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Anyone here heat with propane? Prices have been rising rapidly because of a number of factors: farmers drying corn, overseas exports, loss of a pipeline, hellish cold. Out where there is fracking being done they are burning it off as it reaches the surface because they have no way of storing it or shipping it to where it is needed. They are talking about rail shipping but say it will be 3 years before a line is operational. I paid as little as 1.49/gallon(quick pay price) a few months ago, next fill up will cost at least 2.25/gallon(quick pay price). My brother heats a garage with propane, he got screwed to the tune of 3.86/gallon by a local provider in Madison. It definitely pays to shop around. The consumer gets royally screwed again.
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GTO Man wrote:Anyone here heat with propane? Prices have been rising rapidly because of a number of factors: farmers drying corn, overseas exports, loss of a pipeline, hellish cold. Out where there is fracking being done they are burning it off as it reaches the surface because they have no way of storing it or shipping it to where it is needed. They are talking about rail shipping but say it will be 3 years before a line is operational. I paid as little as 1.49/gallon(quick pay price) a few months ago, next fill up will cost at least 2.25/gallon(quick pay price). My brother heats a garage with propane, he got screwed to the tune of 3.86/gallon by a local provider in Madison. It definitely pays to shop around. The consumer gets royally screwed again.
I heat with propane. I sign a contract every summer that locks me in at a low price for the year. Blanchardville co-op was just here about two weeks ago and filled the tank, they come while I’m at work, fill it, and leave a copy of the truck reciept on the door knob.
The cold is definately a factor right now with the pricing.
GTO Man wrote:We recently switched gas suppliers last fall so maybe that option isn’t available right away.I couldn’t do a contract the first year. The Blanchardville co-op offers a contract after one year of service.
What is happening with propane is a good example of what happens when an industry has no controls placed on it? It is an industry which sells something which could be considered a necessity, just like MGE or WE energies. Selling gas overseas, farmers drying corn, shutdown of pipeline at a very strange time, colder than normal winter are the reasons.
My situation: 1000 gallon propane tank for home heating, filled in November 2013 for $1.49 a gallon(they consider it full at 80% or more), currently down to 30%. I called last Friday to order some propane. Today I called to see how much it is and how much they would deliver. As of last Friday it was $5.50/gallon, they will deliver up to 200 gallons, which is what I would want. That should get us through until we get some warmer weather(maybe). By the time temperatures moderate prices should come down, hopefully. So instead of paying $300 for 200 gallons of propane, it will cost nearly $1600 in less than 2.5 months time. There is something wrong with that picture. I would rather flush the money down the toilet than give it to the suppliers who are gouging. The gas companies that deliver are caught in the middle.
I see my math was incorrect, the 200 gallons would cost me $1100 at $5.50/gallon. By the time it is delivered it could be $8.00/gallon.
I see on the news some suppliers are being investigated for price gouging. Surprise surprise, someone says the sky is falling and the suppliers rape the consumer.
Today, 1-29-2014, I received 250 gallons for $1275.00, about $5.099/gallon. 250 gallons in mid-november was $375.00 so it cost $900.00 more 2.5 months later. Where is that extra money going?
man o man I am glad I got WEENERGIES. I might complain come bill time, but that propane bill is something else. In Milwaukee they don’t cut your heat in the winter time per law, but you propane users have to buy it before you use it. I’m not one of those guys who forgoes his power bill during the winter, but I see a lot of people do it.
Looking at articles on the situation it looks like this problem isn’t going away. There isn’t the infrastructure to bring in the volume of propane that is needed. IMO, consumers will have to get used to the higher prices. But I’m sure that raises and cost of living adjustments will more than make up the difference, NOT.
I just paid $2.50/gallon but that is still substantially more than $1.15 – $1.50 that customers were paying.
I just moved into a new home that has propane. 35% in the tank right now. Hope it lasts till spring Then we will hook up to natural gas.
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