Wood Pellet Guide

Residential Consumer

Guide to

WWWOODOODOOD PPPELLETSELLETSELLETS Information for those interested in

switching to wood pellets for their

home heating needs

Wood Pellet Guide 2

CONTENTS & TERMINOLOGY

Biomass - A renewable energy source made from plant materials (Ex. wood waste

and agricultural waste).

Bioenergy - The energy generated from biomass to produce heat and/or electric-

ity.

Wood Pellets - A type of wood fuel generally made from compacted sawdust

and held together by lignin, a compound naturally found in wood.

Primary Heat Source - The main heating system used in a building.

Secondary Heat Source - The secondary heating system used in a building, and is

often used as a back-up or supplementary system.

Central Heating - Provides heat to all rooms in a building from one central location

(Ex. Forced hot air or hot water radiant heat from a furnace).

Local Heating - Heat is generated at one location and is transferred through a

building by conduction or by natural/manmade air movements (Ex. A wood

or pellet stove)

Pellet Stove - A free standing unit similar in size and appearance as a traditional

wood stove, but contains a hopper to hold pellets and only burns pellets.

Pellet Furnace - Similar to oil furnaces, but wood pellets are used as the fuel source

with a hopper connected to the furnace to store the wood pellets. Pellet fur-

naces can be hot air furnaces or hot water furnaces.

BTU - The “British Thermal Unit” is a measure of energy. 1 BTU is equal to about 1,055

joules.

Terminology Pg. 2 Venting Pg. 9

Introduction Pg. 3 Pellet Storage &

Quality

Pg. 10/11

Stoves & Furnaces Pg. 4 Benefits and Cost

Comparisons

Pg. 12/13

How Do They Work? Pg. 5/6 Considerations and

Maintenance

Pg. 14/15

Appliance Installation Pg. 7/8 Purchasing and NL

Pellet Suppliers

Pg. 15/16

Wood Pellet Guide 3

INTRODUCTION

Did You Know? Wood pellets are an all

natural product made

from compressed

wood fibre.

Did You Know? By 2012 Newfoundland

and Labrador will have

the capacity to

produce approx.

60,000 metric tons of

wood pellets per year.

Pellets are produced in

NL by:

Holson Forest Products

Cottles Island Lumber

Exploits Pelletizing

WHAT ARE WOOD PELLETS?

Wood Pellets are a natural and renewable

form of energy made from compressed

wood fibre (usually sawmill residue), held

together by a naturally occurring

compound, lignin. They can be burned in

pellet appliances as a primary or

secondary heat source for homes and/or

industrial buildings. Wood pellets are an

economical and environmentally friendly

fuel source that are produced in

Newfoundland and Labrador (NL), and are

sold in many stores across the province.

Pellet appliances produce very little air

pollution and are the most efficient solid

fuel-burning appliance available. Pellet

appliances produce such a small amount

of air pollution that in the USA, they are

exempt from the USA Environmental

Protection Agency’s smoke emission testing

requirements (US Dept. of Energy, 2011).

Pellet press www.hiwtc.com

Wood Pellet Guide 4

STOVE & FURNACES

Tip!

Pellet appliances operate most efficiently near maximum capacity, so

make sure you do not buy an appliance that is too large for you

heating needs.

Twinning Pellet furnaces can be twinned with existing oil or electric central

heating systems.

PELLET STOVES

Pellet stoves are a free standing unit similar in size

and appearance as a traditional wood stove, but

contains a hopper to hold pellets and only burns

pellets. All pellet stoves require electricity which is

needed to operate the auger, the fan, as well as

other electrical components on the stove.

Pellet stove heating capacities range from 8,000 BTU

to 68,000 BTU. The U.S. Department of energy reports “a good rule-of-

thumb is that a stove rated at 60,000 BTU can heat a 2,000 sqft space,

while a stove rated at 42,000 BTU can heat a 1,300 sqft space”. Selecting

the correct BTU output that matches your home is very important.

Wood pellet fireplace inserts are available, but you must get your existing

chimney inspected to ensure it meets all installation requirements.

PELLET FURNACES

Pellet furnaces are normally used for central heating and are ideal for

larger homes or businesses. This set-up allows for hot water radiant heat

or forced hot air systems. Most pellet furnaces are fully automatic,

including automatic ash removal, which allows for continuous operation.

