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Old 10-08-2021, 09:47 AM   #1
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Price of Propane up - Winter '21-'22

2008 Tiffin Phaeton 40' DP Class A
Has two LPG furnaces

I wintered in St. Louis MO the past two winters
The park partnered with a vendor to provide 250g LPG tank
This year to set and fill the tank will be almost $700
The price of setting the tank isn't up but the price of Propane is
Last year the cost of Propane was ~$1.772/gal
This year the cost of Propane is ~$2.295
So to fill 200 gal is $459 vs $354 last year
These prices don't include the park's mark-up
Note as well that the price of filling portable propane vessels at retail outlets is even higher

I researched to see what was going on
Propane is refined from US natural gas production
Natural gas in the US is plentiful and cheap
The cost of oil in the world is high now which influences the price of propane
International demand for propane is very high now ..... US producers can sell internationally at higher rates ... so US exports of Propane is way up .... that is driving the price of domestic propane ...

according to my research ...
for the RV'r that occasionally fills your tank it isn't a big impact but for RV'rs that winter in cold climates ... it could drive your costs up
The long term winter '21-'22 forecast I have seen is warmer that typical thru the end of '21 in the mid-west.
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Old 10-08-2021, 10:14 AM   #2
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It is varying across the country, some places hardly any change, colder climates that rely on propane or heating fuel, prices going up, up.
Natural gas is already up in price.
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Old 10-08-2021, 10:37 AM   #3
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It's hard to figure what causes petroleum products to go up and down especially such a steep rise in propane, gas prices, and diesel prices in January 2021... It's a great mystery, I guess we'll never know.

Theboondork.com
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Old 10-08-2021, 10:52 AM   #4
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Not a mystery, its market manipulation.
We opened up fracking to stop this from happening, guess that was a lie.
Plus all the consolidating 20 plus years ago severely diminished any real competition.
Not trying to be political just realistic
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Old 10-08-2021, 11:13 AM   #5
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Quote:
Originally Posted by theboondork. View Post
It's hard to figure what causes petroleum products to go up and down especially such a steep rise in propane, gas prices, and diesel prices in January 2021... It's a great mystery, I guess we'll never know.

Theboondork.com
It is only a great mystery to people who are easily mystified.

Supply and demand is primarily the cause of changes in prices.

When you have a downturn in the economy and demand decreases, prices will drop, and supply will decline until equilibrium is achieved. Then when the economy starts to rebound as it did in January of this year, demand will increase, but an increase in supply will lag, causing rising prices until supply catches up with demand.

See how easy it was to understand how supply and demand work?
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Old 10-08-2021, 11:22 AM   #6
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While there are many factors affecting price one has to recognize the impact government has. There are layers of government mandates covering production, transportation, labor, taxation and availability.
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Old 10-09-2021, 08:39 AM   #7
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Supply n demand heh Well that's what the oil companies want to tell you and it appears to be working, in the meantime they post record profits.
Cut the supply and of course the demand is the same but now you make 50 bucks off a barrel instead of 10
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Old 10-09-2021, 08:53 AM   #8
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Quote:
Originally Posted by swduns View Post
Propane is refined from US natural gas production
Natural gas in the US is plentiful and cheap

I noticed the price of natural gas futures going up, they have basically doubled in the last year.

I was concerned of the cost of propane and had another thread going asking about the price of propane. https://www.irv2.com/forums/f59/what...ea-555818.html


Here is what I wrote as my last post


"So I happened to be going into my garage when the propane delivery truck pulled up. He was able to top off my tank in the motorhome, he owns one also and says he tops his off at home also. I just had to be ready with the doors open, propane off, fill cap off. He had 2 minutes to go from my home take, which is situated down hill ~100 ft from my garage to start filling before the pump automatically shuts off. Only needed 7 gallons but every little bit helps.
The price today is $2.27 but they just got notice that the price went up to $2.75. Last Sept I paid $1.77, so $0.50 increase at today's price. 28% increase.

They will top me off again in Jan and the price is normally $0.30 higher based on the log that I keep so who knows what it will be then. "





So people should be expecting higher prices and prepare for them. This won't be a deal breaker from me to travel but may result in lower setting on the thermostat.
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Old 10-09-2021, 10:28 AM   #9
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this is just a tidbit. we do not have natural gas in our town. instead we have propane piped to the consumers and metered just like natural gas in most towns. i had to fill one of our trailer propane tanks and the cheapest place in town is the local propane distribution company. wow! they have raised their price for propane put into a portable tank to $3.35/gal. i got home and the monthly propane bill for the house was in the mail. i was expecting a huge bill with higher price for propane. instead the price for the propane piped to the house was $2.25/gal. there's more at work here than simply supply and demand.
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Old 10-09-2021, 11:50 AM   #10
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We have a propane fireplace at the house. Every winter we use it until the gas runs out. Then every fall I take the 100 lb. tank to our local small town distributor to be filled. $65 each time for the last five years and I just refilled. I asked the owner about prices as I thought it would be higher and he said he hasn't had to raise them. Yet.

He can't fill my RV tank there though. Going to get it filled at the local U-haul next week. Braced for very different pricing there. We'll see.
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Old 10-14-2021, 11:01 AM   #11
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Cost

Last week i jus topped off my RV tank at $3.70 per gallon and that was “supposed” to be at discount of “ thirsty thursday”
Im in the East bay in Ca and i was at a distributor refill location. The people there are stating they may not get there supply tank filled this winter due to shortages with in the pipeline system.
Givin im in Ca this administration is also trying to eliminate reliance of fossil fuels to go all electric🤦*♂️ As well as they have mandated no more small engine sales “generators, lawn mowers, chain saws yada, yada, yada!!!) This is where i SHUT MY MOUTH!!!
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Old 10-14-2021, 11:50 AM   #12
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I just filled up 30 & 20 pound tanks at my local Uhaul in SE Florida. The price was $3.99/gal + tax. Last January-February time frame, it was only $2.75/gal at the same place. The propane is provided by Amerigas. The local Amerigas distributor closed to off the street refills at the start of covid, so we have to go to retail outlets.
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Old 10-18-2021, 01:24 PM   #13
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Almost forgot. Filled the RV tank. 17 gallons for $67 with tax and all. So about $3.95 a gallon. Now to figure out how many gallons my $65 100 pound tank in post #10 holds. It was flat empty to start. Pretty sure I already know where the better deal was though.
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Old 10-19-2021, 10:04 AM   #14
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So a 100 lb tank holds 23.6 gallons from dead empty. Local definitely the better deal. Both are full and should last the winter for me though, so no worries.
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