Country Report: Italy
© Copyright 2015 AIEL
Contents
• About AIEL?
• The Italian Market from a Global Point
of View
• The Figures of the Italian Pellet Market
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The Italian Biomass Industry Association
ABOUT US
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AIEL: Structure and Organisation
Biomass Industry Association (300 members)
Representing the entire supply chain “From Forest to Chimney”
Plant
designers
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The Biggest European Market for Domestic Pellets
THE ITALIAN PELLET MARKET
FIGURES
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Gross Energy Consumption in Italy
Mtoe
Thermal Energy consumption for the residential and
commercial sectors
Source: GSE –2014
Electricity
Heating
Transportion
Gross Thermal Energy Consumption
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The Italian Market
Wood Pellet Market (fuel):
• Large Scale (power plants)
• Medium Scale (district heating)
• Small Scale:
 In room
 Central heating
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Pellet Consumption in Italy 2014
~2,9 Mln
tons
96%
is consumed in the
residential sector
Big boilers use mainly
woodchips
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Pellet stoves – the most frequently used technology
81%
Of pellets is
consumed in pellet
stoves
Picture: Propellets Austria
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Pellet boilers – the most frequently used technology
15%
of pellets is
consumed in
residential pellet
boilers
Picture: Propellets Austria
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Expected Pellets Consumption by 2017
Due to a drop in demand in 2013, the consumption was roughly the
same as in 2012
Main causes: mild winter (-30% of heating energy demand) and
cheaper oil
The prediction is to reach 3 Million tons in 2015
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Pellet Stoves - The Main Market Segment
2013
Source: REF-e 2014
Sales peak in 2006 and 2013, ~275,000 new stoves
Over 2.2 million stoves
Strong competition on the market with low margins for the stove
manufacturers
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European Pellet Stove Market –
An Italian Record
European Market
470,000 pcs/year
Italy: more than 50%
Share of sales in EU
More than 90% of stoves
are produced by Italian
companies
Source: AIEL – GAD 2014. Results of over 170 companies
Picture: Palazzetti
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Pellet Boilers -The Main Market Segment
2013
Source: REF-e 2014
Sales peak in 2013, ~13,000 new boilers
Pellet is the market leader for boilers up to 100 kW
In 2014 more firewood boilers installed than pellets
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Pellet Consumption and Imports
Italy is strongly dependent on imports
Source: Eurostat, AIEL,2014
The dependence is predicted to grow further
The import patterns are changing
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2012
2013
1.2 Million
tons
Italian Pellet Import Suppliers
2014
2.2 Million
tons
11%
Western Europe is still the main supplier ~680 kt in 2014
North America is growing
Other suppliers like South America are more and more
present
The pie itself is growing
Source: Eurostat | AIEL 2015
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Italy Imports. Top 5 Origins in 2014
Austria, still #1 origin
Canada, 2nd place in the last 2 years
USA, marginal in 2012, 3rd in 2014 taking
the place of some East EU countries
Lithuania is growing
Germany. Same level as 2012
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Cost of Pellets vs Other Heating Fuels
VAT and taxes included, delivery excluded
July 2015
Pellets is still competitive when compared to other
fuels
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Main concerns of market operators
0- to 5 Scale
April 2015. In progress
Mild Winter and VAT are the main concerns
Substantial amounts of pellet in warehouses
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CONCLUSION
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Conclusion
• We predict a constant growth of the Italian domestic
pellet market
• Huge potential for existing systems replacement
• Further attention to be paid for the increase of user
awareness as well as best practice and correct
installation
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THANK-YOU FOR YOUR ATTENTION
www.aiel.cia.it
© Copyright 2015 AIEL