Lack of Standards in U.S. Pellet Stove Marketplace Confusing to Consumers

Sustainable and renewable home technologies have been on the rise, with a surge of solar panel, insulation, and smart thermostat installations. One of the fastest growing trends in the sustainable housing sector has been the pellet stove, which now makes up one-third of all wood stove sales in the United States. In a recent study by the Alliance for Green Heat, testers sought to see if pellet stoves live up to advertised claims.  In a side-by-side test, the Alliance took six of the most popular pellet stoves in the U.S. market and tested them under real-world conditions.  They found that many models don’t live up to advertised efficiencies.

In total, 2.9 million homes in the United States, roughly 2 percent, use wood heat. Among those homes which do use wood heat, the largest percentage of use is by those on the lower-end of the income spectrum. Pellet and wood stoves are growing exponentially in popularity as well; last year, the Energy Information Agency (EIA) reported that wood heat saw a 50 percent jump in 2013 in the New England region alone. There are approximately one million pellet stoves in use today, which is 2 to 3 times greater than the number of residential solar panel installations. In general, the U.S. pellet stove market has lagged behind Europe. Italy alone sells just as many pellet stoves as the entire United States, despite only having 20 percent of the population.

Unlike traditional cordwood stoves or fireplaces, pellet stoves use wood pellets.  Compressed pellets of woody wastes such as saw dust and wood chips, are sourced from forest product wastes. Pellets offer the comforts of wood heat through modern conveniences. Most pellet stoves are equipped with automated starting systems, can produce heat around the clock and only need to be reloaded about once a day. Some companies even have smart-phone capable pellet stoves that can be controlled remotely and provide real-time data to homeowners.

Pellet stoves offer other benefits to consumers as well – namely, pellets are a more stable commodity and not subject to the price swings seen in propane and home heating oil. Pellet stoves can completely eliminate most homes’ need for use of a fossil fuel boiler or furnace and can produce just as much energy as residential solar panels. Various pellet stove designs have earned many different green labels, which undoubtedly adds to their market appeal.

In early 2015, the EPA set new source performance standards (NSPS) for wood and pellet stoves.  While pellet stoves are much cleaner burning than traditional cordwood counterparts, the new rules are a needed change – the first since 1988.  The standards will decrease emission levels, and, therefore, positively impact human health by lowering particulate emissions from new pellet and wood stoves. Additionally, as more wood burning homes switch to pellet stoves – indoor air quality will be greatly improved.

But despite these advancements, buying a pellet stove is still a confusing endeavor for U.S. consumers, according to the Alliance for Green Heat.  To provide some clarity, the Alliance tested the six stoves under the same conditions, using the same pellets, for cleanliness, efficiency, and ease of use.

While the stoves performed largely as advertised, the actual efficiency levels (amount of pellets burned per hour of heating) achieved by these six popular models were significantly lower than what their manufacturers claimed and what their consumers believed. “Our testing challenges the commonly held belief that pellet stoves tend to be more efficient than wood stoves,” the report states.  According to the Alliance, the manufacturers may be compromising on efficiency in order to keep the stove glass cleaner.  

U.S. consumers lack clarity on pellet stoves’ efficiency, noise levels, and pollution. Subsequently, many customers make uninformed choices and end up unsatisfied when they don’t end up with what they think they’re getting. Additionally, the historical lack of regulation of American pellet stoves has led to inconsistency in reporting and feedback.

However, things may be turning around. Next year, EPA will begin implementing their new emissions standards, and consumer demand may drive the industry to innovate further. As more look to pellet stoves to reduce their energy bills and carbon footprint, market pressures could yield a standardized labeling system within the near future.

Pellet stoves represent a great opportunity for rural communities to save money while reducing their dependence on home heating oil and propane; however, before this “back to the future” way of heating can really take off, people should be able to find out what, exactly, they’re buying. New standards accompanied by standardized labelling can help that to happen.

The Alliance’s report is part of the Pellet Stove Design Challenge  

Author: Michael Martina

For more information see: 

An Independent Performance Review of Six Pellet Stoves, Alliance for Green Heat

Ratings of Pellet Stoves, Alliance for Green Heat

Increase in Wood as Main Source of Household Heating Most Notable in the Northeast, EIA 

EPA Issues New Emissions Standards for Residential Wood & Pellet Stoves, EESI