The EU has a 20% renewable target by 2020. Biomass accounts for two thirds of that target, and half of that is wood/wood products.
In practice, unclear if burning wood is carbon neutral. In addition, destroying forests is bad for other reasons (though in Germany supposedly comes from managed forests). In addition, wood leads to particulate pollution which is quite bad.
Without researching the issue deeply I'm inclined to think burning wood for energy is a big step backwards. I'm also inclined to think that setting a target for renewables instead of a carbon tax is likely to lead to such outcomes. The bureaucrats will just desperately relabel things to achieve their target.