Swedish biomass production potential could be increased significantly if new production methods, such as optimised fertilisation, were to be used. Optimised fertilisation on 25% of Swedish forest and and the use of stem wood could almost double the biomass potential from forestry compared with no fertilisation, as both logging residues and large quantities of excess stem wood not needed for industrial purposes could be used for energy purposes. Together with energy crops and straw from agriculture, the total Swedish biomass potential would be about 230 TWh/yr or half the current Swedish energy supply if the demand for stem wood for building and industrial purposes were the same as today. The new production methods are assumed not to cause any significant negative impact on the local environment. The cost of utilising stem wood produced with optimised fertilisation for energy purposes has not been analysed and needs further investigation. Besides replacing fossil fuels and, thus, reducing current Swedish CO2 emissions by about 65%, this amount of biomass is enough to produce electricity equivalent to 20% of current power production. Biomass-based electricity is produced preferably through co-generation using district heating systems in densely populated regional and pulp industries in forest regions. Alcohols for transportation and stand-alone power production are preferably produced in less densely populated regions with excess biomass. A high intensity in biomass production would reduce biomass transportation demands. There are uncertainties regarding the future demand for stem wood for building and industrial purposes, the amount of arable land available for energy crop production and future yields. These factors will influence Swedish biomass potential and earlier estimates of the potential vary from 15 to 125 TWh/yr.