In the paper the influence of moisture content of wood on the heat losses and thermal efficiency of a boiler is analysed. The moisture content of wood has a negative effect, especially on flue gas loss. The mathematical dependence of the thermal efficiency of a boiler is presented for the following boundary conditions: the moisture content of wood 10–60%, range of temperatures of emitted flue gases from the boiler into the atmosphere 120–200 C, the emissions meeting the emission standards: carbon monoxide 250 mgm-3, fly ash 50 mgm-3and the heat power range 30–100%.