The Knowledgeable Consumer

Viking Propane truly believes an educated consumer is the best and happiest consumer.

With the “winter of our discontent” now past, it’s not too early to plan for your next heating season.  Now that it’s easy to install new tanks, it’s also a perfect time to evaluate energy costs and compare propane suppliers.  Below are considerations when comparing companies.  Since each supplier markets products differently, do your homework and be prepared.

  • Know your annual propane usage—Many consumers keep perfect records of propane deliveries.  For those not quite as “organized,” your current supplier can tell you that total.  Make sure you ask for a full year of deliveries (say May through April) to ensure the total is accurate.  Propane is usually discounted based on annual volumes, so you want to “take credit” for every gallon delivered.

 

  • Ask about extra fees and charges—Many suppliers have what seems like a “great price” and are willing to sell you the latest program.  Unfortunately,  hidden fees are not always mentioned up-front.  For example, let’s say you use 800 gallons of propane a year.  You compare prices and Company A beats Company B by 15 cents per gallon.  Wow! That’s a savings of $120 dollars per year!  But wait, let’s add the enrollment fee of $50, an 11 dollar delivery fee for each of the 7 deliveries you get throughout the year  (7 x 11 = $77) , an administrative, or regulatory, or gas-recovery fee (names vary) for $4 each delivery (4 x 7 = $28).  Now add the fee total ($155) to the annual cost of your propane and your “per gallon savings” actually costs you $35!

 

  • Ask about tank rental charges or “minimum annual usage charges.”—As said earlier, propane is usually discounted based upon annual usage.  Users of less than 100 gallons per year may be “assessed” a tank rental charge at the end of the season, or have to pay a penalty of 100 or 150 gallons minus the gallons actually used.

 

  • Ask about contracts if you currently have or would like an underground tank—Many think that they are stuck with a supplier because they use an underground tank owned by that supplier.  They sometimes think their current tank must be dig up for replacement by their new provider—not true.  Most area propane companies swap underground tanks for new ones with no disturbance of the buried tank.  One thing to watch for:  if you signed a contract with your supplier (usually 5 years) you are stuck until the contract period is complete or a penalty is paid.  Some companies, like Viking however, will bury a tank in your yard and not require you enter a contractual agreement.

Once you have gathered information from 2 or 3 suppliers, you are ready to make a decision based upon hard facts and dollar for dollar comparisons.  However; it’s important to remember, price is not the “end all and be all.’’  Good, honest, dependable and expert service from a company you trust beats a small dollar savings every time.

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