Pellet furnaces can be used as a primary or secondary heating source

and are capable of heating any size of home (US Dept. of Energy, 2011).

www.harmanstoves.com

Pellet stove

Wood Pellet Guide 5

HOW DO THEY WORK?

THE HOPPER

The hopper is a storage bin that is filled with

pellets from the top and emptied from the

bottom via the auger. Stove hoppers typically

hold one to two bags (18 or 36 kg) of pellets,

and furnace hoppers can hold four to eleven

bags of pellets (70-200 kg).

THE AUGER

The auger transports and controls the amount

of pellets delivered to the burn pot.

THE BURN POT

The pellets burn in the burn pot

as a fan blows air across the

fire to maintain an even,

eff icient burn. A heat

exchanger in the combustion

chamber transfers the hot air

from the burned pellets into

clean air that is blown into the

home. In a pellet furnace, hot

air or water is heated and then

distributed through the home

using the central heating

system.

Did You know? Nearly 85 % of Canada’s pellet production is exported partly because the

European Union has stated that by 2020, at least 20 % of it’s energy

consumption will be supplied by renewable energy sources

(Wood Resources International, 2011).

Tip!

Here’s a good

rule-of-thumb for

choosing pellet stoves:

60,000 BTU can

heat 2,000 sqft

42,000 BTU can

heat 1,300 sqft

Your heating system

contractor will be able

to calculate your

annual heating

demands.

Pellet stove www.daviddarling.info

Wood Pellet Guide 6

CHIMNEYS

Venting requirements vary with the model of stove being used. You may

use existing chimneys providing they meet the manufacturer’s

requirements and local building codes. Venting the pellet appliance

correctly protects the health and safety of occupants, and ensures the

appliance operates as efficiently as possible.

HOW DO THEY WORK?

BUYING A STOVE OR FURNACE?

Pellet stoves are rated by their heat output (heating capacity) and their

combustion efficiency. The higher the efficiency rating, the better when

purchasing a pellet appliance. Pellet appliances burn most efficiently

when operating near their maximum capacity so take some time to

understand your heating demands and then purchase an appliance that

matches your heating demands.

BUYING AN APPLIANCE

When matching a pellet appliance for your home heating needs, you

should consider the following items:

Primary or secondary heat source

Number of residents in the home

Home size and layout

Insulation quality in home

Age of home

Exposure of the home to wind

Sun exposure in the winter

Your desired room temperature

Tip! Bring along the above listed details of your home, to discuss with the

dealer, when you are considering purchasing a pellet appliance.

Wood Pellet Guide 7

APPLIANCE PLACEMENT

LOCATION

Pellet stoves require an electrical outlet.

Pellet stoves are commonly used in rooms

that provide heat flow to other areas and

pellet furnaces may be placed away from

the main living area of the home.

Pellet furnaces can be placed in the home

or in an outside building. Hot air furnaces

are normally located in the home, while

hot water furnaces may be located inside

or outside the home. Storage location of

pellets and placement of pellet hoppers

should be considered when determining

the location of all pellet appliances.

When locating the appliance, ensure there

is adequate space to operate and ser-

vice .

Tip!

Always notify your

insurance

company when

changing your

heating system to

ensure you meet

the installation

requirements of the

company.

Did You Know?

Pellet stoves may

be vented

horizontally out the

side of a building,

significantly

reducing the

installation cost of

the exhaust vent

(chimney).

Domestic pellet use www.unendlich-viel-energie.de

Wood Pellet Guide 8

APPLIANCE PLACEMENT

CLEARANCES

There are minimum requirements for

clearance space between stove and

combustibles that must be followed.

Installation of the appliance must follow

the manufacturer standards as well as

the residential building codes in your

area.

ELECTRICAL REQUIREMENTS

The outlet that will be used for the

appliance should be checked to make sure it meets proper voltage,

ground and polarity requirements, and should have a properly rated

circuit breaker. Always refer to the appliance owners manual for

requirements.

Important

When installing your

pellet appliance, read

the owners manual and

ensure the installation fol-

lows local building

codes.

FOOD FOR THOUHGT

Using wood pellets

reduces our demand on

foreign oil imports. When

you buy NL pellets your

money stays in NL.

Sidewall venting P. Davison

Wood Pellet Guide 9

VENTING EXPLAINED

EXHAUST

Pellet appliances produce little or no visible smoke but they do produce

exhaust gases, fine ash and water vapour from the combustion process.

