Fuel Comparison

Are wood pellets cheaper than traditional fossil fuels?

The increasing cost of fossil fuel is a deep concern to both businesses and the public and the consensus is that it will only go in one direction - up. This creates more financial uncertainty during already difficult economic times.

Wood pellets on the other hand are widely available and will continue to remain so. The UK is a major producer of wood pellets, the majority of which is currently exported and so there is no likelihood of there ever being a shortage of fuel.

Unlike fossil fuels, the price of pellets is not volatile and very unlikely to see dramatic increases over the forthcoming years.

Our objective is to provide our clients with the best possible value for money and we can negotiate excellent fixed fuel price guarantees by bulk buying from our pellet suppliers.

Fuel Graph

Fuel Price Comparison

The most efficient fuel for most Biomass boilers is wood pellets. Widely available from a variety of national suppliers, wood pellets are a reliable and relatively cheap fuel of the future. Biomass boilers fuelled by wood pellets have been successfully and economically used in Europe for decades.

The rising price of fossil fuels means that biomass boilers are finally taking off in the UK. Below is a table showing some examples of fuel costs and how they translate into a cost per KWh of heat. These fuel costs will clearly vary over time and with your local circumstances but clearly indicate how significant fuel savings can be made by switching to Biomass.

Fuel Price Comparison

Example

The following table shows an example of the fuel savings that can be realistically achieved by switching to Biomass from heating oil. Based on an annual heat demand of 1 million KWh, this property would require around 100,000 litres of oil costing £70,000pa based on 70p/Litre. The equivalent biomass cost would be £37,000 – a saving of £33,000.

The second line gives an example of how the savings could improve further if the oil boilers were old and inefficient compared to the efficient modern biomass boilers.

Biomass Fuel Savings

CRC Saving

In addition to the Savings mentioned above, if you are subject to the Carbon Reduction Commitment then further savings are possible. Biomass is Carbon Neutral and thus not subject to the CRC. The above example would make additional savings of around £3,000pa.