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Pellet Stoves Vs Wood Stoves Pellet stoves generate heat by burning wood pellets, corn or a mix of both. A motor-driven auger is used to load the pellets into a combustion chamber, which is where they are igniting and heated. The majority of models have thermostatic controls that keep the fire at your desired temperature. They produce very little ash and release very low levels of air particles. Cost Pellet stoves are less expensive than wood stoves. This is due to the fact tha