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Propane prices & OH No, we`re low?`s

G

Gilbert in IL.

Member
Saw the network news(& NO, don`t believe the Media, plum!) talking about a shortage of propane. Just asking folks regional availability/hiccups. We`ve got 20% in a 500 Gal. tank. Guess its time ta throw some more in tho! Polar vortex?, GOUGE....input `preciated.......GAS
 
Very short supplies up here. Place we buy from is only getting 1 weekly delivery instead of the 3 it normally gets. Even letting folks with rental tannks buy elsrwhere if they want.
Last summer it was 1.19 a gallon up to 2.08 as of this morning with a max delivery of 250 gallons. This summer we got a price break cuz we got over 600 gallons at once.
 
We had our tank 1,000 gal. tank and our sons' 500 gal. tanks topped off a couple of weeks ago. Our's took 400 and theirs 300. We're on equalizer for both and it was $1.69/gal.

The big question is why is there a shortage? I know it's been colder than usual but propane is made from NG or petrol cracking, and there's no slowdown in either of them. Is there another Enron type conspiracy?
 
I got filled in December and they first told me $4.24 a gallon . When I went to pay them I got them down to $3.42 a gallon. They told me that I should be glad that I filled when I did because that day (January 16) that three refineries had just shut down because they could the materals they need to make propane. I am located in NW. Indiana.
 
(quoted from post at 01:45:43 01/21/14) that three refineries had just shut down because they could the materals they need to make propane.
Click to expand...

I'm not arguing with you, but it doesn't make sense to me. Go to http://en.wikipedia.org/wiki/Propane , scroll down to "sources" and go to http://www.propanecouncil.org/what-is-propane/basics/ and read the first paragraph. Both state the materials are NG or cracking crude. And, it's stored in salt dome and moved by pipleline, rail, or truck. Is there a shortage of those also? Last week I was sitting at a RR crossing while a freight train was going by, there were at least 40 tank cars labeled "propane".
 
It's hard to belive that there is a shortage materal to make propane considering it is a by product of natural gas and we are surpose to have a abundance of natural gas. I think they are useing that excuse just to jack up prices.
 
Gene I know farmers had to dry corn this year and that uses the propane but that would mean more production not shut down production. Propane is a by product of natural gas and this winter has been colder than normal through midwest and east coast and increasing use of natural gas would give them the materal to make propane.
 
If it was cold and used more NG then it used more propane as well. Couple that with late season corn drying and you might be a little short.
 
I haven't bought propane in years, but my neighbors who heat with it are saying that the 3 distributors UP here are short on it and they are only allowed to sell 100 gallons to a customer in a weeks time.

So with this super cold weather we've been having many customers are having to get their 100 gallon maximum fill just about every week.
 
Im glad I switched to electric last year.Propane was over 4 dollars a gallon.Alot of people in my area are anti gas drilling maybe high prices will be their wake up call. Dought it. Thanks Greg
 
Just wait uutil the price settles at about $4-5 a gallon then there will be plenty of it. We were out of gasoline, natural gas, fuel oil, coal and anything else then the price went up and by some miracle there was plenty for everybody.
 
In our area there were shortages already showing up in November from some suppliers. Drying 35% corn sucked the pipeline down. We were told that the high use of propane in Illinois and Indiana pulled the pressure down so low that by the time it got to the depot in our area it was taking hours to load the trucks. We started drying with gas at $1.36 and had to double our contract at $1.65. Now hearing prices at $2.25 to $2.60 depending on supplier. There is some rationing going on by some suppliers. We used 3 times more drying gas than any time in the past.
 
they are gouging us pretty good here.
They ain't fooling anybody.
They are going to play this game here until
they get propane to $4, same as fuel oil.
11-28 $2.69
12-20 $2.99
1-13 $3.29
 
I got filled up in August 2013 @ $1.59 a gallon. and now I'm at 20% called and it was $ 2.39 and another place wanted $ 2.89
In 2012 and 2013 I think for around here it was the lowest it has been in at least 10 years ?

If I had the extra money I could of prebought last year @ $ 1.69 gal.

This is north central Ohio.
 
No shortage or Oak,Hickory,Walnut and Locust Firewood here and no price increase.Can keep the house 80 degrees all Winter if I want.As long as you are on oil or gas you're at the suppliers mercy or more like the lack of mercy.
 
