Polish households that switched to pellet heating are facing a summer supply shock: the fuel they wanted to stock for next winter is disappearing from depots, and certified pellets now cost up to PLN 2,500 per tonne. With the heating season still months away, warehouses that used to be full at this time of year are almost empty.
The market situation is a direct consequence of last winter’s harsh season, which pushed pellet prices sharply upward. Instead of a seasonal lull and lower prices, buyers saw the opposite: no supply rebound, which triggered a wave of panic buying among people who decided they should secure fuel while it was still available.
The scale of the problem is linked to the Polish Clean Air subsidy programme, under which more than 200,000 households replaced their heat sources with pellet boilers. In total, Poland now has an estimated 450,000 such boilers, so any disruption on the pellet market affects a wide group of users.
Clean Air programme created a pellet trap
Local news portal nto.pl reports that the first visible shortages have appeared in Opole province. In larger pellet depots, customers have to wait for deliveries, while smaller outlets are nearly sold out. Sellers see no sign of improvement and admit they cannot rebuild stocks because production is sold almost as soon as it leaves the factory.
– Warehouses that were usually full this time of year are now almost empty. We are not able to fill them. On the one hand, demand is increased; on the other, supply is insufficient. Production is sold practically on an ongoing basis – said Łukasz Horbacz, pellet distributor and member of the Polish Pellet Council.
Cheaper substitutes are a risky alternative
As certified pellet prices range between PLN 2,200 and PLN 2,500 per tonne, more than PLN 1,000 above last year’s level, some households are looking at alternatives. Sunflower pellet and straw agropellet cost PLN 800-1,600 per tonne, which makes them look tempting as a temporary solution.
However, specialists caution that these substitutes change how a pellet boiler works. Their calorific value is different, which requires adjusting the boiler controller; they generate more ash and can cause clinkers that block the burner. Chemical compounds in agropellet may accelerate corrosion of heat exchangers and can lead to loss of the manufacturer’s warranty.
The Energy Ministry has announced it is monitoring the pellet market to determine whether the price rises stem from non-market factors, such as a price-fixing agreement. Meanwhile, some residents of Opole province have started shopping across the Czech border, where pellet prices reach PLN 2,000 per tonne.
Źródło: WNP.PL, Fot. rafa jodar / Shutterstock
