Propane vs. Natural Gas

[petefritz]

The last couple years propane has been cheaper, by 7% to 15% at times. I have no long history becuase of deregulation I am on spot for NG only 2 years. I have 2 NG stores and 1 LP. the LP store used to cost more a few years ago, now is cheaper. I am considering LP for my next one. By the nature of how LP is produced it seems it would be in better supply than NG, hence, better pricing. Any issues I am not looking at?

[StoneColdKiller]

Pete,

I kind of like the idea of the Gas coming in the line, instead of a big tank outside that I must arrange to have filled or fix after some bozo drives through it.

[Mel]

Pete,

I too am looking into LP for one of my stores. You are the first person that I have found that is using it. I have many questions and would like to visit with you about it over the phone or in an email. Would you please send me an email with a phone number and a good time to contact you to discuss this further? I would really appreciate it.

My email address is melpll@aol.com

Thanks!

[petefritz]

Mel, just ask away. I probably can not email you becuase you have AOL, and I have found AOL is bouncing many of my emails to friends back becuase it thinks my server is a spam factory. I do keep an email on yahoo... fritzp11@yahoo.com that will be able to send back to AOL's so you email me or just ask here

[Mel]

Thanks Pete, I sent you an email............

[azkid]

Interesting...shows what I know. I didn't even know there was an option as to how you obtained gas. I'm assuming there is no modification you need to make to the dryers or hot water heaters? Are there any safety considerations? If you wanted to convert a store it sounds like it would be expensive also (to install the tank, etc.)

[Duane]

Azkid,

A kit is needed to change the gas orifices from NG to LP. Depending on the pressure, a regulator may be needed.

Most manufactures of dryers, hot water heaters and HVAC systems have a kit for their product.

Duane.

[blueridgemat]

Just curious what you guys decided. I have natural gas in my mat- 2 years old with 20 dryers, 22 washers and my natural gas bill is always $ 800-1000 a month even after I lowered drying time to 6 minutes for a quarter. Local gas company here charges $1.65 per cubic ft lately. They are the only natural gas supplier in this rural area. Would it be cost effective to change? How long is natural gas going to stay as high as it is? /ubbthreads/images/graemlins/confused.gif

[shastad]

NG (natural gas) aka methane is a low energy content fuel. NG is lighter than air, thus if any leakage occurs the gas rises and mixes with the atmosphere. a greater volume of NG is required to produce a certain number of BTU's. LP (Low Pressure) gas aka propane is a higher energy content fuel. LP is heavier than air so any leakage goes down to the lowest point. this can create "pooling" in low areas (basements) and a potential flash or explosive condition. LP has been in residential use many years and I believe is considered equaly safe as NG.
Don't even test a gas switchover without changing the gas orfice. It will damage your equipment. Consult your distributor, conversion orfices can be as little as $10.00 each.
Keep It Safe!

[DuboisLaundry]

I have propane, because its the only thing available here. yup, Wyoming, hundreds of gas wells just a few hours away, and no gas here in my little town. I have 2 large propane tanks out back. They fill each one about once a month, 2 weeks apart. If NG was available here, which it probably never will be, all water heater and dryers would need new orifices. I can barely imagine anyone with NG available switching to LP. Building a new mat in a market with tight gas supplies might think about it. I know in some areas the gas company curtails NG to large industrial accounts during severe cold, but I don't think a laundry is big enough to qualify. If you were building in that type situation having several weeks propane on site might be comfortable. Most places with NG there is only one provider, or a separate bill for the pipeline usage. Most places with propane have multiple sources in competition. By Guaranteeing them your steady business you might get a better price

[shastad]

Pete, could you explain the process of purchasing NG on the spot market? Can you compare your spot purchase price to the pricing the local provider is giving, and can the local providers price be negotiated?

[petefritz]

I ended up putting in NG, mostley becuase my installer is licensed for gas line work, so it made it one less sub to deal with.
I am in Florida, and gas is deregulated. There are sevreal NG suppliers. The local gas company bills for transportation and service, the bulk supplier bills for gas used. Call your gas supplier and ask about it. My local gas company had many contacts I could call. Now they have teamed with my bulk supplier, as in they say to buy gas thru them, not even thier own company. Weird.