Propane

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I paid .89 cents per gallon and I lease the 500 gal. tank but they waive the lease fee as long as I fill once a year. That is why I went to a 500 gallon tank from a 250 gallon tank. I only need to fill up once a year in about July when prices are usually at the lowest. Yea I remember a few years ago when prices were around $5 per gallon. I had a pad lock on my thermostat lol.
 
I paid .89 cents per gallon and I lease the 500 gal. tank but they waive the lease fee as long as I fill once a year. That is why I went to a 500 gallon tank from a 250 gallon tank. I only need to fill up once a year in about July when prices are usually at the lowest. Yea I remember a few years ago when prices were around $5 per gallon. I had a pad lock on my thermostat lol.

Coldfront, please explain to me why propane is so much cheaper up there than here. As when I put my first propane insert in ( with dual blowes ) Back in apx. 1994 the propane price then was .87 cents a gallon. And now you are now paying .89 cents a gallon. And my low price is $ 1.99 as we speak. And has been as high as as ( for me ) $3.89 per gallon. Last year!!! ( And I am on the low pay plan. ) As above I have massive holding capacity. What are these thieves trying to do to the poor people?

375
275
=650 gallons
 
Believe me, I think a lot of propane dealers are thieves but I also understand that transportation costs between the well and distribution are a driving factor in price.
 
Believe me, I think a lot of propane dealers are thieves but I also understand that transportation costs between the well and distribution are a driving factor in price.

This is crazy when you think about it: here you got a dangerous, explosive, difficult to access substance which requires specially trained handlers, complicated processing systems, highly built storage containers, huge insurance policies, and tons of environmental regulations from point of extraction right up to moment of burn. And if coming from the Middle-East, you can throw in intercontinental shipping costs as well as the occasional war.

But here's the kicker:

1 gallon of propane = $1.99
1 gallon of Coca Cola (2 x 2liters) = $3.00
1 gallon of bottled water = $1.99

So who's ripping off who?
 
I don't know about bulk discount pricing, but for a regular BBQ tank to 50 gallon tank it's in the $3/gal area here. Couple years ago it was over $5/gal. I remember bringing wood to a family that only otherwise had propane heat. They were saying the were using something around $2000 of propane a month to heat the house, which was maybe 1800 sq ft.

Fuel oil costs have gone down, yet natural gas prices are going up yet again. Got a notice in the mail the other day electricity was going up too. 4 It will be close to $0.20 Kw/hr by fall. They did bump the wholesale price from $0.05 to $0.07 though (I sell power to them in the summer from my solar panels)
 
This is crazy when you think about it: here you got a dangerous, explosive, difficult to access substance which requires specially trained handlers, complicated processing systems, highly built storage containers, huge insurance policies, and tons of environmental regulations from point of extraction right up to moment of burn. And if coming from the Middle-East, you can throw in intercontinental shipping costs as well as the occasional war.

But here's the kicker:

1 gallon of propane = $1.99
1 gallon of Coca Cola (2 x 2liters) = $3.00
1 gallon of bottled water = $1.99

So who's ripping off who?
soooo, you love oil and gas co's, no????
 
Coldfront, please explain to me why propane is so much cheaper up there than here.
The answer is shipping, storage, transportation, and distribution.

Most all of the main LPG pipelines run into, or through the Midwest... including from Canada. I don't believe there's a single major pipeline in Virginia, however there is one running into Pennsylvania... and a single pipeline into the east ain't gonna' supply close to enough for y'all.

The Midwest gets its LPG directly, mostly from Canadian pipelines, whereas yours is brought in through seaside shipping ports, trucks and rail. Even the stuff going into the east via pipeline comes from the Gulf of Mexico pipelines, not from Canada. You're paying for shipping, storage, transportation, and distribution. We in the Midwest don't have near as much of that sort of expense... we have pipeline terminals real close, no need for as much storage and a lot less shipping/transportation/distribution cost.

I paid 86¢ about 2 weeks ago to fill my 500 gallon tank.
*
 
As I said it's a combination. I know it's not cheap to transport or store but I'm paying over $4 a gal while renting a 100 gal tank. If I buy my own tank I can go to another dealer and pay $2.25. I know it seems obvious but that would only save me about $100 a year. I'm waiting for a deal on a tank.
 
As I said it's a combination. I know it's not cheap to transport or store but I'm paying over $4 a gal while renting a 100 gal tank. If I buy my own tank I can go to another dealer and pay $2.25. I know it seems obvious but that would only save me about $100 a year. I'm waiting for a deal on a tank.

Buy yourself a bigger tank a 250 gallon. They charge more per gallon to fill a 20# through 100# tank, I don't think they will even come out unless it is a $200 minimum fill just to roll a truck.
 
Wow, I just moved into a new (old) house in the canyons of Orange County CA and the first winter, (2015/16) propane from my local dealer was $3.99/gal, and I was running through 100-125 gals a month. I just inherited the local dealer who used to deliver here and didn't question the pricing. My bad. Then I bounce into this thread and see people paying $.89/gal for propane and I nearly pooped myself. MAde a few phone calls and got a better price down to $2.50/gal, and going to keep looking. Saving ~50% on the price alone would have been huge this past winter, but there's more I can do. The house has a brand new high SEER furnace, system and new ducts, but the attic insulation was terrible, so I knew it wasn't as efficient as it could be. I just chopped down a huge dead Eucalyptus tree and got years of good hard firewood, and blew in R30 all over the attic, so I figured that would save me a lot of money. Between that and the propane savings I'm hoping my heat bill goes from $400-$500, down to $100-$200. Yikes.
 
Don't know? That is cash price if paid in 3 days or so, it was 10 cents higher if you don't pay within 30 days or so.

Not sure if they get a better price with how much they contract to buy? We have tons of hog confinements out here. There are about 13-14 withing a mile or so of me. They all heat with LP.
 
I just filled my 500 gallon tank, cheapest I could get it was $2.29 per gal... They fill to 400 gallons and it took 320 gallons...

I have it topped off every summer...

SR
 
I have a little pug tank and I only use propane for cooking and fireplace logs. Had a fill today at $2.499 per gallon and it took 63 gallons.
 
Reading this thread makes me feel a little bit better. I just topped off my 500 gallon underground tank that I own. $1.95/ a gallon. I probably could have shopped it around, but the company I buy through is right in town, ive been with them for 6-7 years, and their driver is pretty good at getting to my house even in the toughest weather. I live at the end of a 1/2 mile dirt road with some steep hills. The propane truck has always made it and never turned away. I don't know if I could get that kind of service out of another company.
 

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