Crazy high pellet prices. 😱

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WOODNUT358

Member
Hearth Supporter
Aug 1, 2008
119
RI
Just received an email from pellets direct in Douglas Mass. I’ve been buying from them for a number of years,and the prices are nuts. Prices running from $389-$435 a ton. I’ve been burning Mantras,but I’m not going to pay over $400/ton.
 
Pellet prices have risen but I’m surprised they arent more expensive than they are. Most other thing seems to have increased to a higher degree
 
Just checked and the local TSC and Family Farm And Home are 290 and 300 a ton. Same as last fall. However as usual for spring, they are running out. About half the TSCs around here are out, including the one nearest me. The next closest one has just 20 bags in stock. I expect rationing and/or rising prices. There might already be rationing, I haven’t been in the stores. Typical for this time of year. Supplies are limited and winter drags on and on. Still lucky to get the occasional temp above 40, no improvement in sight.

Even when I was a kid, the few people I knew if with pellet stoves always talked about pellet shortages in the spring. So I was sure to stock up well every summer.
 
Wow those are the same as Canadian prices. Where i am i can pay $7 a bag or $12 a bag when the local Canadian Tire runs out. Everyone in my area found out that CT has the best prices so unfortunately i ran out a few times this year since i do not have the space to store a skid
 
Here in Northern California, super premium pellets are $7.50 per bag. Premium pellets are $7.19 per bag. About 10 to 20 pallets left in stock. I think I can make it until spring, if we ever get a spring!
 
I'm still paying 6:75 a bag for a pallet of 75 bags Or 1 1/2 tons
buy 1 bag its 7:49 Plue the Grab and Screw Tax AKA the GST
 
Last fall I bought two pallets of 60 40# bags per pallet for $5.00 per bag and looks like I'll have enough if spring finally gets here.
 
Wow. Those must be some heavy duty pallets. My pallets only hold 50 bags. How are you recycling your pallets?
Most of them get cut up and used for kindling or in the fire pit
Oak common 3 or 4 not good for anything else
 
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It is cheaper for me to run my mini splits than burn pellets. In my area I am paying between $11 and $13 a bag. That's if you can get the brand you are looking for. Been burning Northern Warmth Douglas Fir for the last 5 years. This year was the first time I was unable to buy them. If they were available, I was told $600 per ton. Things better change soon or the stove will be retired.
 
Norther warmth Douglas fir for $600 a ton! Here in Maine I am paying $500 a ton and I thought that was bad. If my price holds maybe you should find a truck and purchase several tons from my supplier.

Rick
 
I haven't checked in a month or so, but at that time they were $319 a ton at the local hardware store. I think I paid $260 to $280 in early Fall.
 
Here in Ohio you can get quality pellets for $262/ton including tax. Some of those prices are crazy!
 
Hmm.
Wood isn't suddenly disappearing from the US and Canada.
Wood pellet manufacturers arent disappearing.
I wonder what the reason would be for the shortage and the price hikes?
One could say, demand is much higher because oil prices or fuel prices in general are up for..whatever reason.
But is demand for pellets that much higher? At some point people have to realize that it becomes as expensive to run oil than pellet.
 
Hmm.
Wood isn't suddenly disappearing from the US and Canada.
Wood pellet manufacturers arent disappearing.
I wonder what the reason would be for the shortage and the price hikes?
One could say, demand is much higher because oil prices or fuel prices in general are up for..whatever reason.
But is demand for pellets that much higher? At some point people have to realize that it becomes as expensive to run oil than pellet.

Gas prices, utility prices, new regulatory compliance costs, labor costs (they have to keep raising wages so people don't go to other companies - which around here is a real possibility with our labor shortages) etc. Also we export a huge amount of pellts to the European market.

Oh yeah, when our already high electricity costs were raised 80-100% last August, people were buying pellet stoves left and right. Some places couldn't keep pellets in stock. Also, propane costs are still high for us little users. My price, if I bought today, would be $4.55/gallon. I would be going thru 200-300 gallons per month if I ran my heating system. That comes out to $900 to $1,365 per month. That makes pellets extremely attractive even at today's tonnage prices. Last March I got 119 gallons and paid $632 when the price was $5.31/gallon.

