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Pellet shortage due to demand
As most of you with pellet stoves realize by now if you purchase your pellets in the summer, there is a classic supply and demand issue with pellets right now. I always buy my pellets (3 tons) in May or June for the next year. It's always been a good practice and the discounts can be very good. The discounts are not there this year due to the sharp increase in stove sales and the panic buying of pellets. I use New England Pellets made in Jaffrey NH and found this message on their website. Makes perfect sense to me.
http://pelletheat.com/media/MessageToConsumers.pdf Blue Thunder |
...osha
On July 28, 2008, the US Dept of Labor's Occupational Safety & Health Administration issued two citations against New Engand Wood Pellet, Jaffrey NH, for about $132,000 for two willfull violations.
How many bags of pellets is $132,000? In January, a worker got caught in a conveyor belt, and OSHA claims NE Pellet "showed lack of concern and total indifference to his safety." So, the higher prices are a result of one employee's poor attitude & worker inattention, or something. Article in today's papers. Between NH's high paying factory wages and safety rules, probably it's cheaper to fly pellets to a NH Wal-Mart from China. |
I did hear about the safety issues at NE Wood Pellets; maybe they are working too hard to meet demand.
Last winter we burned two ton of pellets imported and packaged by NE Pellets labeled as "Green Supreme" Canadian Premium wood pellets packaged at their Palmer, MA plant. They were high quality softwood pellets with very low ash and sand content and high heat output (as noted by bags per week burned with programmed thermostat control). We also burned two ton of softwood pellets from Cornith, ME; these were high quality as well. We tried the lower cost Wal-Mart Pennington brand hardwood pellets, very poor quality with lots of sand and ash. Same story with the low cost Lowe's pellets lots of sand and ash. I was cleaning the burn pot twice a day rather than once every three days. |
The Rochester Wal-Mart and the Gilford Lowe's both have received premium standard shipments lately. Price seems to run about $260/ton right now...
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this won't help...
There was a fire at the New England Pellet factory and they are shut down although it doesn't sound as if it will be a lengthy closure. Just an FYI for those of us who use their premium pellets.
http://pelletheat.com/media/ResponsetoFire.pdf BT |
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