Wood pellet price

[Tmlois]

- that's why I asked for the lpg price.

I'm looking at 10p/kwh, but am getting 6p back, and that 6p will rise by CPI, so will likely be looking at net cost of 3.5p/kwh going forward. Propane has to be cheaper than 25p/litre to give better value (ok, I'm imagining my boiler was free and doesn't have service and repair and running costs - but from where I am now, that's roughly where I'm at.)

Lpg the other week 64p litre so 9 pence kwh

 

[sgoti]

i paid £600/ton back in early january☹

 

[Tree]

I paid £580 in mid Jan bulk bags, Reeves Wem
T

 

[Tmlois]

What prices people getting now?

 

[sgoti]

What prices people getting now?

my dad got a price last week was £490/ton
last load was £600

 

[Fogg]

There have been some big falls recently.

Amp phoned me in the week offering EN+ at £325 per tonne in 27t loads, inc of haulage. SDL are in that region too.

I'll be remaining loyal to the British sourced firm that kept me going thru' the tough spell, till I can afford not to.

 

[snarling bee]

Update

We are now burning chip bought at circa £145 tonne delivered. Took half an hour to change settings in the boiler. So far so good.
I will need to top up store every week with chip stored in another shed, but small price to pay with pellet prices as they are.

 

[Tmlois]

Update

We are now burning chip bought at circa £145 tonne delivered. Took half an hour to change settings in the boiler. So far so good.
I will need to top up store every week with chip stored in another shed, but small price to pay with pellet prices as they are.

What did you use before did you not have a bulk bin?

 

[Chickcatcher]

How were you getting the pellets in? No experience of chip, but cant imagine it working with blown in pellets to Collinson bin then fed by a 90mm flex auger.

 

[snarling bee]

We put in a chip system in originally, but have just been running pellets. The set up is in 2 old stables, so one became the boiler room and one the fuel store. The store had a big door fitted so that we could tip in chip using a loadall, the door had the 6" connectors fitted so we could blow in pellets if we chose to. I know a lot of pellet systems cannot be converted economically as they have an unsuitable auger or vacuum system filling a 'day hopper' mounted on the side of he boiler. I cant remember the economics at the time, but the chip compatible system was very little more than the other options that were dedicated to pellets. When pellets were £205 tonne (for 20 t) it seemed to make sense to save the hassle of chip for the relatively small cost saving. We do need to find space for 20 t chip elsewhere as it is delivered on a walking floor artic.
I'll post some pictures.

 

[Chickcatcher]

Thanks, @snarling bee I was put off chips by a local system that had problems of the chip supply into the boiler keeping jamming

 

[Birch Solutions]

Just taken delivery of 17t of wood pellets priced at £597 tonne. Last time I bought it was £244 and prior to that it has been around £205 for a number of years.
We can burn wood chip with a change of settings on the boiler. I'm guessing it will be significantly cheaper and worth the extra hassle, we may have to concrete and make a storage bay within a lean to to be able to take an artic load.
Has anybody got a recent price for burnable woodchip and how much cheaper is it per kWhr?

We have used [email protected] for smaller quantities for a contract we have for woodchip use in Local Authority CHP units. Their parent company is AW Jenkinsons if you are needing larger amounts. ([email protected])

 

[Birch Solutions]

We have used [email protected] for smaller quantities for a contract we have for woodchip use in Local Authority CHP units. Their parent company is AW Jenkinsons if you are needing larger amounts. ([email protected])

 

[Anything Biomass]

Looking at the current prices i would say in most areas of the UK under £400 p/t is pretty much where the market is for 8t and above loads. Smaller 3t - 5t £475 - £525 18t - 27t £325 - £395
We are probably at the bottom for prices this summer with forecasts of only £15 - £25 p/t hike this winter.
Longer forecasts for 24/25 are for further 20% reductions.

 

[Doing it for the kids]

What’s £400 work out roughly per kWh then?

 

[Anything Biomass]

What’s £400 work out roughly per kWh then?

Depends on a few factors, boiler efficiency being one but it equates to roughly 10 - 11p

 

[Fogg]

I concur. I get more or less exactly 4000kwh on the RHI meter for every tonne burnt.

I've been offered a fix at £328 for the next year. The current spot price seems to be the wrong side of £350.

 

[Doing it for the kids]

My word, that’s a lot, so RHI income is completely absorbed by fuel cost?

 

[Fogg]

Yes, normally, but it depends on the tarriff. There are some small boilers out there seeing a RHI rebate of 11p/kw, but closer to half that is the norm.

So, the incentive payments are lower than the fuel costs, but that's the way is should be. From my point of view if I wasn't burning a renewable fuel I'd instead be burning LPG with no rebate whatsoever.

If fuel is £325 and you're getting a subsidy of £240 back, you're getting 4000kwh of heat for £75 net. 1.9p per kw. Gas would have to be cheaper than 15p per litre to deliver better value, and it isn't. The boilers should be run to produce heat, not purely to generate RHI...

The RHI scheme served its purpose, it incentivised investment into wood burning plant, because without it burning pellet wouldn't be viable. By the time you've factored in finance costs, servicing, and running costs - heat delivery takes a fair bit of energy given the pumps and fans involved, it's not really *that* much of a great thing to be into. If I could do it all again, I probably wouldn't.

 

[Doing it for the kids]

Yes, normally, but it depends on the tarriff. There are some small boilers out there seeing a RHI rebate of 11p/kw, but closer to half that is the norm.

So, the incentive payments are lower than the fuel costs, but that's the way is should be. From my point of view if I wasn't burning a renewable fuel I'd instead be burning LPG with no rebate whatsoever.

If fuel is £325 and you're getting a subsidy of £240 back, you're getting 4000kwh of heat for £75 net. 1.9p per kw. Gas would have to be cheaper than 15p per litre to deliver better value, and it isn't. The boilers should be run to produce heat, not purely to generate RHI...

The RHI scheme served its purpose, it incentivised investment into wood burning plant, because without it burning pellet wouldn't be viable. By the time you've factored in finance costs, servicing, and running costs - heat delivery takes a fair bit of energy given the pumps and fans involved, it's not really *that* much of a great thing to be into. If I could do it all again, I probably wouldn't.

Thanks but fully aware of how it all works, i by chance was an early bird in the scheme.

I was feeling hard done by when I ran some costs the other day and it was costing me just under 4p.

I was just surprised by the cost of other fuels still, must be huge profiteering by the suppliers? What is chip then these days?