On January 10, the level of propane stock in the country was already at a 21 year low. Now we are experiencing more record breaking low temperatures. I keep hearing about our imminent energy independence, but these inconvenient stories keep popping up. I guess it’s nothing that a doubling of prices won’t cure. Of course, it’s generally poorer rural folk who rely on propane for heating and cooking. No biggie for Wall Street bankers and their mansions in Connecticut. Keep waiting for that plentiful shale oil and gas to save the day.
U.S. propane shortage deepens as cold snap reaches Midwest
U.S. Midwestern states are scrambling to address a deepening shortage of the home-heating fuel propane just as another cold snap envelops the region, threatening to strain supplies that are already at historic lows.
Demand has been boosted by the combination of record freezing weather at the start of this year and a late, wet, record corn harvest last October and November, when large quantities of propane were used to dry out crops. Propane stocks have been drained and prices in the region are the highest since at least 1990.
To allow greater and quicker deliveries to rural homes and farms, several states, including Michigan, Indiana and Ohio, have suspended “hours of service” rules that limit the hours truck drivers can spend on the road, according to state notices collated by the National Propane Gas Association.
“There are no strategic stockpiles around the country like there are for crude oil,” said Roy Willis, president and chief executive officer of the Propane Education and Research Council. “It’s all in the private sector. Getting that replenished is a logistical challenge and that’s what we’re facing now.”
“What the industry is doing is literally working round the clock to move propane from where it is, in the large storage facility in Texas, using trains and trucks, pipelines and barges to where it is needed. That’s what’s happening now.”
Some 14 million households use the liquefied gas to heat homes, especially in upper Midwestern states such as Michigan and Ohio, where the shortages have had the most impact.
Propane is a by-product of two other processes, natural gas processing and petroleum refining. So, yeah, eventually there will be a propane shortgage. But, not this season.
America imports only 10% of its propane needs. Canada is the world’s 6th largest producer.
Not saying there isn’t a shortage right now. But it is a local manufactured crisis. According to a Minnesota TV station —– “That dealer told the TV station that two weeks ago his customers could fill up a propane tank for $644, but now it costs $976.”. There ya go. I’m sure next month’s inflation numbers will actually go down, again.
Another reason I am happy to be a southerner. Polar vortex followed by another winter storm, fuck that. I will take my above zero degree weather.
Polar Vortex my ass. Call it a normal Winter stuffed in between a growing number of much milder Winter weather.
Now the anti-earth warmer crowd will bleat and squeal, “See, global warming is a myth!” All the while global averages rise year over year with perturbations above and below averages but always with a positive bias..
A wood stove and sufficient stock of trees to power it is in order. Of course that raises smoke pollution during times of High Pressure so cities and states will pass anti-fire heating rules.
It all boils down to too many rats in a box. We’ve passed the maximum population level that is sustainable with existing natural resources..
Enjoy the down slope..
MA
Bah, winter gasoline mix uses….propane and butane. Shocker, I know.
It was a $1K to fill my propane tank here in MN today. Definitely had a bit of sticker shock.
Your being snookered. These lighter elements are used more during the winter and so you pay at the pump and more to BBQ some doe eyed beast slowly rotating over the spit.
Also more for that light gas heating your home on wheels.
Propane.
One of the best things we ever did was ditch the propane heat.
When we moved here, there was a big tank out back. Propane heat, the realtor informed us. Fast forward to our first winter… not only was the tank experiencing a slow leak (you could smell it from the house), but propane was going for over $3 a gallon!
After filling up the tank- twice – in 3 months and having various Bubbas from the gas company come out and do some bullshit Jedi Mind Trick on us and tell us there was no leak, we finally bit the bullet and dumped the furnace. Bought a high-efficiency heat pump (there’s a power plant on the horizon. Coal fired. I see it every morning).
Most satisfying thing I have ever said to a phone drone.
Me: Hi. My wife and I switched to a heat pump.
Drone: Uhh.. okay.
Me: Come get your shit off of my lawn.
Of course, we’re going to be retrofitting the house with a woodburning stove for when TSHTF. Smallish cast iron stove on fire brick and we’re gonna run the pipe right up the flue.
Me: Hi. My wife and I switched to a heat pump.
Drone: Uhh.. okay.
Me: Come get your shit off of my lawn.
Drone: But your house is on wheels.
Me: Well, I left your shit behind.
Drone: Ooooookay crazy person.
we’re gonna run the pipe right up the flue. -Belly
That, sir, is a horrible way to talk about your brother AWD.
