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The Great Wood Pellets Shortage

Boston Homes

Boston Homes

A friend of BREB told us recently about the Great Wood Pellets Shortage now being endured by those who rely on pellets to help heat their homes.

And, sure enough, the story is true.

The article notes that demand, driven largely by the incredibly cold weather, is outstripping supply of wood pellets.

But our friend said there’s definitely a cyclical supply problem as well. Basically, retailers don’t want to order too many bags of pellets and end up with huge unsold stocks in their stores with the end of winter so close. And, more importantly, manufacturers usually ramp down production of pellets at this time of year as well.

It should be noted that our friend is caught in a real bind: He uses a combination of propane and wood pellets to heat his home. The cost of propane, in case you haven’t heard, has skyrocketed recently, far above the cost of natural gas, heating oil or pellets, for that matter.

So he’s stuck between ridiculously high propane prices and wood pellets that aren’t available.

File under: Goose droppings (Sorry, we couldn’t resist.)