We continue monitoring wholesale propane prices (data referenced is for Mont Belvieu) as we progress toward cold winter weather. Our most recent update showing Mont. Belvieu pricing was August 24, 2015 showing 35.6/cents gal. as per the EIA.
Today, we did a quick comparison of Mont Belvieu propane prices showing the difference in pricing between the final week of August 2014 versus the final week of August 2015 as per the EIA.
Mont Belvieu showed a price range of approximately $1.00 to $1.04 cents/gal. for the last week of August 2014 (last year) compared to a price range of approximately .35 cents/gal. to .45 cents/gal. for the final week of August 2015 (current year).
While propane prices have increased a few pennies during the past two weeks as noted above, propane prices continue to remain significantly low compared to propane pricing approximately one year ago.
Despite the slight price increase noted above, propane home heating customers should realize significant propane heating cost savings versus last year. Propane consumers should carefully compare and consider participating in a fixed propane price program to lock in lower propane pricing for the winter of 2015/2016.
While focusing on the retail propane price per gallon for a fixed propane price program (i.e. propane pre-buy) is very important, propane consumers should also carefully compare any fixed propane price program participation fees that may apply. Not all propane suppliers charge fixed propane price program participation fees. Calculating the total cost (propane fuel plus participation fees, if any) of all local propane supplier fixed propane price programs is very important before making a final decision on working with one specific propane supplier.