Fuel cost is dramatically cheaper than oil and beats gas on economic terms without needing to include the benefit to the environment.
Fuel price
A typical cost for delivered heat is 2.5 pence per kWh, which compares with 3.5 for gas and 5.6 for oil (allowing for boiler efficiencies). Prices as of February 2008.
These costs are based on:
- Wood chip at £68/tonne @30% moisture content or £75/tonne @24% moisture content (delivered price)
- Gas price of 2.8p/kWh delivered.
- Oil price of 45p/litre delivered.
- Boiler efficiency of 80% - for converting fuel calorific value into hot water pumping out of the boiler. (link to FAQ – efficiency)
- Wood chip delivery includes transport with 40 cubic metre load (about 7 tonnes) to customer within 10 miles of our depot. Larger volumes can be delivered if your site can take it.
Pricing options
We can agree pricing terms according to customer needs:
- Fossil Fuel saving – you may want to guarantee savings against future fossil fuel prices
- RPI indexed – you may want a price guarantee related to inflation
The fuel cost saving of wood chip versus fossil fuel can ensure a heat cost saving after allowing for the higher cost of installing a wood chip boiler.
Good candidates for changing to wood chip include large private houses and municipal buildings, especially where there is no mains gas. New developments may find that wood chip is the economic option to satisfy planning requirements for low carbon.
Our quality
The quality of wood chip is of vital importance for the smooth running of a modern boiler system. Using a specialist chipper, we ensure that the wood chips conform to the size required by our customers. Tell us the chip specification required by your boiler and we will match it.
Timber is air dried before chipping, so that we can deliver a lighter load of fuel with a better heating capability.
