I think it would be a good thing to introduce a change in the demand for firewood for residential houses. If houses after advancing to a higher level and become better, more durable, they are also warmer and less wood should be needed for the last level. And coal can also completely replace wood. A brick house requires less fuel than a weak wooden cottage because it retains heat better. I think this is a good idea to implement.
As a Banished player, I’d suggest to absolutely avoid to have citizens using coal at all. One of the worst aspect of Banished was that citizens went in competition with foundries and blacksmiths for the coal, which was really not fine and caused industries to pause their work due to the perennial lack of coal. Also, coal is already quite difficult to obtain, so having citizens to use coal will worsen the gameplay severely.
So please let’s have citizens using only firewoods. 
Also, a reduction of the consumed firewood seems not realistic too, because if it’s true that upgraded houses have better materials, is also true that houses’ size is increased, so requiring more heat to keep the ambient warmer. So I can expect the firewood consumption will stay more or less the same.
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