Poland pellet market faces price surges and policy shifts

Poland is facing a significant surge in pellet prices ahead of the heating season, with costs for certified A1 grade biomass rising to between 2,500 and 3,000 PLN per ton. Some industry forecasts suggest prices could reach 4,000 PLN per ton during a particularly cold winter.

In response to market volatility and high demand, Minister of Climate and Environment Paulina Hennig-Kloska has announced shifts in government policy. The state is moving away from subsidizing wood pellet boilers, particularly within the professional heating sector. Under the new Heat Transformation Support Fund, financing will no longer cover installations fueled by forest biomass or wood industry by-products.

To mitigate rising costs, citizens are increasingly turning to legal wood collection programs managed by Lasy Państwowe, such as the ‘Chrust Plus’ initiative, which allows for the legal acquisition of small-diameter wood. Additionally, authorities remind consumers that burning wood with a moisture content exceeding 20 percent is prohibited under various anti-smog resolutions and can result in fines ranging from 500 to 5,000 PLN.