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But yes i do agree they should be incorperated into the steal furnace recipe
Electric furnaces consume a HUGE amount of electricity, as well as requite significant resources to make en mass. Steel furnaces allow you to increase smelting speed if you have sufficient coal or solid fuel supplies.
They don't need "fixing".
First one is an objective thing because an error is something 'hard' and nothing to discuss about.
Second one is subjective because it's something 'soft' and more about likes&dislikes and an idea about how the game should feel.
Someone dislikes steel furnaces and would prefer not to waste the resources put into those by recycling them - that's fine. You've got the right to have an opinion.
But demanding a fix...really..?
I'm on my 2nd playthrough and hunting down quite some achievements with it. Lots of coal available, base powered by only 20 steam engines and not a single electric furnace.
So what's the point of them?
Devs fix electric furnaces..?
Not to mention that you can fit in three steel furnaces with inserters in the same space as just two electric furnaces without inserters.
I always plan for the electric furnaces right from the get go, so my furnace setup is easy to switch to electric as soon as its unlocked. This is why i don't go to steel furnaces and see them as pointless, the disadvange to electric furnaces might be power consumption but by this point i normally producing more than enough power ready for them and the advantages to electric furnaces are the ability to add modules and lowers pollution and you can if you so wish add modules to lower power consumption at the cost of production speed. My output tracks are always backlogged like everyone elses so in essence the only furnaces that are doing anything are the last few.
Well, the only thing to do -- build more rockets!!!! :-)
All kidding aside, it would be nice if the steel furnaces recycled into the electric ones. However, it seems like the devs thought of them as small-peanuts items... like the burner mining drills & inserters.... use them and then dump them. There are quite a few items that don't recycle into others, like wooden power poles, etc.
Perhaps its' one of the devs' "coming of age" markers in the game. Personally, I never build huge arrays of smelters until I get electric furnaces -- I never need to throw away more than 140 steel furnaces or so.
Of course, most of the time, I can't be bothered... I just go straight from Stone Furnaces to Electric, and rebuild my smelting lines while I am at it. (I use a line that auto-compresses itself -- LOTs of splitters and undergrounds).
Maybe it is a coming of age thing, personally i don't build many burners drills for the same reason as steel furnaces. I like to play on maps with resource frequency set to very low, so wasting resources isn't something i like to do. The basic ammo i limit to 2 slots in an output chest because they are not used in the armour piercing rounds recipe so again a waste of material once your begin producing those armoured piercing rounds.
Like you i like my tracks highly compressed so i only use red belts to clear the furnace output track, corners and at merge points other than that i don't use red belts. I use red splitters and sometimes red underground belts but i mostly use the basic belts to keep compression high. To be honest the only place i use red or blue belts in large qauntities is around the walls for defensive reasons (just in side of the turrets arc so spliters don't get to mass fire at my turrets).
I do think that it'd be nice if they can be incorporated into an upgrade plan (like being able to upgrade into electric), but I'm not too bothered. The pistol and first shotgun are worthless after you can make the new stuff. Same with ammo. I'd HATE it if to make armor piercing rounds you had to make a normal round first.