Me: Hi. My wife and I switched to a heat pump.
Drone: Was she frigid?
Me: Whut?
Drone: So you got a new pump?
Me: Yeh.
Drone: I suppose that it is a younger version..
Me: Dayumm straight.
Drone: And you want me to take the old pump away?
Me: Not the pump, the old tank!!
Drone: Sir, you are a very ill man.
Me: So would you be if you huffed that mercaptan gas that old tank leaked!!
Drone: Please, sir, would you withhold the personal imagery?
Me: Come get your shit!!
Drone: Uhhh..I’m gonna pass. The new pump sounds enticing.
Anon
“Me: Hi. My wife and I switched to a heat pump.
Drone: Uhh.. okay.
Me: Come get your shit off of my lawn.
Drone: But your house is on wheels.
Me: Well, I left your shit behind.
Drone: Ooooookay crazy person.”
Don’t be silly… our house was built before the wheel was invented.
Don’t be silly… our house was built before the wheel was invented. -Billy
The bringer of light!!
Stand ye behind me ye fallen cheribum,
Another reason I am happy to be a southerner -ss
For a m’l your pretty ok in my book.
Natural-gas prices soar to highest since 2011
SAN FRANCISCO (MarketWatch) — Natural-gas futures rallied on Wednesday with prices settling at their highest level since June 2011 as a winter storm in the Eastern U.S. lifted demand for the heating fuel . February natural gas (NMN:NGG14) added 26 cents, or 5.8%, to settle at $4.689 per million British thermal units. That was the highest close for a most-active contract in over 2 1/2 years, according to FactSet. “As record cold temperatures and tremendous snowfall continue, simple supply and demand have pushed the energy’s prices higher and higher,” said Jonathan Citrin, founder of CitrinGroup. Oil futures, meanwhile, rallied too ahead of weekly data on U.S. crude inventories. March crude (NMN:CLH4) rose $1.76, or 1.9%, to end at $96.73 a barrel on the New York Mercantile Exchange, the highest futures price of the year so far.
For a m’l your pretty ok in my book.
Lol, the South will rise again as Yankees freeze their balls off due to their propane being stored in Texas. Anyone want to explain that one? How that is a good idea?Most Yankees have mocked the South, but still the South is resource rich and combined with industry moving to the South. How long before Yankees realize how Fuck they are due to heavy liberal influence and Federal Government controls on their industries. Better stock up on resources, the plague of Detroit is about the spider web out to your domain soon enough.
The propane shortage in On. Canada did not need to happen there are more than enough trucks to haul the propane in On many trucks are not plated because the high cost of insurance in On. Canada this winter. T have talked to propane Suppliers that could not get credit this summer to fill up on propane. The gov. talked to the propane co . in Sept. about the lack of propane in storage O know of many low income households that have not had propane in 3 weeks and there water pipes broke.
Pussys live in the south. The north is where the strong live. Remember the SOUTH lost 😉
Friday 1/24/14 I paid $6.48 per gallon. Seriously insane prices! Last time I bought gas it was $1.88 in the spring and now this $6.48 a gallon. They sold me 100 gallons instead of the minimum 200 gallons for the 500 gallon tank I have. I though it was some kind of joke when he said $7.10 a gallon and it was good that I called the day before because I get it at $6.48 a gallon. Do you know how it feels to pay almost $700 for 100 gallons of propane? IT SUCKS! I was advised to lower my thermostat to 55F and wear extra clothing. I normally keep it at 65/66F its not hot or warm as it is, and now I should go lower? I live in WI and my provider is ferrellgas not some mickey mouse provider. When it gets warm enough I’m going to tell them to take the tank and shove it where the sun don’t shine! When this gas is gone I’m switching to my wood burning furnace and never looking back!
I just had three 20lb cylinders filled for $2.56/gallon. I have no idea what home delivery prices are.
I_S
Another reason to break this fucking country in half. Go terrorist! tear this fucking country apart and break those sorry motherfuckers on Wallstreet. FUCK YOU AMERICA you deserved 911 and you deserve it again. Ill be leaving soon.
“Plumb your grill into your home gas line, screw propane bottles.”
—-matslinger
Done. Stove top is gas, too, along with dryer, furnace, and water heater. Gas is cheap here. I’d buy a gas microwave if it were available, but that probably wouldn’t be a good idea. Heh.
The electric bills for air conditioning in the summer are another story.