Lets talk pellets in 2020-2021

[SidecarFlip]

I'm getting ready to stock in my usual 2 pallets of hardwood or softwood pellets. I mix them 50-50 with field corn to reduce the corn clinker's so brand and type for me means little actually. My field corn come at very little cost to me (I grow it) so I never factor that into heating cost.

What I'm wondering about is cost due to the ongoing Covid fiasco. I wonder if pellet producers will increase the cost per ton over last year. Everything else is increasing in cost, from staple groceries to luxury items but propane (which is my primary heat source is staying very economical... about $1.25 per gallon delivered). and I usually carry at least 750 gallons on hand.

Think I paid about $180 a ton (pallet price) last fall. I wonder if that will increase or if it will remain the same or maybe even fall a bit.

Opinions welcome...

 

[rich2500]

Around here pellet prices are pretty much the same as last year.

 

[SidecarFlip]

I need to check locally. I always buy by the ton and pick them up. I can actually haul 10 ton legally.

 

[Former Farmer]

Prices here, northeast Wisconsin, are higher than last year. From $20 per ton and more depending on the brand. If the processor had to throttle back because of Covid, expect higher prices.

LP prices are higher also. I paid 75 cents per gallon this year versus 65 cents per gallon last year for my summer fill. I own my own tanks and take around 1100 gallons. This lasts me all year.

 

[SidecarFlip]

Reason I even thought about it was, I was at the local to me Tractor Supply and I noticed out back, there was at least 20 pallets of pellets in the back corner of the lot, I assume from last season. All covered with poly shrink wrap so most likely they are good. Was thinking about seeing if I could get a 'deal' on last years pellets. I am cheap.

 

[WiscWoody]

$0.75 for LP is a deal. I’m in NW Wisconsin and I paid $0.99 a gallon for my owned tank and I was ok with that But I only got 211 gallons this year, the rate of my heat comes from firewood.

 

[SidecarFlip]

Prices here, northeast Wisconsin, are higher than last year. From $20 per ton and more depending on the brand. If the processor had to throttle back because of Covid, expect higher prices.

LP prices are higher also. I paid 75 cents per gallon this year versus 65 cents per gallon last year for my summer fill. I own my own tanks and take around 1100 gallons. This lasts me all year.

Here, that is dryer gas pricing, but anything below a buck 50 is cheaper than pellets unless you are like me and burn what you grow. I still have to cover the machinery and the fuel and upkeep / payments so I figure m y cost (inputs included) is about a buck fifty a bushel if I don't have to dry it down.

I own both my tanks(bottles) too. a 1000 gallon (750 capacity) and a 500 (425 capacity). Not the dryers either, that is separate in leased bottles. I can use a lot of gas if it's real cold and I'm in the shop working on equipment.

Thought about a biomass stove in the shop but it wasn't convenient. I might not be in there for a week at a time, so it has in floor heat.

 

[jackhammer]

I paid the same this year as last for my Vermont’s. Delivered over the summer.

 

[tlc1976]

For LP I just filled my tank at $1.65/gal which is a small deal since it’s been about $1.70-1.75. Same price it’s been for the last 5 years. I haven’t seen it below a dollar a gallon in 20 years.

A nice surprise, the local farm store is carrying pro pellets again. They had a huge shipment so I got 4 ton at $234.50 a ton. Similar price they have been in recent years, they just aren’t having the big sales anymore where I would catch them for under $200 a ton. Downside is they don’t offer delivery but I just take my trailer to work and pick up a ton after work 4 times. They do load the pallet. Now I got enough even if we have a hard winter.

I would have loved to get them from the masonry shop I got them from last year, but they raised their already higher prices, last year was $272.50 a ton. This year is $330 a ton and that’s without delivery which was a flat $95 last year. They’re way out of my way and aren’t open after work so delivery is worth it if I get them from there. But not at almost $100 more a ton.

Family farm and home must have good buying power. When I burned kirtlands, the factory is less than 10 miles from my house. Farm and home is about 25 miles from the factory. Yet it was like $40 cheaper to go to farm and home, rather than go to the factory and get them myself. And here farm and home has to pay delivery, handle them, and put a markup on them too.