[Hearth.com] Crazy high pellet prices. 😱
 
Gas prices, utility prices, new regulatory compliance costs, labor costs (they have to keep raising wages so people don't go to other companies - which around here is a real possibility with our labor shortages) etc. Also we export a huge amount of pellts to the European market.

Oh yeah, when our already high electricity costs were raised 80-100% last August, people were buying pellet stoves left and right. Some places couldn't keep pellets in stock. Also, propane costs are still high for us little users. My price, if I bought today, would be $4.55/gallon. I would be going thru 200-300 gallons per month if I ran my heating system. That comes out to $900 to $1,365 per month. That makes pellets extremely attractive even at today's tonnage prices. Last March I got 119 gallons and paid $632 when the price was $5.31/gallon.

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yea people at the lower pay scales are getting paid more, and now everything costs double what it did 4 years ago. Engineers arent getting pay raises, they are getting pay cuts and layoffs. Funny how that works. Eh it'll work itself out. All a game...

Oil here is still fairly high. The chart below doesnt reflect what I would really pay. That oil price would be if I were buying 500 gal or more, and Id still likely pay .25 more than that. I only have a 250ish gal tank so the most I end up getting at a time is 225 gal.
[Hearth.com] Crazy high pellet prices. 😱


Like a fool when I bought my wood stove I had unicorn dreams that it would heat my whole house and then some, as well as not require me to run my oil furnace. This is a second home, a camp/cottage/cabin/shack...whatever you want to call it. It takes a LONG time for a cast iron wood stove to heat up a house that sits at 50 degrees 4 days a week. So I cannot go completely without another heat source to take the initial edge off and then allow the wood appliances to continue to heat the place therein. I started this season with 175 gals of oil and am now down to about 10! Typically each winter right about now is when I would reup, and I usually go with about 175 gals. This has been an extremely warm winter however the extreme cold dips offset all of that quickly. That said, I didnt save anything on oil having the wood stove, because it doesnt operate 4 days out of the week. Im still considering ripping this out and going with two or three mini splits, and would really like not to have to DIY the work but the local HVAC outfits only want easy work that they can make alot of money off of. One place quoted me 15k for 3 mini splits. SMH.
 
Wood pellets are stil the best game in town if you go by $$/btu. The prices for oil/gas are for those that use at least a certain amount (I think it is 1,000 gallons, but aI could be mistaken). Sure, the prices shown for pellets is not for the high $$ pellets, but most regular users go with BBS pellets, so the average cost is closer to the BBS price than the high end price. Natural gas is the only thing at a better ratio, but that isn't available in most of NH (and not even close in my area), so doesn't really count.

[Hearth.com] Crazy high pellet prices. 😱
 
My neighbor makes corn/pellet boilers, and I guess customers in Vermont were offering him everything but their first born children to get pellet stoves for this winter. Something about oil prices in some parts of New England were ridiculously higher than other parts? @bogieb Did you hear anything like that up your way?
 
My neighbor makes corn/pellet boilers, and I guess customers in Vermont were offering him everything but their first born children to get pellet stoves for this winter. Something about oil prices in some parts of New England were ridiculously higher than other parts? @bogieb Did you hear anything like that up your way?

Yes indeed. Oil was up at $6/gallon last spring and summer. Propane over $5/gallon. All the utilities were projecting an 80-100% price increase (the main supply is produced from propane). Everyone started going nuts for pellet and wood stoves (somewhat like 2013 & 2014 when the same thing happened). Local retailers couldn't keep stoves in stock. I was hearing of 8-16 weeks lead time just to get a pellet stove from the factory. Then the pellet guys couldn't keep stuff in stock. It has since settled down - helped that we had a mild winter.
 
Just received spring pricing from my dealer
Cubex with discount and tax will be 450.87 a ton
In USD that's 335.87 a ton at today's exchange rate
For around here that's not too bad Firewood is selling
for 375 a cord pulse tax is 423.75 so comparable
Still a big hit to a seniors pocketbook
 
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Pellets now compete in the international energy market. Europe uses them to generate electricity, and they've had trouble getting the energy they need from pipeline dependant fuels. Expect pellet prices to continue to rise. Pellet stoves are still a good choice for their convenience and efficiency, but the fuel will probably not compete with local cordwood in price anymore.