Biomass and heat trade statistics August of 2022

2022 09 08

As the heating season approaches, we will be publishing statistics and information on the preparation for the heating season in these monthly trade statistics reviews.

PREPARATION FOR HEATING SEASON

Compared to the demand for biomass in 2021 during the heating season, currently 26% of biomass demand is agreed for the winter. If we evaluate the preparation of biomass for the first half of the heating season, then 38% of biofuel is prepared according to last year’s demand in the same period. Last year, only 22% of the required amount of biofuel was prepared for the first half of the heating season.
In 2022 the winter weighted price (44.81 Eur/MWh) is 93% higher compared to the last season (23.22 Eur/MWh). Looking at the price difference comparing counties, the biggest price difference can be seen in Curonian Spit (185%) and Klaipėda county (144%). The smallest price difference is in Šiauliai (82%) and Marijampolė counties (56%).

Delivery statistics in Lithuanian counties for winter 2022

Buyer county	Finalized contract price, Eur/MWh	Finalized contract amount, MWh	Price difference compared to previous heating season
Alytus county	50.16	46 760	101%
Kaunas county	49.34	216 760	97%
Klaipėda county	55.18	98 850	144%
Curonian Spit	55.00	5 040	185%
Marijampolė county	47.00	420	56%
Panevėžys county	44.45	129 640	106%
Šiauliai county	36.09	312 410	82%
Tauragė county	47.76	22 750	90%
Telšiai county	51.18	62 160	117%
Utena county	46.39	46 060	131%
Vilnius county	44.22	165 200	92%
Total	44.81	1 106 050	93%

Preparation of Lithuanian counties for the upcoming winter season

The bubbles shown on the map correspond to the amount of biomass purchased in the counties, and the numbers next to the bubbles are the ratio of the currently purchased amount of biomass to the specific county’s need for biomass, based on last year’s data during the heating season

BIOMASS AUCTION STATISTICS

The value of the BWCS (Baltpool Wood Chips SPOT) LT index reached 45.40 Eur/MWh. Compared to the value of July, the growth of the index grew by 18%, and compared to the results of the same period last year, the value of the index is 201% higher.
The total amount of biomass delivered, compared to July, increased by about 19% to 277,010 MWh. Transactions in August show a light preparation for the upcoming heating season – 42% of the total volume are long-term contracts, the delivery of which is expected during the heating season. Compared to the corresponding period last year, the amount of biomass to be delivered is 34% higher.
The average price of short-term transactions concluded in Estonia was 30.00 Eur/MWh.
The average price of short-term transactions concluded in Latvia was 46.89 Eur/MWh.

WOOD CHIPS PRODUCT STATISTICS

One-week contract prices

Contract prices and turnovers

	Lithuania, Eur/MWh	Latvia, Eur/MWh	Estonia, Eur/MWh	Turnover, MWh
Short-term (W+M)	46,35	45,95	29,27	408 590
Future prices according to current long-term transactions (Q+H):
Q04-2022	44,80	38,00	–	722 260
Q01-2023	44,49	–	–	358 540

WOOD PELLET PRICE STATISTICS IN LITHUANIA

One-week contract prices

Contract prices and turnovers in Lithuania

	Lowest price, Eur/MWh	Highest price, Eur/MWh	Weighted average price, Eur/MWh	Turnover, MWh
Short-term (W+M)	53.00	119,50	97,77	2 620

OTHER PRODUCT PRICE STATISTICS

One-week contract prices

Contract prices and turnovers in Lithuania (all supply periods)

	Lowest price, Eur/MWh	Highest price, Eur/MWh	Weighted average price, Eur/MWh	Turnover, MWh
Peat for fuel	23,00	23,00	23,00	–
Biomass and lignin mixture	24,50	26,00	25,46	980

HEAT AUCTION STATISTICS

In August 2022, an auction was held for the purchase of heat quantities for September 2022.
The weighted average heat purchase price was 4.59 ct/kWh and was 53% higher than the heat supplied for the month of July (3.00 ct/kWh). Compared to the same period last year, the price is 206% higher (1.50 ct/kWh).
For the month of September, the amount of heat purchased amounted to 188,823 MWh – this is 10% more than the amount of heat purchased for the month of August, and compared to the results of the same period last year, the amount of heat purchased decreased by 3%.
Sellers offered to sell 309,430 MWh of heat at the auction, which is 18% less than the August heat supply. Compared to 2021 the amount of heat offered for sale in auctions for the month of September decreased by 25%.