It is very important that all joints are properly sealed, as the exhaust

products are forced up the vent by a mechanical fan.

VENTING OPTIONS

Exhaust vents do not need to exit through the roof. Sidewall horizontal

venting (“through the wall”) is the least expensive venting option as you

do not need to extend the venting system above the roof.

Pellet fireplace inserts and free standing stoves can be vented through

existing fireplace and woodstove chimneys providing they meet the

manufacture’s requirements. Existing chimneys must be inspected

beforehand, as upgrading the chimney to meet the manufacturers vent-

ing requirements may be required.

Important!

Never install any components

that are not approved by the

pellet appliance manufacturer!

Tip!

Install a vent with a 3-5 foot minimum vertical section will ensure

some natural draught exists in your venting system.

www.discountchimneysupply.com

Venting components

Wood Pellet Guide 10

PELLETS

STORAGE

Pellets are safe to store and pose no environmental risks compared to

the results of a break in an oil , propane, or natural gas storage tank or

line. Pellets should be stored in a cool, dry environment, out of direct sun

light. Where bulk pellet delivery exists, consumers may choose to

purchase a large hopper for storage of the pellets.

FILLING THE HOPPER

Pellet stoves require filling usually once a day by simply filling the hopper.

Pellet furnaces can be equipped with larger hoppers that are usually

filled once to twice a week.

STOCKING UP

Pellets cost approximately $5-$8

per 40 lb bag and are available

at most retail stores that sell wood

or pellet stoves. When buying in

bulk, pellets can cost around $330

per ton and can be delivered on

a pallet to your home. Some

stores carry 20Lb bags.

Tip!

An indicator of pellet quality is the amount of dust/dirt (fines) in the

bag. A 40 lb bag of high quality pellets should have less than 1/2

cup of fines.

Bags of pellets www.mfnl.ca

Wood Pellet Guide 11

PELLET QUALITY

Quality

Well-seasoned fire wood has about 20% moisture content, where as

wood pellets have 5-10%.

The Pellet Fuel Institute (PFI) has established three pellet quality grades,

Premium, Standard and Utility. The table shown below shows the PFI

pellet fuel grading requirements.

Pellet Fuels Institute - 2010 National Pellet Fuel Standards

Fuel Characteristic Wood Pellet Grade

Premium Standard Utility1

Bulk Density (lb/cubic foot) 40 - 46 38 - 46 38 - 46

Inorganic Ash (%) ≤ 1 ≤ 2 ≤ 6

Fines (%) ≤ 0.5 ≤ 1 ≤ 1

Length (% greater than 1.5" (3.81 cm)) ≤ 1 ≤ 1 ≤ 1

Diameter (inches) 0.230 - 0.285 0.230 - 0.285 0.230 - 0.285

Diameter (mm) 5.84 - 7.25 5.84 - 7.25 5.84 - 7.25

Pellet Durability Index (rating out of 100) ≥ 96.5 ≥ 95 ≥ 95

Moisture (%) ≤ 8 ≤ 10 ≤ 10

Chloride (ppm) ≤ 300 ≤ 300 ≤ 300

1 Utility grade pellets are generally limited to industrial bioenergy situations.

With an ash content close to 6%, removal of this ash would be a substantial

burden on a home owner.

Wood Pellets & Your Carbon Footprint!

Wood Pellets contain “biosphere” carbon which regularly cycles be-

tween the forest and atmosphere. Burning wood pellets for energy

does not introduce new carbon to the atmosphere. Burning fossil fuels

(oil, natural gas, coal, etc) releases “permanently stored” carbon into

the atmosphere (B. Alexander, NL Forestry Training Association, per-

sonal communication, March 1, 2011). About three-quarters of the hu-

man caused emissions of CO2 to the atmosphere in the last couple

decades has been due to fossil fuel burning, with the remaining quarter

of emissions due to land use change (Houghton et al., 2001, p. 7).

Wood Pellet Guide 12

BENEFITS

CLEAN BURNING

Pellet appliances have high combustion and heating efficiencies

(80 - 90%) and produce little air pollution. It is the cleanest solid fuel

burning residential heating appliance available (US Dept. of Energy,

2011).

ECONOMICAL AND RELIABLE

Pellets are a lower cost fuel source for your home, and costs are more

stable than the cost of oil. Pellet cost stability allows the home owner to

better predict their heating costs this year and next.

