Gasoline going down, Propane going up, Why?
supporter
Posted by Don Birkholz (+1248) 7 years ago
The cost of gasoline has been going down from 4$ to 3$. I would expect propane to go down also, but has been going up instead (2.25$ a gallon in Broadus). What does yours cost? Supposedly due to the cold, snowy winter back east.
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supporter
Posted by Jeff Denton (+756) 7 years ago
Demand is high and supply is low.
Farmers back east needed more than usual to dry their grain
Meanwhile we had January level usage in November- hasn't happened before.
And one refinery is down a lot.
Our COST line is double what it should be lately.
And we were out of gas a week ago. Two railcars promised were sent East instead, then one arrived two days late. A semi tanker hauled in a load to save the day, but that was expensive.
So, that's how the propane biz has been up in this corner of the state.
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supporter
Posted by SeptyTwo (+665) 7 years ago
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supporter
Posted by Jeff Denton (+756) 7 years ago
The price is going up daily now. The rate quoted today when you ordered isn't good tomorrow when the truck shows up. Good thing all these folks with heated driveways have lots of money.
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founder
supporter
Posted by Amorette Allison (+11432) 7 years ago
Natural gas is going up due to demand. Demand drives price. Always has.
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Posted by sfb (+165) 7 years ago
The primary driver for demand is power plants. Due to EPA rules power plants that burned coal can no longer meet emissions standards quite often so they are converting to natural gas. So now you get to compete with them for gas purchase. Also expect your electricity bill to reflect the rising price of natural gas. I suggest purchasing stocks that pay a dividend, in the energy sector, to help offset the increase in utilities.
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supporter
Posted by Vince (+224) 7 years ago
Today the suppliers would not even quote a price for propane. It shot up over to over $3.00 and change, per gallon. I don't know where it settled at, this could get real expensive quick.
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