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 Germany: Wood chips remain favourable - but prices develop unexpectedly
[Oct 16, 2024]


 

Woodchippings remain a favourable energy source. However, prices vary depending on the quality level. An overview of prices in the third quarter.

According to the German Pellet Institute (DEPI), prices for woodchippings are developing differently depending on the quality class. While the price of A1 woodchippings is stable, the prices of A2 and B qualities have developed unevenly.

Woodchip prices: A2 quality more expensive in the third quarter of 2024
Quality class B woodchippings cost around 14% less than before. The price of A2 woodchippings, on the other hand, has risen - by a full 37%. ¡®For a purchase quantity of 80 bulk cubic metres (SRM), buyers currently pay an average of around 33.23 euros/SRM net or 3.69 ct/kWh,¡¯ according to a recent DEPI report.

¡®Woodchips remain a favourable, domestic and climate-friendly option in the context of the energy transition,¡¯ this is particularly true in the municipal sector, as DEPI Managing Director Martin Bentele commented. It is particularly favourable because quality class A2 still retains its price advantage of over 50 % compared to heating oil (around 52 %) and natural gas (around 60 %) - despite the rise in the price of woodchippings.

A2 woodchippings: Why the price has risen
Unexpected demand problems had led to the price increase of A2 woodchippings, according to DEPI. The reason is that there was significantly less damaged wood. In many places, high rainfall has helped the spruce to improve its vitality. The often wet weather also slowed down the bark beetle. As a result, there was less raw material for the A2 woodchippings.

The DEPI collects the prices of woodchippings in the various quality classes on a quarterly basis. The prices are based on the assumption of a purchase quantity of 80 SRM woodchippings in bulk. These are the nationwide woodchip prices in the third quarter of 2024...

..for A1 woodchippings:
38.79 €/SRM
4.75 ct/kWh
...for A2 woodchippings:

33.23 €/SRM
3.69 ct/kWh
...for B woodchippings:

16.37 €/SRM
1.97 ct/kWh

Source
: forstpraxis.de

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