There is a good article at eia.gov in the "this week in
petroleum" section about what's going on with propane. I
suggest all of you conspiracy theorists read it.
 
certainly not good news our 500 gallon tank is low too, now we pretty much heat with wood,and a couple of electric heaters the propayne is saved for the water heater and cook stove which helps, i always manage to come up with lots of wood of various kinds during the year , one forest thinning guy up in town calls me to haul it off his job sites, it saves him money and me too he'll even load my truck for me, its cut in 4 to 8 foot lengths and delimbed,but unmarketable for one reason or another , all i have to do is buck it and split it its a mix of ceader, juniper and pine i also get some apple and other wood from my place here, but if it burns i burn it [ i do clean my chiminey twice a year] never had a chiminey fire in my lifetime but most of the stuff i burn is over a year old some was dead standing when they cut it
 
Not propane but fuel oil..Yesterday I bought 250 gals. of farm fuel and it cost me $920.00 or $3.68 per gal. .I to use wood for home heating and it is a good thing I do.
I believe that the government is partially to blame for the high fuel prices, propane, natural gas and diesel. They have a program, around here it is called HEAP, where they pay the fuel supplier to provide fuel to some lower income families. Now were are talking about hundreds of millions of dollars that these fuel companies are getting from the government.
This is like a big govt. bailout and instead of keeping prices low to promote more sales the fuel suppliers can raise prices because they have captured sales, paid for by the govt., and the rest of us are forced to pay more.
I started out with all of my storage tanks full of fuel purchased in the late summer when prices are much lower but like most farmers I use fuel all of the time and I can not store enough for a complete year.
We are limited on the amount of fuel we can store by government regs. and insurance costs.
 
Thats how supply and demand works, low supply equals higher price, higher price equals less use, less use equals more for those willing to pay the higher price to buy, until general demand goes down and price soon follows unless the producers decide to cut production to hold the price, you know, like corn in a bin?
 
Local CO-OP is limiting deliveries to 100 gallons of LP at a time and you have to be empty or close to it to get a delivery.

Supposedly they sent 10 semis out to pick up gas and they all were sent home empty.

Other suppliers have LP, but the price is climbing.

AG
 
$2.68/gal this last week got about 160 gals.
After seeing that SWMBO stopped using 1 of 2 propane heaters and put on more clothes. Just maybe this next summer when I say 'have to cut wood' I won't get atitude ~roll~
 
Midwest prices.......

To compound the issue, a major pipeline was shut down from Thanksgiving to Dec. 18, further reducing the availability of propane in the Upper Midwest.
The 1,900-mile Cochin pipeline carries propane southeastward from Canada, through North Dakota and Minnesota, across northeast Iowa and into eastern Illinois. Its owners, Kinder Morgan Energy Partners, shut the pipeline down to install new pumps that would reverse the pipeline’s flow early next year. Instead of bringing products such as propane from Canada, the company plans to move a petroleum product called light condensate from Illinois to Alberta, Canada, where the product is in high demand and more profitable. It is used to dilute bitumen — thick oil taken from Canadian oil sands — so it can be transported.
Midwest Propane
 
Greg I believe electric is cheaper right now because coal is the fuel but they are closing coalfired power plants or switching to natural gas then the price will skyrocket. I don't blame the companys. The government no longer regulates prices so get rich if you can.
 
I have my own tank so I called around for prices. Highest was $2.59 & lowest was $2.10. I called my usual supplier to see if he could match that low price. He said he would beat it. $2.09.9 Cost me $840 to fill.
 
Years ago when we ordered fuel oil for the furnace in May of that year it was slightly more than what it was in January. We were told by our supplier it was higher because they arent selling as much. I remember years ago when the higher price of gasoline was just starting, and was higher in the midwest and the oil companies said it was because we were "land locked".......for the most part, Im guessing we always were lol...but it didnt make a difference before.
 
The LP association of Minnesota was on TV a couple weeks
ago saying how farmers used a lot more lp drying corn this
year so it is short...

Huh? Some areas were wet corn, but most of us had a tad
drier corn in the field than average. And the LP shortage
started before we got in the field...

As mentioned, the LP folks shut down a major pipeline. But
typical, lets blame the farmers....

Anyhow, my coop says it will be worse next year in this area
than it was this year. And heaven help us if we actually have a
wet crop. They were running trucks several saes away to bring
in LP already.

Paul
 
I heard something about that too. A friend of mine said yes we had to dry corn this year but look at the last few years when we didnt, and the mild winters. Always have to point the finger at the farmer. Its like they are anticipating use so lets go for a shortage before it gets here.
 