 

[SidecarFlip]

Same deal here, price varies store to store which tells me there is no suggested manufacturers price, but whatever the market will bear. Propane is a different story, especially if you own your own bottles like I do. I can shop around for price. I always have the temptation to use dryer gas to heat with (dryer gas here in Michigan is 100% tax exempt )but I play it straight and don'r.

I don't foresee any pellet shortages around here now on in the immediate future, with NG and propane prices what they are, many folks around here that have solid fuel appliances just use them for backup or additional heat if it's real cold so the usage is way down.

With propane below $1.60 a gallon and NG even less, no reason to buy pellets except for supplemental heat.

 

[Former Farmer]

LP in Wisconsin for heating is tax exempt. Wood pellets for heating as well.

 

[tlc1976]

In Michigan, home heating fuel is taxed at 4%. Compared to the normal sales tax of 6%.

 

[hockeypuck]

I'm getting ready to stock in my usual 2 pallets of hardwood or softwood pellets. I mix them 50-50 with field corn to reduce the corn clinker's so brand and type for me means little actually. My field corn come at very little cost to me (I grow it) so I never factor that into heating cost.

What I'm wondering about is cost due to the ongoing Covid fiasco. I wonder if pellet producers will increase the cost per ton over last year. Everything else is increasing in cost, from staple groceries to luxury items but propane (which is my primary heat source is staying very economical... about $1.25 per gallon delivered). and I usually carry at least 750 gallons on hand.

Think I paid about $180 a ton (pallet price) last fall. I wonder if that will increase or if it will remain the same or maybe even fall a bit.

Opinions welcome...

I paid about $10 more per ton this year. Prices have been steady since the beginning of summer. The only reason you are buying pellets or wood at these prices is for comfort (point source of heat) or security.. knowing you have enough pellets in storage to get you through a bumpy winter. Doing btu comparisons at these NG, Propane and oil prices is not a fruitful exercise.

 

[tlc1976]

I paid about $10 more per ton this year. Prices have been steady since the beginning of summer. The only reason you are buying pellets or wood at these prices is for comfort (point source of heat) or security.. knowing you have enough pellets in storage to get you through a bumpy winter. Doing btu comparisons at these NG, Propane and oil prices is not a fruitful exercise.

For me it’s not apples to apples. The LP boiler heats the unfinished basement too because that’s where the unit sits and where the majority of the pipes run. It’s also 35 years old so probably not the most efficient. The pellet stove heats just the living space. Also LP prices are low in late summer but if I have to refill during the winter they will be higher. If I don’t use it for heat, it will last a year minimum.

I typically burn 3 ton or slightly more a season. I’ve got just under 5 1/2 right now plus spare parts so I’m prepared, I’ve lived through some brutal winters.

I do like the somewhat energy independence of pellets. Not as independent as wood but a clean trade off.

 

[zrock]

Prices should remain the same or actually get cheaper.. The forestry industry is changing the way they do things and company's are no longer allowed to burn their slash and waste piles they all need to be chipped up and removed.. I work next to a pellet plant and they have so much chips sitting around they could operate for 6 months to a year to clean up the piles without adding to them.. Starting to see more lumber mills get into the pellet business. Our local plant last year did a few tests of giving pellets away and it was huge and everyone was quite happy with the pellets. I think the local pellet plant is doing it all wrong.. They are concentrating on nothing but a number one pellet and they are having issues getting to that point.. They should concentrate on 2 and 3's for export and get their crap stock pile gone and make some money and then they will have a area for fresh clean chipps to create their 1 grade pellets and probably have less of a issue

 

[P51mustang]

Here in upstate, NY I bought Cubex for the first time and had them delivered to my house. So much easier than the previous 18 years of burning pellets wherein I picked up a ton at a time from my local dealer. I bought 5 tons at $269.99 a ton with a $30 dollar delivery charge.

The delivery charge was very cheap as the source (Sharp's Whole Foods in Belleville, NY) is about 45 minutes away. This will be my first winter burning Cubex brand since the first winter I had my house way back in 2001. When I moved in there were about 10 bags of slightly damp Northern brand pellets left by the previous owner. I'm told they are the same pellet as Cubex and only branded differently.