SAFETY

Pellet fuelled appliances are generally safer, cleaner and simpler to use

compared to most traditional wood burning appliances.

Built-in safety controls

No handling of firewood

No cutting of firewood Exterior of appliance stays fairly cool (except viewing glass)

ATTRACTIVE & CONVIENENT

There are many pellet appliance designs available on the market today.

Some pellet furnaces are stylish enough to be installed in the main living

area of the house.

Many models are fully automated, so all you have to do it set the

thermostat, fill the hopper and occasionally empty the ash pan.

Wood Pellet Guide 13

COST COMPARISON

The average Atlantic Canadian home is 1,400 sqft and consumes

≈97,010,000 BTU’s of total heat energy per year (NRCan, 2007). Hot water

usage compromise 25% of the total home heating energy demand.

COST COMPARISON

1 Calculations based on 1,400 sqft home with an annual BTU space heating and hot water demand of

97,010,000 BTU (NRcan, 2011; Gov. of NS, 2011, The Engineering Toolbox, 2011). 2 In this cost calculation the heating system generates 100% of the heating demand which includes

domestic hot water with the exception of the Pellet Stove where hot water is heated with electricity.

Fuel Cost Comparison of a 1,400 sqft Home on The Island of Newfoundland1,2

Heating Method BTU’s per

Unit Unit

Average Fuel

Efficiency

Annual

Requirement

Cost per

Unit

Total Annual

Cost

Electricity @ $0.10/kwh 3,413 kwh 100% 28,424 $0.10 $2,729

Electricity @ $0.11/khw 3,413 Litre 100% 28,424 $0.11 $3,127

Oil Furnace @ $0.90/L 36,300 Litre 85% 3,073 $0.90 $2,766

Oil Furnace @ $1.00/L 36,300 Litre 85% 3,073 $1.00 $3,073

Oil Furnace @ $1.10/L 36,300 Litre 85% 3,073.3 $1.10 $3,381

Wood Stove @ $160/Cord 19,000,000 cord 70% 6.6 $160 $1,062

Pellet Furnace @ $6.50/40Lb

Bag

16,400,000 ton 90% 6.5 $325 $2,115

Pellet Furnace @ $6.00/40Lb

Bag

16,400,000 ton 90% 6.5 $300 $1,952

Pellet Furnace @ $5.50/40Lb

Bag

16,400,000 ton 90% 6.5 $275 $1,789

Pellet Stove @ $6.00/40Lb

Bag (+ $682/yr for hot water)

16,400,000 ton 90% 4.9 $300 $2,146

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

Ye

arly

Fu

el C

ost

(do

lla

rs)

Fuel Type

Fuel Cost Comparisons1,2

Electricity @ $0.10/kwh

Electricity @ $0.11/khw

Oil Furnace @ $0.90/L

Oil Furnace @ $1.00/L

Oil Furnace @ $1.10/L

Wood Stove @ $160/Cord

Pellet Furnace @ $6.50/40Lb Bag

Pellet Furnace @ $6.00/40Lb Bag

Pellet Furnace @ $5.50/40Lb Bag

Pellet Stove @ $6.00/40Lb Bag (+ $682/yr for hot water)

Wood Pellet Guide 14

CONSIDERATIONS

THINGS TO CONSIDER

Convenient

Push button start

Heat regulated by a thermostat

Pellets are easy to transport and store

Pellets are safe to transport and store

Pellets require less storage space than other fuels

Efficient combustion

Pellets are made from wood—a renewable fuel from our Province

Government incentives may be available

Battery backup system available for use during power outages

Pellet stoves are mechanical and need regular maintenance

Pellet stoves require electricity to run

Pellet appliances generate a constant low hum

Power Outage?

Battery backup systems can be

purchased to ensure your

appliance continues to function

during a power outage.

REBATES

From April 1/08 to March 18/11, DNR

approved 562 wood pellet applica-

tion across the province and paid

out $327,415, with an average re-

bate of $582.59.

Tip!

Appliances designed for premium,

low ash, pellets will not operate as

efficiently when used with lower

grade pellets.

Supply?

Domestic demand for pellets is

close to 3,000 tons and potential

production is ≈60,000 tons. There is

no foreseeable shortage of pellets

in NL.

