Alkali-dissolution pretreatment of softwood spruce and hardwood birch to improve ethanol and biogas production was investigated. The pretreatments were carried out at different temperatures between − 15 and 80 °C with NaOH/thiourea (7/5.5 wt%), NaOH/urea (7/12 wt%), NaOH/urea/thiourea (7/8/6.5 wt%), and NaOH/PEG (7/1 wt%) aqueous solutions. The pretreated materials were then subjected to enzymatic hydrolysis for 72 h. The pretreatments by NaOH/thiourea at − 15 °C improved the hydrolysis yields of spruce from 11.7% to 57% of theoretical yield, and for birch from 23.1% to 83% of theoretical yield. The enzymatic hydrolysis and fermentation of these pretreated materials by NaOH/thiourea with baker's yeast resulted in 54.0% of theoretical yield compared with 10.9% for untreated spruce and 80.9% of theoretical yield compared with 12.9% for untreated birch. Furthermore, anaerobic digestion of pretreated materials resulted in 0.36 L g−1 VS methane compared with 0.23 L g−1 VS for untreated birch, and 0.21 L g−1 VS compared with 0.03 L g−1 VS for untreated spruce.