Propane Prices

Duwop · Feb 9, 2016

Fill up for shop heater Saturday tank is 100 gal while delivery guy was here I got him to fill 3- 20# and 1- 30# tanks. So I got a total of 99.3 gals. for 2.49 a gal.

My frustration with my supplier is it seems he charges what ever he feels like charging. Last month he came and filled the 100 gal tank for 1.99 a gal and the time before that he charged 2.49 a gal. I have been leasing the tank that would have cost 600.00 if I had purchased it, my thought is I might get better pricing if I have him come get his tank and buy from someone else. I know it's a traded commodity but the swings in his pricing makes no sense to me.

teejk · Feb 10, 2016

Duwop said:
Fill up for shop heater Saturday tank is 100 gal while delivery guy was here I got him to fill 3- 20# and 1- 30# tanks. So I got a total of 99.3 gals. for 2.49 a gal.

My frustration with my supplier is it seems he charges what ever he feels like charging. Last month he came and filled the 100 gal tank for 1.99 a gal and the time before that he charged 2.49 a gal. I have been leasing the tank that would have cost 600.00 if I had purchased it, my thought is I might get better pricing if I have him come get his tank and buy from someone else. I know it's a traded commodity but the swings in his pricing makes no sense to me.

"Trip charge"...they pay a lot in equipment and fees and inspections and labor and fuel and other stuff to be able to deliver. The per "trip cost" is the same for a 500 gal tank as it is for a 100 gal tank so I don't think with your small tanks you can expect the same per gal price. Just IMHO.

bumperm · Feb 10, 2016

Since I purchased my 1000 gallon (underground) tank, I've been saving at least a dollar a gallon over most of my neighbors who are on "keep fill" routes. In fact, I have companies calling me with "special sales", most of which to not have any keep fill agreement requirement. Last fill up was a month or so ago and was $1.53. I typically wait until I need at least 500 gallons and pay on delivery to make it worth their while.

teejk · Feb 10, 2016

bumperm said:
Since I purchased my 1000 gallon (underground) tank, I've been saving at least a dollar a gallon over most of my neighbors who are on "keep fill" routes. In fact, I have companies calling me with "special sales", most of which to not have any keep fill agreement requirement. Last fill up was a month or so ago and was $1.53. I typically wait until I need at least 500 gallons and pay on delivery to make it worth their while.

Our co-op will not install 1,000 tanks to residential customers...500 gal max. I "pre buy" now so the keep fill is not a problem. If I were to "go naked" I would probably look for a larger tank and be able to "shop". Now filling yours at 50%...why? I think if you graph it you'll see that prices decrease as you move into spring. Grain drying and heating season is over.

Duwop · Feb 10, 2016

teejk said:
"Trip charge"...they pay a lot in equipment and fees and inspections and labor and fuel and other stuff to be able to deliver. The per "trip cost" is the same for a 500 gal tank as it is for a 100 gal tank so I don't think with your small tanks you can expect the same per gal price. Just IMHO.

Yes I understand the business as my family was in it many years ago. I didn't give all the info the previous fill was not more than 20 days before so the price swings make no sense. Locally the going price for the small tanks is 3.29 a gallon so yes there was a savings there and I appreciate that as I can't lug those around anymore. I also don't have much of a problem with the 2.49 a gal either, I would just like to see consistantcy with pricing.

teejk · Feb 10, 2016

Duwop said:
Yes I understand the business as my family was in it many years ago. I didn't give all the info the previous fill was not more than 20 days before so the price swings make no sense. Locally the going price for the small tanks is 3.29 a gallon so yes there was a savings there and I appreciate that as I can't lug those around anymore. I also don't have much of a problem with the 2.49 a gal either, I would just like to see consistantcy with pricing.

I wish I could figure out the pricing myself...it's a "commodity" and like you and I the suppliers can only guess. Yours might have "bought forward" (like I did this year for the house and shop) and paid a higher price that he has to pass on...or he knows the local market and is pricing accordingly. And btw I never knew a supplier that would fill my little tanks...I always have to haul them! Part of the cost of living in the country I guess...nat gas would be great but not feasible in my area so I'll continue to try to forecast propane prices before July 31 where I can decide whether to "cap" or "pre-buy" or "go naked" (before I know how much will be needed for grain drying or the long term weather forecast).

ultrarunner · Feb 11, 2016

bumperm said:
Since I purchased my 1000 gallon (underground) tank, I've been saving at least a dollar a gallon over most of my neighbors who are on "keep fill" routes. In fact, I have companies calling me with "special sales", most of which to not have any keep fill agreement requirement. Last fill up was a month or so ago and was $1.53. I typically wait until I need at least 500 gallons and pay on delivery to make it worth their while.

We own our 500 gallon tank in South Lake Tahoe... who are you buying gas from?

It always seems very expensive... taking all the costs and fees divided by the gallons delivered...

The supplier has tried to buy back the tank and offers all kinds of options like metered service... we are on keep filled and after two years are at 79%... simply shut it all down since I know the bears are in the area and a bear took out the regulator two years ago and we lost several hundred gallons.

ultrarunner · Feb 28, 2016

We are on autofill... when I shut down the tank for the season it was at 79%

Bi State just topped it off and the cost per gallon with fees and taxes is $4.40

5030 · Feb 28, 2016

ultrarunner said:
We are on autofill... when I shut down the tank for the season it was at 79%

Bi State just topped it off and the cost per gallon with fees and taxes is $4.40

I'd switch to bio-mass, wood pellets or shelled corn. The break on pellets is $1.65 per 40 pound bag compared to propane for BTU yield.. Of course you'd have a one time cost of a biomass stove / furnace and venting but equalized out over the projected life of the unit....about 25 years, the cost is minimal.

I just paid 96 cents a gallon delivered. to my back 500 gallon tank. My front one has stayed valved off all winter.

Don'r see the fuel cost increasing much net year either.

Nest time you are in Austria, I'll take a pair of Swarovski 10 x 40 EL Range Bino's...lol I have a pair of 10-40 EL's but I want a pair of the rangefinding ones.

5030 · Feb 28, 2016

sweettractors said:
Suburban is suppose to be sending me a "corrected" invoice in the mail. So far, I have not received it? Looking for a new supplier is on my list of things to get done before next winter. Ken Sweet

Ken... If you got a handle on your fuel costs (propane), you could sell your implements even cheaper.....lol:thumbsup: