Economic Benefits Of Fair Propane Pricing: Calculating Your Propane Savings

Posted by ThompsonGas on August 25th, 2015

Alternative and cleaner fuels reduce dependency on petroleum imports. They also play an important role in addressing economic and environmental problems stemming from the excessive consumption of conventional fuels. Among the most widely used alternative fuels today is propane, which is also establishing itself as a major energy source because of its inherent environmental and practical advantages over other alternative fuels and conventional energy sources like diesel and gasoline.

Propane is a versatile source of energy with a remarkable safety record. This is because the propane industry follows stringent codes and regulations that ensure the utmost safety not only of distributors but its users. Some of the most notable benefits of using propane or liquefied petroleum gas (LPG) include its minimal emissions, resistance to ignition (LPG only ignites when combined with air, provided that the ignition source reaches 940-degrees-Farenheit), and its non-toxic characteristics, which means it doesn't harm soil and water resources.

Insoluble in water, this non-toxic fuel cuts emissions and helps protect the environment. It does not leave a residue and nor does it spill or pool because it is released as gas. Propane exhaust also creates some 60 to 70 percent less smog-producing hydrocarbons compared to gasoline and it yields 12 percent less carbon dioxide, 60 percent less carbon monoxide, and 20 percent less nitrous oxide, making it a truly environment-friendly choice.

Propane is recognized as green energy but besides its environmental benefits, it also offers a great deal of economic advantages, which makes it an excellent alternative to pricier fuels. The following describes the many economic benefits of propane and why it allows better pricing and more savings for consumer:

• Infrastructure – The cost of building a propane service infrastructure is similar to or much lower than comparable sized gasoline and fuel dispensing systems. Propane service facilities are also designed in strict compliance with nationally recognized standards as well as local fire and building codes, and they follow stringent safety regulations deployed throughout the country. This affects propane pricing directly as service providers don't have to pass huge infrastructure costs down to consumers.
• Operations – The operating costs of propane distributors and service providers are a lot smaller than conventional diesel and gasoline fuels, giving them distinct economic advantages. The costs associated with operating propane fleets are at least 20 to 40 percent less than gasoline and diesel-operated fleets. Economically speaking, propane is considered the most cost-effective alternative to traditional transportation fuels when vehicle and infrastructure (capital costs), maintenance, and operational costs are taken into consideration.

About the Author:

This article was written by ThompsonGas. The 16th largest retail propane company in the U.S., ThompsonGas has been family owned and operated since 1946. The propane gas dealer provides cheap propane for residential and commercial propane gas service to customers across 10 states in the East and Southeast.