US market and pellet trends

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Courtesy of BioEnergy Conference & Exhibition

Marth Companies refines biomass materials into pellets. Tony Morice tracked trends in energy consumption by end-use sector from 1949–2006. Biomass has played a relatively minimal role until recently; however, this could change given the “drastic” increases in liquid fuel prices in the last 12 months.

Since 2005, pellet production has increased in six Midwestern states by 700%. Unfortunately, Morice said, the perception of wood heat is that it generates pollution.

The industry declined between 2006 and 2007 by 16%, in part as a result of current economic uncertainties and lack of incentives. “We need to create additional demand and efficient utilization beyond current levels,” Morice said.

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