Propane Prices

[ultrarunner]

I think because they come to you so options are limited for most and with few suppliers in many areas they are the only game in town...

 

[CADplans]

U.S. Weekly Heating Oil and Propane Prices (October - March)

why do propane suppliers get to triple the price of their product
while clearly fuel oil suppliers don't?

Residential oil buyers own their tank,,

Only a small fraction of propane residential buyers own a tank large enough to get discount pricing.
That 1,000 gallon propane tank investment is a big risk.

You do not get a discount filling an 80 gallon tank,,
the propane company charges a premium to even fill the small ones,,,

So, if you are using the propane companies tank,,
you are paying a large percentage of your propane bill as tank rental.

AND,, the propane company usually charges the rental cost of the tank as a per gallon mark-up.
in other words,,
have the propane company tank,
use more propane
pay more per year,,, :thumbdown:

 

[bumperm]

How is a 1000 gallon tank a big risk? Mine happens to be underground, but I have a neighbor with an above ground he owns. Ain't gone bang or Pft! yet :c)

 

[lilranch2001]

I tried and tried and tried to find a 1000 gallon tank to purchase and so far it has been a no go.
everybody I find that has one to sell is over 100 miles away .

 

[CADplans]

How is a 1000 gallon tank a big risk? Mine happens to be underground, but I have a neighbor with an above ground he owns. Ain't gone bang or Pft! yet :c)

When I bought my tank,, there was O N E propane dealer in the Roanoke area.
I had to pay the price per gallon that one company dictated,,

Luckily,, that changed within a year or so after getting the tank.
Now, I have at least 4 suppliers to call for pricing.

 

[TheMan419]

I think because they come to you so options are limited for most and with few suppliers in many areas they are the only game in town...

Yeah I'd certainly check what options were around if I were to buy a tank. Also many companies will insist on a safety checkup before they fill.

 

[bumperm]

Yeah I'd certainly check what options were around if I were to buy a tank. Also many companies will insist on a safety checkup before they fill.

There's at least half a dozen propane companies in my semi-rural area. I own my own 1000 gal in-ground, so shop and compare. When using a "new" company for the first time, they are required by NV regs. (don't think it's a Fed reg, but could be) to inspect tank and gas appliances. I have never been charged for this service, nor for delivery charges and other "pads", some of the bigger companies may charge. Since the bigger companies are seldom competitive, I'm most often dealing with the smaller ones. I tell them going in that I will pay COD, no credit card and to give me their best price. They know I won't share their price or ask others to beat it. The bigger companies keep calling me with "specials" though. My price is most often about $1 below that charged by Ameri-Gas, Campora, etc, to their rental tank customers.

 

[NoTrespassing]

There's at least half a dozen propane companies in my semi-rural area. I own my own 1000 gal in-ground, so shop and compare. When using a "new" company for the first time, they are required by NV regs. (don't think it's a Fed reg, but could be) to inspect tank and gas appliances. I have never been charged for this service, nor for delivery charges and other "pads", some of the bigger companies may charge. Since the bigger companies are seldom competitive, I'm most often dealing with the smaller ones. I tell them going in that I will pay COD, no credit card and to give me their best price. They know I won't share their price or ask others to beat it. The bigger companies keep calling me with "specials" though. My price is most often about $1 below that charged by Ameri-Gas, Campora, etc, to their rental tank customers.

$1 below?!? I only paid 99 cents last summer. How much are they charging out there?

Kevin

 

[bumperm]

$1 below?!? I only paid 99 cents last summer. How much are they charging out there?

Kevin

Last summer I paid $1.24, but I think the west coast (and the western part of NV) are generally a bit higher in any case. A larger company called me with a "special" the other day, $1.84. When I filled a couple of months ago, I paid $1.58 (IIRC). Cheapest I've ever paid is $.92. The rental tank customers are paying about $2.60 or so.

 

[dragoneggs]

I imagine different areas of the country vary a lot, not only in pricing but how they service you. When I bought my current house we inherited a 500gal leased LP tank. Problem was that because it was leased, no one but the owner (Suburban Propane) would fill it and I was at the mercy of their pricing. Which I soon realized they were gouging (not giving me market pricing). I complained a couple of times and they knocked a $1 or so off per gallon but that got old so I started shopping around. I ended up downsizing and buying a 250gal tank from Ferrell gas. I now can shop 3 or 4 nearby LP suppliers but I always end up refilling with Ferrell as their prices have always been lowest. Not including the much lower pricing I get now, by buying a tank, I paid for the cost of leasing a tank in 5 years.