Most propane bills are designed to be hard to compare. Once you know what to look for, the overcharges jump out.
The line items that matter
- Price per gallon. The big one. If it just says "market rate" with no reference to a published index, you have no way to know if it's fair. That opacity is the point.
- Gallons delivered. Cross-check against your tank gauge and usage.
- Tank rent. A recurring fee if you lease your tank. Reasonable, but worth knowing.
- Delivery / fuel surcharge. Sometimes legitimate, sometimes padding.
- Hazmat / regulatory / "service" fees. Vague fees that add up. Ask exactly what each one is for.
- Tank monitoring or leak-test fees. Many programs include these free; if you're paying, ask why.
The "market rate" problem
The single biggest red flag is a per-gallon price with no published reference. Wholesale propane prices are public. A fair program prices off that index plus a stated margin — so you can always check the math. If your supplier can't or won't show you how your price is set, that's your answer.
Questions to ask your supplier
- What index is my price based on, and what's the margin?
- What is every fee on this bill for?
- Am I on routed or will-call, and which is cheaper for me?
If the answers are evasive, a transparent buying group will quote you a price you can actually verify.
Propane Alliance