according to CEOs, oil is to stay low for some time. So the dilemma arises. Do you buy pellets early and propagate the price hikes, or hold and heat alternatively?
http://www.cnbc.com/id/102606851
http://www.cnbc.com/id/102606851
Oil to stay low...So says corporate America. Do you pre buy pellets?
- Thread starter Phoenix Hatchling
- Start date
-
Active since 1995, Hearth.com is THE place on the internet for free information and advice about wood stoves, pellet stoves and other energy saving equipment.
We strive to provide opinions, articles, discussions and history related to Hearth Products and in a more general sense, energy issues.
We promote the EFFICIENT, RESPONSIBLE, CLEAN and SAFE use of all fuels, whether renewable or fossil.
- Status
TimfromMA
Minister of Fire
At this season's early gouge prices? No thanks. I'll gladly wait and grab from HD and TSC in the fall. Last year was Blazers, Somersets, Pres-to-log softies, Greenways, Hamers, Ligs, and a variety of others for $225 - $250 per ton.
Harmanizer
Burning Hunk
I 'm going mostly with oil next year.I'll pick up a ton or two but these pellet prices are just crazy.When sanity returns I'll switch.
But does the price of pellets EVER go down? I don't see how this trend would reverse itself, given the fact that they will always have an outlet with significant up charge in Europe. And, pellets are not a commodity.
Gas is a different animal though. And the taxes that the government is losing with the low pricing of gasoline was manipulated to give that a rise and curtail the hemorrhaging.
The Fed gasoline tax is 18.4 cents a gallon and has been for 20 years. If the pump price is $2.50 or $100 a gallon.
The sale and purchase of commodities is usually carried out through futures contracts on exchanges that standardize the quantity and minimum quality of the commodity being traded. The pellet industry for the most part is unregulated. Granted, in the most basic of terms pellets are a commodity if all it is required is to fill a need.
xSpecBx
Member
I have a little over a ton left from last season. I most likely will not be pre-ordering any for next heating season. I'll take my chances with oilnprices staying reasonable and supplement like i did this season with the pellets i have remaining
State or federal government isn't losing on low gas prices they get their take on each gallon sold. If anything they may be selling more gallons as consumers are more relaxed with the cost of driving
CladMaster
Minister of Fire
You can not rely on oil staying low, all it takes is for some clown in the 'east' or 'west' to cause a war.
Watch out, oil prices may rise sooner than you think, the US just sent war ships to Yemen because of the 'so called' weapons that 'might' be on ships that are from Iran.
Watch out, oil prices may rise sooner than you think, the US just sent war ships to Yemen because of the 'so called' weapons that 'might' be on ships that are from Iran.
This...
I'm pretty sure the current administration will do anything to stay out of an additional conflict, but that doesn't mean the other guy will let us. Iran already has a Persian Gulf choke point. If it controls the Red Sea also, they can jack with the price of oil big time.
I'm pretty sure the current administration will do anything to stay out of an additional conflict, but that doesn't mean the other guy will let us. Iran already has a Persian Gulf choke point. If it controls the Red Sea also, they can jack with the price of oil big time.
bogieb
Minister of Fire
Doesn't matter to me one bit what the oil price is, I will be heating with pellets next year. Around these parts, propane doesn't get very cheap, so I would be crazy not to use pellets (or pellets hit $700/ton)
Ambient
Member
The price of oil or the price of gas is but a meter of many different inputs and controls. The incredible squeeze being brought against, the US fracking market, the electric car, solar power, and even the pellet industry isn't over yet. History renders a pattern of these big oil corporate plays. The introduction of prohibition running for something like 15 years, ended one year after Ford stopped making their Automobile to be compatible with ethanol. The "gas" shortage in the 70's ended the production of the EV1 as well as the patents for improved mileage carb's. Etc
We'll be using pellets whether oil is high or low, even if I have to make them myself. We have already bought our pellets for next season.
St_Earl
Minister of Fire
my pellet supplier always has spring rates basically beginning in april.
i order every year sometime around then.
my pellets went up a whole $5 per ton since last year. (from $224 to $229)
the sky is definitely not falling in this area.
gas at the pump has risen in the last week and HHO was $2.52 last i checked three or so weeks ago. i'm guessing it has gone up since as well.
even if HHO was at a price that theoretically made it equal to pellets in BTUs per dollar, my stove would still kick the crap out of my forced air oil system for comfort and efficiency.
i order every year sometime around then.
my pellets went up a whole $5 per ton since last year. (from $224 to $229)
the sky is definitely not falling in this area.
gas at the pump has risen in the last week and HHO was $2.52 last i checked three or so weeks ago. i'm guessing it has gone up since as well.
even if HHO was at a price that theoretically made it equal to pellets in BTUs per dollar, my stove would still kick the crap out of my forced air oil system for comfort and efficiency.
SidecarFlip
Minister of Fire
Highbeam
Minister of Fire
Crude oil prices on the market perhaps, but that is not the same as HHO, diesel, or gas. There is a loose correlation but that is all.
St_Earl
Minister of Fire
$2.52 up here.
no. i'm not spending money i don't have on a new oil stove or new fancy new oil furnace just so i can claim it's "as cheap as pellets".
i have a pellet stove, pellets are cheaper than oil, and i stay warmer better with pellets.
Last edited:
Bioburner
Moderator
- Status
