Propane shortage

[Bounty Hunter]

Most companies that sell Propane will allow you to lock in at a certain price during the summer. I'm locked in at $1.89 per gallon through March of this year. You do have to make a deposit ($200.00) when you lock in, but it is refundable, or you can apply it to your last fill up when the locked price contract expires.

This is true. I used to deliver for Hick's gas. There were a few customers that did this and were good all winter. Most did not know it was available. Corn dryers used to get steep cuts in cost because of the volume used. We would fill the house tanks as well at dryer cost for farmers at that time also. There are options for cheaper pricing available. We never did charge a lease for any tanks, but that may have changed siince then. Its been awhile. People who owned their own tank would also gets price cuts to keep their business. Sumer fill is always cheaper as well, for thhiose who do not use alot.

 

[shibumiseeker]

This is true. I used to deliver for Hick's gas. There were a few customers that did this and were good all winter. Most did not know it was available. Corn dryers used to get steep cuts in cost because of the volume used. We would fill the house tanks as well at dryer cost for farmers at that time also. There are options for cheaper pricing available. We never did charge a lease for any tanks, but that may have changed siince then. Its been awhile. People who owned their own tank would also gets price cuts to keep their business. Sumer fill is always cheaper as well, for thhiose who do not use alot.

If you use a lot of gas then it is always cheaper per gallon, and often the lease charge is waived, but you are still locked into one supplier.

Summer fill doesn't help if you have to pay a delivery charge because you are buying under their minimum amount. We only use about 200 gallons of propane a year, and I don't have an issue with paying tank rental. I do have an issue with my supplier being $1 a gallon higher than anywhere else simply because I have no choice to buy from them, so after this batch is used I am exercising my "free market" option and not only stopping buying from them, but taking steps to further cut my propane use.

 

[ghuns]

In my area, if you own your own tank, and you have not bought from a company in the last year, they ain't bringing you any gas.

 

[SMiller]

Which brings me to my point of now would be a good time to not get upset and just hope your supplier keeps the LP coming.

The whole call around and shop for prices sounds good but no one is taking new clients right now, if you have a account you had better just ask them to bring you some and be happy to have got it regardless of price.

I have my own in ground tank and a account setup where I buy both fuel and LP so glad I am setup and they come without issues, I paid $3.15 plus tax to get 150 gallons the other day, I wanted filled as always and was told that was all I was getting. No delivery fee as long as you get 150 gallons regardless.

Wait till summer and look around on pieces and rent if you have to go that route. Now is not the time to play!

We had a optional $1.60 gallon fill last summer for a one time fill as long as it was before the end of Aug., I took that deal bit went through it fast as I have a big home and like to be warm!

 

[inxs]

It might pay to shop. I had a tank set a month or so back. House is total electric but have a back up generator. No lease fee, they are as competitive as anyone, and good service (piped the generator for $100.00). Have another tank on same property for old house, had it for years, paid lease of $1.00 a year once (some accountant had a brainstorm). Only con dition they had was that I would need to fill the tank (500 gal.) not call for 100 gal at a time.

 

[nmcampbe]

Talking with a friend who said prices jumped again today, $3.85 a gallon and will probably hit $4 soon maybe $5 before its all over, absolutely crazy, manmade crisis. Makes a guy wonder if my supplier will still honor my locked in price of $1.85 a gallon?

 

[grunt soldier]

glad I bought a wood burner. however my back up source is a 500 gal propane tank. It's sitting right at 41% full. we paid to lock in a contract also. may need them to come on out and fill this bad boy up.

 

[spaniel]

Shortages are regional and largely a function of forecast vs actual demand. Surely, this winter is pressing far past forecasted consumption.

I went hunting in North Dakota in early November. The big story was the lack of propane....anywhere. People were saying they should go together and buy a trailer, and tank it in from elsewhere for a profit. The corn was coming off late and the demand was far exceeding supply, because it had not been planned for. They were getting to the point of playing with fire, leaving the corn in the field so long as to risk losing it to snowfall.

 

[Landon]

I locked in mine at the end of summer for $1.76, they just came last week and filled it up. 500 gallon tank (80% full is 400 gallon) and they put in something like 350 gallons.

The company I use offered a lifetime lease for the tank. $1 lease for as long as I have it. I had this company at my last house and when we moved a couple years ago I had the company that was supplying our current house come remove their tank and had my current supplier come place theirs.

 

[IndyGunworks]

I was torn on renting a tank, but decided i wanted to be able to shop around for the best prices, so i traded a gunsafe for a 1k gallon tank.... that should pay for itself over the next 30 years being able to shop around for the best prices i hope.

 

[Landon]

I think the company I use offers competitive rates and owning my own tank would not yield me any benefits. The times I shopped around nobody offered a better price. However, I don't doubt that its beneficial for others in certain areas where there is more competition.

 

[RobbyMaQ]

You must not live in a rural area as the corn was super wet this last fall and a lot of LP was used to dry it down. I could hear the fans running all fall while everyone tryed to dry it down. The grain elevators were rejecting loads as they couldn't get it dryer down fast enough themselves. Now I don't know if I believe that is the true reason for LP shortage as I font believe anything .gov tells me...

Good to know! I'd assumed (most farmers around me are doing feed corn/beans) that because of the early harvest, it was already dried out early.
Clearly that is not the case.

$1.89 per gallon is what I am getting (locked in) till July. I rarely see my filler, so I have not heard otherwise. We rent a 500 gal tank.

 

[B-lou]

I own my own tank but have a budget keep full plan for the year..500 gal tank and had 40 gal left they came out and put in 200 gal and that was after I went to the main office and threw a fit about me already paying for the gas they will now not deliver...when I explained that I have in floor heat and it goes out because of lack of fuel and all the tanks and lines freeze and bust they will be liable.....gas delivery guy said "no account with us no gas" so it seems the people that shop around for the best price are sol right now....still a bunch of BS.....Bob

 

[IndyGunworks]

I own my own tank but have a budget keep full plan for the year..500 gal tank and had 40 gal left they came out and put in 200 gal and that was after I went to the main office and threw a fit about me already paying for the gas they will now not deliver...when I explained that I have in floor heat and it goes out because of lack of fuel and all the tanks and lines freeze and bust they will be liable.....gas delivery guy said "no account with us no gas" so it seems the people that shop around for the best price are sol right now....still a bunch of BS.....Bob

how so? I could set up an account w/ every propane supplier in my area. You dont have to be on a delivery schedule to have an account with someone.

 

[B-lou]

how so? I could set up an account w/ every propane supplier in my area. You dont have to be on a delivery schedule to have an account with someone.

According to my delivery guy if you did not have an account set up with them prior to this shortage you arent getting any gas ....just repeating what was said to me....Bob

 

[IndyGunworks]

prior to, different story. once i build out there i plan on setting up an account w/ at least three propane companies to allow me to shop around.

 

[SMiller]

prior to, different story. once i build out there i plan on setting up an account w/ at least three propane companies to allow me to shop around.

No new accounts being excepted at this time, if you don't already have a account that is in good standing you will NOT be receiving the 150 gallons for $5 a gallon that is being offered!

 

[wagyu52]

I can assure you the shortage is very real. Propane suppliers make their money on margins, allotments and higher prices hurt suppliers and consumers alike.

 

[longbarrel]

They learned from the oil companys...create a shortage then double the price, once the price is double the shortage will subside but the price will stay the same....B-lou

Don't forget about hurricane Katrina

 

[Kingpin]

This whole conversations sounds like the firearms and ammo and reloading supply shortage of 2013.The one big difference is you have to have the propane. Sure hope this gets better soon to cold to be without heat...