Supply and demand works for most things but it can be manipulated just the same. Look at pickups for example. There was a large supply of pickups from GM years ago....did the price of them go down to $10,000. No they didnt. When a company is spread out enough and large enough they can hold on to what they have and ask what they want and ride it out. As I stated above, we were told by our supplier for fuel oil it was higher in May because they werent selling as much...I would have thought it should be cheaper then. I agree about the corn production but the only bad thing is the farmer can hold out, but if someone needs corn they can import it from another country.
 
The fuel oil would have been cheaper if the supplier was in a bind and needed to sell but if not then he was sitting on his product.
 
Well when its all said and done the energy companies just like all other companies,farmers etc etc are in business to make the most profit they can not to sell products as cheap as they can.Cattle are bringing pretty good now and hope no one buying steak is waiting for me to give them a rebate(LOL)
 
I hear you on that. I gripe on prices of stuff as much as anyone, but you are right, folks will sell to the highest bidder and that is how it should work.

What we need is another pipeline. But, people get pretty opposed to that going through their back yard. And once again, I understand that......

And so we continue along. :)

Just bothers me when folks aren't honest about it tho.

As I mentioned below, an LP representative blaming farmers for higher lp costs and shortages, when actually they themselves are selling off their pipeline to a higher bidder and not shipping propane.

Or the tree hungers that stop us from building coal generators. But then also stop pipelines. And stop windmills because they kill eagles. And stop ... Well anyhow, I often see an individual point, but still we need energy we can't stop it all, we will reap those rewards in a few decades when we find our infrastructure fallen apart and nothing new allowed to take its place. That's not honest to me.

Paul
 
Watched the news at noon and they had a good 5 minutes on Propane shortage due to early cold up north and then it being cold all over from there on. Had propane dealers saying they where running out and did not know if or when they would get more in. The area I live in has been putting in natural gas lines since early spring. Which for a person like me will never help since I know they are not going to run a line a mile just for me LOL
 
Around here gasoloine always goes up 10 to 20 cents per gallon two days before the summer federal holidys.
 
Called Amerigas as my tank is at 30%. Asked if there was going to be a problem. Nope no problem fill up is scheduled for Friday.
 
You're right which is why when people vote(or don't vote) they really need to figure out the consquences of what the person they are voting for is going to try to do.
 
So? Ever try to get a motel room in an area thats having a big event that weekend? Prices will sometimes be double the normal rate.Prices are what the market will bear.Solution for gas and diesel is get a storage tank and buy when the price is down or pay their rate whenever.
 
90% of lp dealers will let you prepay in summer for the winters use.

Why own the extra tanks?

Gary
 
FYI, 2.799/gal....150gal limit...when we filled up pre-winter, it was about a dollar cheaper. JUST wondered other states/areas situation....So./central IL.....Gilbert
 
Did Amerigas give you a price ? I got delivery( Amerigas) in last of December and price was about $4.25 a gallon and you have to take min. of 200 gallon. I paid bill on January 16 and got them down to $3.42 a gallon. On the day I paid the bill they told me that propane prices were going up and they were having trouble getting propane.
 
No danger of me getting rich Reason I switched to electric was basement flooded so new water heater . Wife was unhappy with gas stove in kitchen.Furnace is oil burned 100 gallons in 6 weeks. Glad my house is small because its been cold and todays even colder. Thanks Greg
 
Wheres the guy from a couple weeks back that was telling us that burning wood wasn't really a money saver? That we were fools for doing all that work?

Consider this guys- natural gas can't be piped everywhere. Propane is going back up again. Fuel oil is over $4.00 a gal and climbing. Coal is basically being outlawed for power production and that's still 60% or more of our electric generation. Wood stoves are slowly being regulated to death. Prices are climbing through the roof on everything.

Does anyone see a problem here?
 
(quoted from post at 00:22:08 01/22/14) Did Amerigas give you a price ? I got delivery( Amerigas) in last of December and price was about $4.25 a gallon and you have to take min. of 200 gallon. I paid bill on January 16 and got them down to $3.42 a gallon. On the day I paid the bill they told me that propane prices were going up and they were having trouble getting propane.
Click to expand...

I have Amerigas and my price was about $4.15 in early Dec. I had an offer because of being a town volunteer, from another company for about $1.00 less even though I don't use much. So I called Amerigas and they dropped me $1.10, although I had to sign a contract for a year
 
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