Should you buy your own tank? Some companies promote this idea with two main arguments: 1. The price per gallon is usually 5 to 10 cents less. 2. Owning your tank allows you to purchase propane from any company.
Before you purchase a tank, consider the following:
- Do you plan to live in your current residence for more than 20 years? Even with a lower cost per gallon, tank purchase costs, repair fees plus maintenance mean it may take more than 20 years to make up the difference (if at all).
- What happens when your current supplier doesn't deliver? In past winters, callers told us that their current suppliers were unable to keep up with deliveries and customer owned tanks fell to the bottom of the list. What does that mean? No gas.
- Do you know that buying a tank means MORE than buying a tank? You will pay a tank set fee, labor, copper, regulators, blocks and regulatory costs. Those costs can easily top $1800. We pay those costs when you lease a tank from us!
- Do you know how to repair a propane system? If you hit the copper pipe with a weed wacker or spring a leak, the repair costs are your responsibility. If you lease a tank, it is our responsibility.
- Do you want to pay a service fee each time you switch propane suppliers? If you hear of a lower price at another company and decide to purchase propane from them, insurance requires a GasCheck on your system before filling the tank. Each time you switch could mean costs between $40 and $100 to pressure test your system. In the end, your price per gallon will likely be higher than if you leased in the first place!
- Do you know how to maintain a propane system? What happens when your tank needs a new coat of paint? What happens when your tank rusts? What happens if a regulator or part goes bad? Tanks begin to experience high maintenance costs at an average of 15 years. If you own your tank, maintenance costs are your responsibility.
- Can you afford to fill your tank and pay for it immediately every time you purchase propane? Most companies do not allow partial fills and no longer allow budget billing on propane purchases for customer owned tanks. Customer owned tanks require cash on delivery.
- Final question: Can you afford $1 per year tank lease? If you can, why purchase a tank in the first place? The maintenance costs alone will eat up any savings advantage you may have.
Before you purchase a tank, make sure you know the facts so you can make a well-informed decision.
*$1 a year tank lease requires minimum usage.