Michigan Agency for Energy: With propane supplies down, now is the time to lock in prices ahead of heating season

Aug 9, 2017

Contacts:
Nick Assendelft (Michigan Agency for Energy), 517-284-8300

LANSING, Mich. – Michigan’s propane customers are advised to lock in fuel prices now, well ahead of the heating season, says the Michigan Agency for Energy (MAE).

“U.S. propane supplies are noticeably below last year’s levels, putting upward pressure on prices.  It pays to sign contracts now – instead of waiting until the winter when demand is higher,” said Valerie Brader, MAE’s executive director. “Doing it soon can result in significant savings.”

More than 8 percent of Michigan households in Michigan use propane as their primary heating fuel, leading the nation in the number of residential propane customers.

To assist propane customers with their decisions, MAE has useful advice on selecting a propane provider. Its consumer tips sheet covers pricing agreements, delivery arrangements, fees and other charges, the pros and cons of renting and owning a propane tank, contracts, and a list of helpful questions to ask before signing a contract.

The Energy Information Administration at the U.S. Department of Energy reports that national propane supplies are 24.8 percent lower than last year and 9.8 percent lower than the five-year average.

While propane prices are not regulated, MAE does monitor supplies and makes available beginning Oct. 1 weekly, statewide average residential prices on its website during the heating season. Additional information is available on the Michigan.gov/propane website.

For more information about MAE, please visit www.michigan.gov/energy or sign up for its listservs to keep up on MAE matters.