Wood Pellet Stoves | Corn Stoves

Demand for wood pellets and pellet stoves soared last year as home heating oil prices
hit nearly $5 a gallon at one point before plummeting with the worldwide financial
meltdown.

The average price of home heating oil in the state this month was $2.38 a gallon
compared to $4.29 a gallon a year ago, according to the Alternative Heating Info
monthly fuel price report.

"While oil prices have come down, the interest in pellet stoves isn't going away"
according to Kate Adams of Vermont Wood Pellet Co. "I think once people go to pellets
they really enjoy the idea of using biomass instead of fuel oil," she said.

But Adams also recognized that if the price of oil stays low some homeowners may opt
to fill their oil tank rather than their pellet stove. And who could blame them? But
having the option to burn pellets instead of oil last year saved those same folks
almost $1,400 on home heating costs for the season.

In terms of payback, $1,400 represents about 45% of the initial investment for a
not-too-fancy pellet stove and 3 tons of pellets. And this is before any energy tax
credits or rebates are factored in. The swift payback on the money invested in a pellet
stove puts to shame the average 10 year payback for a wind system or 20+ years for
solar electric.

The wood pellet's alter ego, corn, is still the most cost effective heating fuel bar none.
Despite the fact that the price of corn rises in tandem with inflated natural gas and
heating oil prices, it always maintains a 50% cost advantage over oil or gas for an
equal amount of heat.

As the price of natural gas plummets due to over supply, the difference between
heating with corn and natural gas is only pennies per 1 million BTU of heat.

The days of moderate year to year fuel price increases you could budget for have been
replaced by wild price swings resulting from global economic influences. The respite
from relatively high fuel prices we enjoy today is only a brief correction in the upward
trend of fossil fuel prices.

The key to controlling home heating costs in the future is having the option to burn the
cheapest fuel when the opportunity presents itself, whether it is fossil or biomass. Of
course this means the expense of an alternate heating system, but it's a solution that
will guarantee being in the right place at the right time all the time.