywords: peat fuel, feedstock supply, logistics© This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.