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Bulk pellet fuel

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Bulk pellet fuel distribution, once proved through field prototype testing, can easily be
duplicated by the 60 pellet fuel manufacturers across North America. As there are cost
savings for both the manufacturer and the consumer with bulk pellet fuel distribution, given
an adequate market within a reasonable proximity to the manufacturer, such systems should
spring up naturally. A financial model can be developed which will analyze the economics
of a bulk delivery system, such as how many customers and what volume will make a system
viable in a particular service area.
Fossil fuel suppliers, such as heating oil or propane dealers, may wish to diversify their fuel
offerings by getting into the business of distributing biomass fuel pellets. Agricultural
product distributors are another sector which may wish to enter this business once the
technological impediments to bulk pellet fuel delivery have been eliminated.

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Written by Casey McConnell

April 10, 2008 at 4:47 pm

Posted in Bioenergy

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