Propane Prices Blog

Reasons Propane Prices Change

Many propane suppliers have put reasons that propane prices change on their company websites.  For example, suppliers may state that propane is a by-product of the natural gas extraction process and propane pricing may be impacted by this process.  Another reason may include the distance that propane is transported before it reaches the customer destination.  Another reason may be noted as 'seasonal demand'.  All of these reasons may impact the price of propane. 

Propane compared to Solar Energy

Many rural homeowners have been inclined to install and use a propane furnace (or furnaces) for home heating rather than installing and using a heat pump that uses electricity.  In many cases, the homeowner was informed by someone or some website that propane heating is less expensive than heating with electricity.   However, homeowners should carefully consider all factors when looking at propane compared to solar electric energy.

Review of Website Visitor Poll Results

We have an ongoing poll for our website visitors to register their response to the question that appears.  Our website poll question is currently as follows:

Does your propane supplier notify you of your propane price per gallon before each home delivery? 

Timing to Select or Change Your Propane Supplier

Summer is a great time to select a propane supplier (if you need propane service) or to change propane suppliers (if you are dissatisfied with your current propane supplier).

Why is summer a good time to start propane service?

There are four great reasons:

Changing Your HVAC Filter

It is important to change your HVAC filter on a regular basis to save money operating your heating and cooling system. A dirty filter makes the system motor work harder moving air throughout your home.

Setting-Up Propane Service Agreement

When setting up a propane service agreement, it is very imporant to read and understand the entire agreement - specifically around propane service and propane pricing.  

First, the homeowner should carefully consider is the length of the initial service agreement and any automatic contract extensions that follow the initial propane service period.  Many suppliers ask for a one year service agreement while other suppliers may ask for a longer or shorter period.  After the initial period, some agreements automatically convert to month-to-month agreements. 

Propane Price Gouging

Propane home heating customers can use anywhere in the range of a couple hundred gallons plus or minus per year to a couple thousand plus or minus gallons of propane per year to fuel common household propane gas appliances (furnaces, waterheaters, clothes dryers, cooking appliances, pool heaters, spa heaters, etc.).  Purchasing this range of volume of propane per year can add up to a significant amount of money per year. 

Know Your Propane Price Before Each Delivery

Many propane suppliers choose not to openly post or publish current propane prices for customers to view and compare.  Some suppliers indicate that they are unable to openly publish the current propane price per gallon BEFORE a delivery because wholesale propane prices change very rapidly.  This is very interesting. 

Question: What do current wholesale propane prices have to do with giving an existing propane customer their propane price price per gallon BEFORE each delivery???

Will Propane Suppliers Match Propane Prices?

One of our website visitors recently sent us an e-mail on the topic of suppliers matching the propane price recently quoted by another local propane supplier.

The e-mail author pointed out that he/she owns his/her propane tank has three local propane suppliers that he/ she generally contacts when a propane delivery is needed (a customer that owns his or her propane tank has the freedom to make contact with multiple propane suppliers and order a propane delivery from the lowest supplier with the lowest propane price per gallon).

Residential Propane Tank Rental Rates

Some propane suppliers charge propane home heating customers a rental fee for using their propane tank.  In many cases, this propane tank rental rate is charged one time per year on the anniversary of the start of propane service. 

The rental rates for propane tanks can vary depending on  a number of factors.  These factors  may include the local competitive environment, the size of the propane tank and/or the policy of a specific propane supplier.  In general, propane tank rental fees can range between $1 per year to over $100 per year. 


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