Every night, the news reports about bottlenecks in the supply chain and rising prices. While some things are inching back towards normal, the pandemic has largely disrupted the supply chain. Compounded by destructive storms along the Gulf coast, the same problems are causing volatility in prices for every energy source—heating oil, propane, natural gas, and electricity. You’re feeling it at the gas pump, and propane prices are at their highest since 2014.
We know how painful these higher prices can be for our customers. It’s painful for us as well. It’s important to remember that we don’t profit when prices are higher. In fact, it’s the opposite. Think about when food prices increase. Your local grocery store isn’t profiting off those higher prices. If anyone’s profiting, it’s the big corporations and Wall Street investors.
Part of the problem is that during the early days of the pandemic, fuel prices plummeted because of decreased demand. The industry—and Wall Street—is still trying to recover. That’s why, rather than increase supply, there are some who want to keep prices high by keeping supplies tight. Read more about the factors that are driving today’s energy market in the article linked here.
Propane is manufactured from commodities that are bought and sold on the global market—mainly natural gas. As a result, propane prices can fluctuate unpredictably based on a variety of factors:
At Pico Propane, we understand how these propane price increases can present challenges for you. While we can’t control propane prices, we’re always looking for ways to help you keep propane costs manageable:
Help is also available from Virginia’s Energy Assistance Program and North Carolina’s Low Income Energy Assistance Program. And if you are having trouble with your bills, let us know before you get behind: We’ll work with you in any way that we can.
