Propane Prices Blog

Propane Price Change Explanations May be Missing One Important Factor

Many propane suppliers and propane industry associations offer website explanations tend to point to various factors that may be responsible for propane price changes.  Some of these explanations include global demand, varying inventory levels, seasonal demand, weather changes, etc.  Many of these same articles tend to point out that propane suppliers are doing everything they can to keep your propane price low.  This may also be true.

Carefully Planning Propane Supplier Termination Date

Many propane consumers spend time during the summer months reviewing and evaluating the propane prices and propane services offered by local propane suppliers.

Does Your Propane Supplier Offer Competitive Propane Prices?

While some propane suppliers write articles and statements on their company web site regarding the factors impacting the wholesale price of propane and their 'competitive propane pricing', it is important to inquire about the specifics of how the propane supplier maintains 'competitive propane prices'.

Total Cost Of Propane

News agencies and propane related organizations periodically release news stories about various cities and counties that have chosen to use propane powered vehicles for police and school districts (among other agencies).  Some reports have described the conversion of taxi cabs and public transit vehicles to propane.  Many of these articles describe the purpose of these fuel conversions for 'cost savings'.

Leased Propane Tank Annual Rental Fee Tip

Many propane consumers elect to lease or rent his or her propane tank for residential propane service.  In this case the propane tank is typically owned and installed by his or her current propane supplier.

It is a good idea to make a note of the following propane service related dates:  (1) The date that the annual propane tank rental fee (if applicable) is collected by your propane supplier,  and (2) The date that your propane service commitment ends (as per your propane service contract with your current propane supplier).

Can I Change From Natural Gas to Propane Gas?

Can homeowners and business operators that currently use natural gas for heating change to propane fuel and save money?

In virtually all cases the answer is very simple: No.  While natural gas and propane gas achieve the same goals of home heating, cooking, clothes drying, water heating, etc.,  natural gas fuel is preferred and typically more economical.

Propane Pre-Buy Contracts

Many propane suppliers offer 'propane pre-buy prices', sometimes referred to as 'propane contract pricing' during the summer months before the winter heating season when the propane will be consumed.

While propane pre buy pricing has proven to be a money saving program for many residential propane consumers in past years, propane consumers should be cautious and carefully investigate propane pre-buy offerings before participating in such a propane price contract.  Three specific areas that should be researched and carefully considered include the following:

Are Propane Price Quotes Useful?

Many propane consumers are evaluating their past propane pricing and propane service as they make decisions on propane service changes moving forward.  Should I keep my same propane supplier from last year?  Was my propane supplier charging 'competitive propane prices' last year?  Was my propane supplier responsive to my service needs last winter?  Has my propane supplier been promptly painting their leased propane tank to help me maintain the appearance of my property...or am I staring at an ugly, rusty propane tank with peeling paint and fading decals?

Can I Challenge My Propane Price?

Can consumers challenge his or her propane suppliers propane price per gallon?

If a propane consumer is not participating in a fixed propane price per gallon or have any other agreement to the contrary, propane consumers should be willing to challenge his or her propane suppliers propane price per gallon - if research shows that a propane price per gallon for a pending delivery is not competitive.

Propane Pricing Tips

Many propane consumers post questions on website blogs regarding their curiosity of how propane prices are set by local propane suppliers.

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