Solid fuel prices in Latvia up around 50% amid soaring demand
Prices for pellets, briquettes and firewood in Latvia have risen by roughly 50% over the past year, according to the Latvian Biomass Association. Producers report huge demand but cannot predict what autumn will bring.
Prices for solid fuel used to heat private homes in Latvia — pellets, briquettes and firewood — have climbed by approximately 50%, according to Didzis Palejs, chairman of the board of the Latvian Biomass Association ("LatBio").
Demand outpaces expectations
Palejs said that all producers surveyed by the association agreed that current demand for solid fuel is enormous. This points to significant shifts in the heating resources market, affecting a broad segment of residents who rely on solid fuel to heat their homes.
Uncertain autumn ahead
Despite the strong demand, producers are unable to offer reliable forecasts for how the market will develop in autumn, when demand for heating materials typically rises. Palejs' comparison — that predicting the future is like "reading coffee grounds" — suggests that even industry experts currently cannot say with confidence how the market will evolve in the coming months.
The sharp roughly 50% price increase, combined with high demand, could add extra pressure on households planning their heating season budgets and stocking up for autumn and winter.
