The United States is now the world’s largest exporter of propane: What does this mean for your propane prices?
The United States has seen a big change in its economic relationship with propane.
In fact, just a few years ago, the United States was once a net importer of propane. But today, the U.S. is the world’s largest exporter of propane.
According to the U.S. Energy Information Administration, in 2009, the United States imported almost 110,000 barrels of propane every day. Just six years later, in November of 2015, the U.S. was exporting almost 600,000 barrels of propane per day. This number peaked in February of this year, with the U.S. exporting 884,000 barrels of propane each day.
This means that, according to the Wall Street Journal, the United States now supplies more of the world’s propane than the next four exporters combined.
But what does this mean for propane buyers in the Delaware County area?
Propane prices have dropped throughout the United States
For many customers, the increase in domestic propane production means that they’re enjoying lower propane prices than they would have years ago when the U.S. was a net importer of propane.
Prices can vary depending on supplier
A wide variety of businesses supply propane and propane tanks, and some will charge more than others. Even within the same town, prices can vary for refills or exchange tanks.
Some propane supplies will also charge a fixed price for their propane, regardless of the market. This means that even though the market for propane should lead to lower prices, you won’t receive a lower price because you’re locked into a fixed rate.
This is why it’s a good idea to work with propane companies in Delaware County like ours that offer market-dependent prices, ensuring that you always pay the lowest possible price for your propane.
This could be a good time to stock up
The current market for propane means that now might be a smart time to stock up on propane, especially for customers with larger tanks.
Propane prices can often arise in the face of a cold winter, so this summer’s particularly low-priced market means that stocking up now could lead to big savings later.