The Polish competition authority, UOKiK, has conducted an analysis regarding the recent increases in pellet prices, concluding that these hikes are primarily the result of systemic issues rather than any anti-competitive behavior.

The main driver behind the price increases is the growing popularity of pellet stoves, which has led to a surge in demand that the supply of wood pellets has not been able to meet. In 2025, approximately 77% of applications for funding under the 'Clean Air' program were related to pellet and wood boilers, with around 450,000 households currently using such systems in Poland, an increase of over 90,000 from 2023.

As demand for pellets continues to rise, particularly with the rollout of more subsidized stoves, the supply of wood chips is expected to be further constrained by the upcoming EU regulation EUDR, which will take effect in late 2026 and mid-2027.

UOKiK President Tomasz Chróstny emphasized that the analysis clearly indicates that the price increases are due to systemic problems, particularly the mismatch between domestic pellet supply and the rising popularity of wood stoves. He noted that the government, particularly the Ministry of Energy and the Ministry of Climate and Environment, has tools at its disposal to mitigate the negative effects of high prices.

While UOKiK can intervene in cases of price fixing or abuse of dominance, the current situation does not indicate such practices in the pellet market. Instead, the issue is characterized as systemic, stemming from the inability of domestic supply to meet real market demand.