The aim of this research was to present the changes in biomass production, especially pellets in Poland, in the context of world’s and European Union’s (EU) climate and energy policy, compared to other renewable energy sources. We also analyzed the law concerning the biomass production in the EU. Finally, we have elaborated the prognosis of the pellet production on the world scale. We have used different methods to achieve the goals, among which the most important are the Generalized Autoregressive Conditional Heteroscedasticity (GARCH model) and prognosis. We also compared the results of pellet production in different countries in the European Union. The results were presented in tabular and graphic form. We have received the data from Eurostat and the Main Statistical Office (MSO) in Poland. Our research proves the increase of biomass and pellet production on the global scale. Moreover, global wood pellet production increased by 972% in the years 2005−2018. We can conclude that this increase was the result of increasing demand for renewable energy sources. The first research hypothesis assumed that the changes in the European Union Policy have impacted the increase of biomass production in the world. Our prognosis confirmed the second hypothesis that the development of pellets will increase as the result of increasing global demand. The use of more renewable energy sources is necessary to decrease the degradation of the environment.