07 Nov 2011 Comments Off
Making money from wood
July 1st 2011
At a meeting of the Newark Business Club, members enjoyed a fascinating presentation from Adrian Walker of Newark-based heating equipment manufacturer Hoval, explaining how businesses can make money by burning biomass fuels rather than gas or oil.
Adrian explained that the government has introduced the Renewable Heat Incentive (RHI) to encourage people to switch to renewal sources of heat. These include wood pellets or wood chips (biomass), solar heating, heat pumps, biogas, energy from waste and geothermal energy. The RHI rewards owners of these heat sources with payments that are claimed quarterly over a 20 year period, the size of the claim being determined by the capacity of the heating equipment.
In the UK, biomass fuels are one of the fastest growing renewable heat sources and biomass boilers offer significantly higher returns on investment than many of the other renewable heat sources. The typical return on a biomass boiler over 20 years is 12%, compared to just 5% for solar heating.
For example, a 50kW biomass boiler will pay for itself within the first seven years and deliver profits for the next 13 years – amounting to a cash surplus of £45,500 over the 20 year period. A 150kW biomass boiler will pay for itself in four years and result in £192,000 profit after 20 years.
Hoval is one of the UK’s leading suppliers of biomass boilers and can provide advice on the most appropriate equipment and the payback periods that can be expected.
Contact for further Details: Ian Dagley, Sales & Marketing Director Hoval Ltd firstname.lastname@example.org