The price of wood pellets is rising more sharply in August than is typical for the summer months. According to the German Pellet Institute (DEPI), one metric ton (t) of pellets currently costs an average of 427.72 euros for a purchase quantity of 6 t. Consumers currently pay 8.55 cents for one kilowatt-hour of heat generated from pellets. Compared to the previous month, the price has thus risen by about 10 percent. At the same time, pellets remain significantly cheaper than fossil fuels: The price advantage over heating oil is currently about 35 percent, and about 24 percent compared to natural gas.

 
The price increase is unusually sharp for the summer months. One reason for this is the current shortage of sawdust, the most important raw material for pellet production. Due to the sluggish construction industry, sawmills are processing significantly fewer logs, resulting in less sawdust—which is needed as a raw material for pellet production. At the same time, other costs—such as those for labor and transportation—have risen. The current price level is therefore higher than it has been in the past two years.



Those who heat with pellets still benefit from an economically attractive heating solution. On a long-term average since 2015, pellets have been about 25 percent cheaper than heating oil and nearly 31 percent cheaper than natural gas. “Even though prices are currently higher, those who heat with pellets over the long term have paid significantly less for their heat over the past ten years than they would have with oil or gas,” said DEPI Managing Director Martin Bentele.

Regional Prices
In August 2026, the following regional differences in the price of wood pellets will apply (for a purchase quantity of 6 metric tons): In southern Germany, the price is 429.45 euros per metric ton. Northern and eastern Germany follow at 419.19 euros per metric ton, followed by central Germany, where the price per metric ton is 422.97 euros. Larger quantities (26 metric tons) will be traded in August 2026 under the following terms: South: 415.42 euros per metric ton; North/East: 406.34 euros per metric ton; and Central: 402.32 euros per metric ton (all prices include VAT).

DEPI Pellet Price
Since 2011, the DEPI Pellet Price has been published monthly; until May 2020, this was done by the German Energy Wood and Pellet Association (DEPV). It reflects the average price in Germany for one metric ton of ENplus A1-grade pellets for the respective purchase quantity (delivery within a 50-kilometer radius, including all ancillary costs and value-added tax)—nationwide and across three regions. The DEPV offers a separate DEPV Pellet Price for net delivery contracts.

Source: DEPI