Biomass fuel is a kind of granular combustible material produced by the waste residue of agricultural and forestry crops ( such as straw, corncob, peanut shell, etc. ), which is produced by a series of crushing, oven dry, mixing and pressing forming processes. Based on the analysis of typical biomass fuel components, it is pointed out a clean energy has high utilization value. Based on the combustion characteristics and the use of cost analysis, it is prosped because the biomass fuel adapts to the policy situation, it will play a more and more important role in future social production and life, and has important significance to improve the tense situation of China's energy shortage and over reliance on coal, oil and other fossil fuels.