Wood Pellet Guide 15

MAINTENANCE

Always follow the maintenance schedule as described in the owners

manual. You may also want to consider a yearly service contract with your

appliance provider. If you are properly equipped, you may do the

maintenance yourself. In addition to the yearly maintenance

requirements, you need to regularly check the following items:

Clean the ash pan

Check the burn pot and air inlets regularly

Flue vents need to be cleaned

Monitor/inspect fans and motors

Check for accumulated sawdust in hopper and auger

Clean the surface of the heat exchanger

Clean the glass of the viewing window

MAINTENANCE

PURCHASING

WHERE TO BUY & COSTS

Pellet stoves are available at most heating shops, building supply stores,

and big box stores. Pellet furnaces are usually purchased from a heating

supply store or heating system contractor. Wood pellet BBQs, smokers and

grills are also available.

Pellet stoves range in price from $1,000 - $4,000, and typically heat an

area of 800 - 1400 sqft. and will consume a 40lb bag of pellets every one

or two days. Installation costs for pellet stoves are usually around $350 to

$550 (B. Alexander, NL Forestry Training Association, personal communica-

tion, March 1, 2011).

For central heating systems powered by a pellet furnace, purchase and

installation costs vary based on the desired system and size of the home.

Wood Pellet Guide 16

NL PELLET SUPPLIERS

Exploits Pelletizing Inc. A Division of Blanchard’s Cabinet Doors

Bishop’s Falls, NL A0H 1C0

Phone: (709) 258-2077

Fax: (709) 258-2087

E-mail: sales@blanchardscabinetdoors.ca

Website: http://exploitspelletizing.com

Cottles Island Lumber Company Ltd. P.O. Box 70

Summerford, NL A0G 4E0

Phone: (709) 629-7565

Fax: (709) 629-7158

E-mail: CottlesDifference@Cottles.ca

Website: www.cottles.ca

Holson Forest Products Ltd. P.O. Box 299

Roddickton, NL A0K 4P0

Phone: (709) 457-2888

Fax: (709) 457-2889

E-mail: info@holson.ca

Website: www.holson.ca

Government Incentives

The following websites may

indicate what incentives are

available for switching to a wood

pellet appliance:

NRCan—Office of Energy Efficiency

www.oee.nrcan.gc.ca

NL Department of Natural Resources

www.nr.gov.nl.ca

Appliances usually need to be

Wood Energy Technology

Transfer Inc (WETT) certified to

qualify for incentives. Visit

www.wetinc.ca to find a certi-

fied inspector in your area.

REFERENCES

Government of Nova Scotia. (Feb 2011). Space heating Fuel Cost Comparisons. Retrieved June 15, 2011, from http://

www.gov.ns.ca/energy/publications/reports/space-heat-survey.pdf

Houghton, J., Ding, Y., Griggs, D., Noguer, N., van der Linden, P., Dai, X., Maskell, K., & Johnson, C. (2001). Cli-

mate Change 2001: The Scientific Basis. New York, New York, USA. Cambridge University Press.

Natural Resources Canada, Office of Energy Efficiency. (2007). Survey of Household Energy Use 2007: Summary

Report. Retrieved July 15, 2011, from http://oee.nrcan.gc.ca/Publications/statistics/sheu-summary07/pdf/sheu-

summary07.pdf

Pellet Fuels Institute. (2010, October 25). Pellet Fuels Institute Standard Specification for Residential Commercial

Densified Fuel. Retrieved June 20, 2011, from http://pelletheat.org/wp-content/uploads/2010/01/PFI-Standard

-Specification-for-Residential-Commercial-Densified-Fuel-10-25-10.pdf

The Engineering Toolbox. (July 2011). Wood and Combustion Heat Values. Retrieved July 18, 2011, from http://

www.engineeringtoolbox.com/wood-combustion-heat-d_372.html

US Department of Energy, Energy Efficiency & Renewable Energy. (2011, June 20). Energy Savers. Retrieved June

17, 2011, from http://www.energysavers.gov/your_home/space_heating_cooling/index.cfm/mytopic=12570

Wikipedia The Free Encyclopedia. (2011, June 13). Wikipedia. Retrieved June 13, 2011, from http://

en.wikipedia.org/wiki/Main_Page

Wood Resources International. (2010, September). North American Wood Fibre Review. Retrieved June 17, 2011,

from http://www.wri-ltd.com/PDFs/NAWFR_sample_report.pdf