Friday, February 7, 2014

Propane Supply Issue

Colorado is now currently being affected by the nationwide propane shortage and supply issues. Wholesale prices in Colorado are approximately double normal winter prices, according to industry sources.

Reserves have now been depleted in Colorado to lower than normal levels. Representatives estimate that reserves could last approximately half a week if eastern supply routes are cut off by a major winter storm.

Colorado can draw propane from other major storage facilities in Adamana, AZ, Mont Belvieu, TX, and a smaller facility in Bountiful, UT. However, these facilities are further away and require longer truck routes. Industry representatives report that propane truckers are in short supply.

The propane industry will pursue an hours of service exemption for truckers carrying propane. This will allow them to rebuild reserves in Colorado.

The industry is pursuing a national or regional hours of service exemption first. They will pursue a state hours of service exemption if they cannot secure a timely national or regional exemption.

If you anticipate propane fuel shortages during this severe weather period, please let us know as early as possible. We stand prepared to work with you to find appropriate relief.

You may contact Melanie Roth at 303-692-2819 or