50 million homes use propane daily, with 6 million using it as their primary heating fuel. It’s growing in popularity as an affordable, efficient method to heat and power almost anything in your home.
If you choose to use propane, you must find your own supplier. Choosing the right one isn’t as simple as typing “propane delivery near me” into Google. It requires careful consideration of what each company offers.
There are 3,000 propane companies in the US alone, and over 70% of them are family-owned. This wide range of options can make it difficult to decide on which one is right for you.
The best propane delivery service provides quality fuel and maintenance care. They need to be the right size and charge fair rates to ensure you get the quality you need at the right price.
Read our guide to learn how to switch propane companies by considering 3 essential qualities.
1. They Offer A Range of Services
Propane delivery can be a long process, but this is a disadvantage when you need fuel right away. Look for a company that doesn’t leave you in the cold waiting for service.
Automatic delivery is one of the best ways to ensure you never run out of propane. It’s a service that allows propane companies to monitor your fuel levels and send a professional to refill the tank when it gets low. The service eliminates the need for daily monitoring.
Automatic delivery isn’t the only way that a high-quality propane delivery service can help you by providing extra services. They should include everything that propane can do and help you maintain it.
Propane has a wide range of uses. It can:
- Let you cook indoors
- Power generators
- Provide fuel for a fireplace
- Create outdoor heat
- Warm your water
The company you choose should provide a range of maintenance services. These include maintaining a propane furnace, installing hot water heaters, maintaining appliances that use propane, and testing for gas leaks.
The best propane companies will be transparent about what they offer and how much it will cost. Ask them before switching to ensure you’re getting all the help you need.
2. They Charge Fair Rates
Propane is one of the most affordable sources of energy available today. The average price in the US is $2 per gallon compared to $3.51 for the same amount of electrical power.
This isn’t the only factor you have to consider before switching propane companies. Propane delivery prices vary based on a variety of factors. These include supply and demand, whether or not the supplier buys in bulk, regulations, and special incentives.
How to Determine Price
Changes in supply and demand make any product fluctuate in price, including propane. Ask if they have special rates for winter or other high-demand times of the year.
If a propane delivery service buys fuel in bulk, they’ll be able to provide more of it to their customers. This means cheaper rates for you.
Propane companies also have to follow all local and state regulations. This can be a strenuous and expensive process and may increase your rates.
Incentives for new customers include free tanks, installation, and hookups. This leads to an average cost savings of at least $1000. Other incentives may exist, so be sure to ask about them.
Additional Fees
You may have to pay other fees when you switch propane companies. These include early termination, tank removal, pump-out and restocking, and the option to buy a new tank.
The early termination fee is usually $150 and applies if you switch before you contract with your current company expires. The tank removal fee comes in 3 parts; $900 for removal, $1,000 for a deposit, and a $60 dispatch fee. The pump-out and restocking fee is $150 plus an hourly rate. Purchasing a tank is $800-$1000.
These fees can total at least $3,060-$3,260. You should look for a company that charges more reasonable fees. Our customers pay an average of $800-$1,500 to switch.
When you get fair rates, the price is worth it when you consider what propane can save you. It reduces your energy costs, generates heat when other sources of energy fail, and could make you eligible for an energy tax credit of up to 10%.
3. They’re the Right Size
Americans have a 70% confidence rate in small businesses compared to 21% for large corporations. Size is an important factor when you compare propane suppliers. Don’t choose one that’s too big or too small. Instead, be like Goldilocks and look for the one that’s just right.
Size affects the quality and range of service you’ll receive. More trucks mean a larger service area but less personalized service. A single-truck operation may have low rates and personalized service but not enough resources to reach you when you need them. Look for a mid-sized propane delivery service with a reputation for quality.
Smaller local companies provide several benefits. Their rates more accurately reflect the current market price of propane, they provide better service, and you support your community by purchasing from them.
How to Switch Propane Suppliers
Choosing the right propane delivery service ensures you get quality service at a fair price. There are several factors you must keep in mind before making your decision.
Consider what types of services the company you’re considering can offer. The more they can do for you, the less you’ll have to manage on your own.
Look at the rates and potential fees before switching. They add up quickly when you choose the wrong provider.
Consider size and remember that bigger doesn’t always mean better. A mid-sized company will be able to provide you with a more personalized, readily available level of service.
