The wood pellet market is young in comparison to fossil-based fuels. Wood pellets (as well as biomass pellets) are being used at an increasing rate around the globe. Currently within Europe alone, the consumption of wood pellets is ca. 5.4 Mtoes . This is predicted to rise to a level of 239Mtoe2’s by 2020. This is a simple indicator of the wood pellet market today and what it will look like in the next 10-15 years, namely a very high growth market.
The wood pellets and biomass-based pellets are one of the cheapest forms of fuels currently, with the advantage above other clean fuels of it being easier to store, transport and use. Because of this ,the year on year growth of wood pellet consumption currently averages at20% . Moreover, the wood pellet market’s growth rate will increase because companies gain tax incentives, carbon trade, and financial incentives, as well as energy companies receiving higher prices for clean-fuel based energy. What this flurry of benefits equals is a market growth rate beyond what we have seen today.
What GBPN offers today is pioneering because never before has the production of fuel been decentralized, cost effective and as efficient.
Currently in parts of Europe, demand is outstripping supply and producers cannot satisfy the market. In the immediate future, the consumption rate will increase further which leaves the market in a failed situation because stationary pelletisation plants cost (10tons/h.) ca. £9-£12,000,000, which takes about a year to build if the planning permission is obtained. Furthermore, stationary pelletisation plants are productively inefficient, which the Mobile Pelletisation Factory corrects.