Hotels switching boilers from LPG to biomass: does it pay?

A 200-room hotel uses steam almost all day for laundry, hot water and the main kitchen. If that runs on LPG today, it is one of the fastest payback cases for biomass there is.

Photo: Taton Moïse on Unsplash
Why hotels make a strong case
Factories run shifts and stop on holidays. Hotels use steam every day of the year — sheets and towels do not wait for a season.
That steadiness makes the fuel-price gap accumulate quickly, and gives any conversion a firm basis to calculate against instead of guessing next year's running hours.
The energy comparison
LPG delivers about 12,000 Kcal/Kg. Rubberwood pellets about 4,000 Kcal/Kg.
So roughly 3 kg of pellets replaces 1 kg of LPG. That sounds like a lot until you multiply by the price of each.
The correct calculation is cost per unit of heat, not price per kilogram.
Cost per 1,000 Kcal = price per kg ÷ (calorific value ÷ 1,000)
Put the prices you actually pay into both sides. That is the answer for your hotel, not an average from somewhere else.
Why hotels choose pellets over chips
Chips cost less per unit of heat, but hotels usually take pellets for three reasons.
Space. No hotel has a factory-scale yard. Pellets carry far more energy per cubic metre and store in a silo or a room.
Cleanliness. Pellets throw much less dust than chips — which matters when storage sits anywhere near guest areas.
Automatic feeding. Pellets flow evenly through an auger, so the system runs without someone topping it up.
Constraints to accept
You need storage — less than chips would need, but more than a gas tank. Keep it dry.
There is ash. LPG leaves none. Biomass does, so you need a collection routine and somewhere to put it.
Someone has to look after it. Not much, but not nobody: checking the feed and clearing ash on a schedule.
Up-front cost. The boiler or burner has to accept solid fuel. On a pure gas system, that investment comes first.
How to start
Gather three things before calling anyone.
- Monthly LPG consumption and the price you actually pay
- The spec of your current boiler or burner
- The space available for fuel storage, with dimensions
We supply rubberwood pellets to hotels and resorts along the Andaman coast — Phuket, Phang Nga and Krabi. Send those three and we will calculate the difference and the tonnage. Call +66 92 392 2292.
