Wood pellets are a kind of modern-day fuel for heating. They have been popularized in recent years as a renewable energy source. Wood pellets are made by compressing sawdust at a very high pressure. The sawdust is a scrap from different plywood industries or saw mills, thus recycling the environmental balance. Wood pellets are a renewable energy source. They are made from wood waste, such as sawdust, chips, and bark. They burn cleaner than coal and other fossil fuels. Wood Pallets are made from 100% natural wood, which is why they are considered a green energy source. The production of wood pellets does not require the use of fossil fuels. They are also a much more efficient energy source than coal or oil.