Anyway, I seem to recall that they burned nicely in the Lopi pellet stove that came with the house and so I'm hoping this years batch of Cubex are also of good quality. I can't say enough about the folks at Sharp's. They're great to work with and are super nice people...Check them out if you're in their general area as I believe they deliver to a pretty wide radius.

 

[hockeypuck]

I had good luck with cubex on my drop feed stove. That delivery charge is out of sight. 60 dollar minimum here in southern new Massachusetts.

 

[johneh]

Cubix is the only pellet I have used in the last 16 years
tried other before but Cubix always worked the best
pay about the same as other around here but delivery is free
Furguson energy easy to deal with will hold and deliver when you want
got 2 pallets the first of September and will probably get the last the first of March

 

[Montecarlossfan]

It seems pricing this year is out of control at least here in CT. Don't get me wrong I have no problem paying for a decent pellet as I like Matra, Turman, Country Boy, etc. I have noticed all pellets are at least 10-20 dollars more a ton minimum. Heating oil is 1.60 a gallon right now and I don't see it getting to last year's pricing. I hate to say I went ahead and purchased 6 tons of Stove Chow from HD at 219 a ton and I had another 10 percent off that. I can deal with more ash if I'm saving $100+ a ton.

 

[Marc S.]

Reason I even thought about it was, I was at the local to me Tractor Supply and I noticed out back, there was at least 20 pallets of pellets in the back corner of the lot, I assume from last season. All covered with poly shrink wrap so most likely they are good. Was thinking about seeing if I could get a 'deal' on last years pellets. I am cheap.

Flip I have a great deal for you:

(broken link removed to https://www.doitbest.com/shop/heating-ventilation-and-air-conditioning/fireplaces-and-stoves/fire-logs-starters-and-fuels/pellet-fuel/somerset-40-lb-wood-pellet-fuel?SKU=427648)

LOL

 

[SidecarFlip]

Flip I have a great deal for you:

(broken link removed to https://www.doitbest.com/shop/heating-ventilation-and-air-conditioning/fireplaces-and-stoves/fire-logs-starters-and-fuels/pellet-fuel/somerset-40-lb-wood-pellet-fuel?SKU=427648)

LOL

I'm sure they will sell a bunch at $8.00+ a bag or $439 a pallet.... NOT. I've used Somersets in the past, they are good pellets. Somerset Hardwood flooring, Somerset, Kentucky grinds all their excess wood from their flooring mill into mash and extrudes pellets from it so it's a 'value added' sub operation for them, IOW 100% pure profit minus the equipment and transportation cost. Some years back, I inquired to them as to the cost of a full flatbed load delivered to the farm and was told I'd have to 'reserve and pay in advance for a full load delivered. I passed. No shortage around here to speak of. We have the capability here to handle full loads and the storage space but it would have to be a good price. Back when propane was high, appliances were popular and everyone was using them. Today with low gas prices, not many stoves are being used at all. In fact, Craigslist is loaded with used units.

I'm good with $212.00 Michigan Hardwood (Muskegon, Michigan) pellets. I'll need 2 tons to supplement my 2 tons of field corn for the year.

Penciling it out, propane is cheaper but I like the wood fire so I do it. The break for me with $212.00 pellets vs propane is propane would have to be $1.85 a gallon and it's not even close to that today.

 

[Dataman]

Just ordered my Pellets for Winter. North Idaho Energy Log Pellets.
Oldtown Idaho

$209.99 - 1 Ton x 2
$50 - Delivery
$40 - Labor - Run the Skidloader and place in Bay of Building
Total: $509.98. I had 2 Tons Sitting. I typically burn 3.5 Tons. Hopefully use most of them up by Spring, but not need anymore.

Last year it was $40 for delivery and 199 ton.

 

[SidecarFlip]

Not a big increase. I should go in the pellet delivery business but I don't want to unload pallets of pellets when my forklift is much easier...

 

[Dataman]

I don't want that much heavy labor with my shoulder. Still cheaper than Forklift. Oneday in few years will get tractor that can do 1 Ton Lift with Forks. Save that $$$. Current Tractor can do about 600lbs. Real struggle last year with SB48 snowblower when it came in box.

 

[Former Farmer]

Penciling it out, propane is cheaper but I like the wood fire so I do it.

My wife likes the wood fire even more than I do.