Residential, commercial, and farm use propane will see new contracting terms for 2010/2011 season.
In past years a one set price program has been offered, usually through June or July, for the upcoming heating season. You may now contract propane for next fall and winter needs either today if you choose, or any day up until August 31st for 2010/2011.
Contract prices will vary week-by-week or even day-by-day to reflect current futures prices being offered by traders. This year we have seen high demand for propane due to fall crop drying needs, daily temperatures this winter that have been colder then normal, and refineries making products other then propane from crude oil. All this boils down to propane reserves are lower then normal in the past five years and the price at terminals have increased $ .50 since October, with no traditional drop yet after the first of the year. Contracting in this manner allows our customers to set a price that fits their needs and budget. Call one of our offices for current quote.
Current delivery price: $1.80 (no contract scheduled delivery price on 02/01/10)
Current Contract Price: $1.70/gallon ($.10/gallon down at contract time)
$ .05/gallon discount for those who pay 100% pre-pay (discount shown in contract pricing)
$ .03/gallon discount for those who choose Budget billing (discount shown in contract pricing)
$.10 discount for gallons delivered in July or August (discount shown as cash discount at time of billing)
Farm Service Company is extremely proud of our propane department and the heroic effort they have performed since the first snow early in December. You may have noticed two people often times in each truck the past 6-7 weeks, or an accompanying pick-up with snow plow to widen a drive-way curve, or help pull one of our trucks out that had become stuck trying to back with-in reach of your tank. These efforts have created additional costs to Farm Service Company, but necessary to maintain a service to all customers we fill unequalled.
With that said we would like to remind you that it is still the customer ?s responsibility to blade driveways to a 9 ? width for trucks to enter and make a path through the snow so drivers can pull a hose to your tank. The next round of deliveries will start this week and all tanks will be filled to 85% yet until March 15th unless customers personally request something otherwise. If earlier contracted gallons are depleted the balance of delivery will be billed at current scheduled delivery price.
Hopefully this winter is an exception and we can soon get back to global warming.
David Sell
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