New energy price cap and fire wood prices

[neiln]

Ofgem announced a 54% increase coming in April, on top of the large hike back in October.  I reckon wood could be considerably over £100/m³ and be a cheap fuel compared to gas, particularly as I read gas price per kWh will double to 7p.  Interested to hear what people think they might charge for logs, and if anyone wants to have ago at estimating what is worth in saved gas.... Not an easy calculation!

[gdh]

I don't think we're quite cheaper than gas yet but wood is looking like good value again. Woodchip from us is 6p/KW because it's fairly consistent to work out, and I know big companies will do it cheaper, but the running costs are higher.

 

I've seen the figures for firewood somewhere but it varies more. Our most expensive (smallest load) of hardwood is £86 a loose cube. I'm not sure what that would translate to. Wood prices seem to have stabilized a bit so it's production costs will be the decider for next years prices.

[neiln]

Just found this 

Fuel Comparison Charts - Wood Fuel Co-operative

WWW.WOODFUEL.COOP

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Fuel comparison charts, generally speaking, given similar moisture content, the more...

looks to suggest seasoned logs are 7, 8p upwards per kWh.  If we remember that gas has a standing charge too then logs could be compatible or even cheaper by a little.

 

 

[neiln]

Various calculations on line.  Various tables for energy content.  One I found, 3690 kWh per cord. A cord is ~3.5m³.  So (3690 X 7p)/3.5 or £74 of gas to give the same heat as 1m³. I've ignored the lower efficiency of a wood stove Vs a combi boiler

[Woodworks]

2 cube of our hardwood logs work out at 7.6p per kWh presuming 4kWh per kg.

 

Still haven't decided how much to put prices up. Have to add a bit for the Woodsure BS which I will have to sign up to soon plus inflation to add

[Rob_the_Sparky]

Might be a good time for installers if the gas/elec prices continue to rise.

[Ben Pinnick]

Yup. Im looking to convert a load of my spare land to eucalyptus SRF as these prices will become normalised soon enough. It may drop a little, but never back to where it was. What I really want though is a wind turbine, a good size one, but alas they're bloody expensive and no help from the gov. 

[Vedhoggar]

11 hours ago, neiln said:

Ofgem announced a 54% increase coming in April, on top of the large hike back in October.  I reckon wood could be considerably over £100/m³ and be a cheap fuel compared to gas, particularly as I read gas price per kWh will double to 7p.  Interested to hear what people think they might charge for logs, and if anyone wants to have ago at estimating what is worth in saved gas.... Not an easy calculation!

It's quite an easy calculation actually but cost per kWh will depend on species of wood, moisture content and price of logs. By my calculation the price of logs (ca. 25cm long split) would have to be <£80/m3 loose to be at 7p/kWH, for example beech at 20% MC sold at £80/m3 loose would be 6.8p/kWH, birch 7.6p/kWH whereas beech at 16.7% MC would be cheaper than gas at 6.5p/kWH and birch same price at 7p/kWH if that were the price of gas (and electricity I believe is will be about the same price).

[neiln]

Ok yes it's not too hard to get a figure.  Plenty of tables about giving energy content per cord or per kg (cord is easier as we buy/sell by volume but again tables have the density so can convert).  Take a stove efficiency of say 70% and You can calculate a price for a kWh of heat from wood.

 

Looking like wood is fairly close to mains gas price, maybe not cheaper, but fairly close. 

[Vedhoggar]

2 hours ago, Woodworks said:

2 cube of our hardwood logs work out at 7.6p per kWh presuming 4kWh per kg.

 

Still haven't decided how much to put prices up. Have to add a bit for the Woodsure BS which I will have to sign up to soon plus inflation to add

Sounds like a very competitive price.

 

Just put my rate up by 5% althoughI know inflation is set to to rise to 7% then drop to 6% but inflation rates are not the same for everyone, I'm not going to lock myself into a set price next winter as I have in the past. I basically look at operating cost add 15-20% net profit then compare with local going rate to see if still a competitive price and take it from there, I don't have a set price though but rather quote a price depending on location, easy of delivery and quality. Not going for Woodsure just going to sell 2m3 loose loads to domestic customers, the 2m3 rule only applies to woodfuel for domestic as I understand it so presumably not pubs, restaurants and those running holiday cottages I delivery to.