[Homestead] Propane prices

SJL indexer at localnet.com
Fri Aug 3 13:55:50 EDT 2007


That's been pretty much the case here (Maine).  I have for many years 
had all tanks filled in the spring and the house tank topped off in the 
late summer before a spike that always came in early Sept. so there was 
no risk of having to get a truck in here with snow or mud on the 
ground.  But last spring ('06) the price never dipped; indeed, it rose.  
And it has been rising incrementally since then, right through the 
spring of '07.  Just called, for the curiosity of it, and prices right 
now run down from  3.10, which would be 75 gal or less/yr usage, with 
the high volume price at 1.60.

Susan Jane


> t my closest supplier, in  
> Gainesville, MO. She says that prices used to adjust seasonally but  
> now do not. Here is another site with info:
> http://www.eia.doe.gov/pub/oil_gas/petroleum/analysis_publications/ 
> propane_prices_brochure/propbro.html
>
> Turns out that prices are tied pretty closely to crude oil prices.  
> Propane is produced as a by-product in natural gas processing and  
> petroleum refining. It is used in plastics manufacture and  
> petrochemical production. Prices are also affected by supply source  
> and transportation. Midwest and Gulf states appear to have lowest  
> prices.
>
> So it's a supply and demand crapshoot. Steve's peace-of-mind  
> criterion is as sound as any economist's estimate.
>
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>   




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