The Price of Propane


Studies show that almost 50 million homes in the United States use propane for heating, stoves, and a variety of appliances. Local and federal governments are beginning to pay special attention to propane use after prices were at an all-time high this past winter. In fact, Congress is trying to come up with a possible propane reserve just like the ones used for crude oil. The fact that propane is so vital and is used by consumers, farmers and businesses make it essential that there is a system in place to ensure there is no chance of a shortage. Propane isn’t just a popular resource for the winter months but is also for the warmer seasons as well. Fortunately for PA residents, propane prices are at the lower end of the national average right now. However if there becomes a shortage, this wouldn’t be the case. Here are a few important facts about propane to get a better understanding of its importance:

  • Although you would think propane is used in its greatest capacity in states in the Midwest or New England to heat homes, the largest users of propane come from farming states such as North Carolina, Florida, Illinois, and California.
  • Due to the boom in demand for propane, states such as Texas, North Dakota, Ohio, and Pennsylvania are producing propane.
  • There was a crisis last winter when propane was scarce and many homes throughout the country were unheated. Due to a national supply crisis, the federal government demanded propane is given to unheated homes as a priority.
  • Due to the crisis, the importance of limiting the export of propane and creating a reserve is bigger than ever. To date, there are no rules or regulations in place limiting the export of propane.
  • The US government is hesitant to open propane reserves because the production and export of propane is at an all-time high.

With propane production booming, Pennsylvania residents do not have to fear a rise in prices quite yet. In fact, the national average was over $4.00 per gallon last week. Propane prices in PA were $3.75 per gallon. However, summer is coming to a close soon and propane will be used soon to heat homes in a much greater quantity. The chance of a shortage is not something PA residents would be able to handle, especially if this winter is anything like last.

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