Wood pellets are a form of fuel source with low moisture content. The pellets can be readily burned in modern heating appliances. The competitive pricing of wood pellets make them an ideal replacement for natural gas, heating oil, propane, and electricity. The Canadian forestry regulation will ensure long-term sustainability and the availability of fiber supplies sourced for pellets. Canada’s wood pellets are made from compressed wood fiber, including sawmill residues such as sawdust, planer shavings, and logging residues.