The recent problems with pellet supply and high prices are partly due to limited raw material supply and availability. Premium wood pellets today are produced from softwood and hardwood by-products. The supply of these by-products is dictated by the supply and demand of other markets. Which means the wood pellet price is dictated by those changes.
Utilizing wood by-products is very important, however it cannot be the only source of raw material for wood pellet production. At PelHeat we do promote the use of many types of biomass pellets, however we do understand for much of the residential market only low ash, low maintenance pellets are suitable.
Therefore the wood pellet producers need to source more wood by-products from more industries from simply sawmills. Tree surgeon co-operatives could sell much of the wood they produce, as currently much of this goes for landfill. Government intervention needs to take place to manage the supply of more woody biomass for pellet production, to construct a price system for the value of woody biomass. To help stabilize prices.
For the wood pellet market to grow to its full potential, more than by-products need to be available for wood pellet production. Short rotation coppice Willow and Hemp could be purposefully grown for wood pellet production that would produce a relatively low ash, low price, low maintenance pellet.
If the raw material supply is not addressed pellet shortages will occur again in the future and further damage the reputation of the wood pellet market. This lack of supply will then cause further increases in wood pellet prices.
The PelHeat Mobile Pelletizer can process resources including wood into fuel pellets. If you would be interested in registering your interest in the PelHeat Mobile Pelletizer and receiving updates on our progress and informed when the pelletizer is on sale please send us an email to:
Contact @ PelHeat . Com
For more information please visit:
www.PelHeat.com
Thank you for your interest
