With propane prices lower than last year and supply above the five-year average, Iowa Secretary of Agriculture Mike Naig is encouraging propane consumers to make preparations ahead of the arrival of colder temperatures and winter conditions.
“Though it has felt more like summer lately, we know colder weather is coming and it’s a good time to top off the tank if you rely on propane to heat your home or livestock barn,” said Secretary Naig. “With lower propane prices than last year, higher supply levels, and persistent drought accelerating the dry down of grain in the field, conditions are right for propane consumers to proactively prepare for winter.”
Data released by the United States Energy Information Administration (EIA) on October 4, for the week ending September 30, shows that nationwide propane stocks were at 101.4 million barrels (mb) or 134.6 days of supply. Midwest (PADD 2) propane supplies stood at 26.8 mb, a volume that is higher than a year ago when supplies stood at 24.5 mb.
As of October 4, the state average propane price in Iowa stood at $1.53 per gallon, down from $1.89 a year ago. Beginning October 2 and continuing through March of 2024, the Iowa Department of Agriculture and Land Stewardship will compile a weekly state average propane price in coordination with EIA. These findings can be found as part of the Department’s weekly fuel reports.
Iowa Propane Stakeholders Group
In the fall of 2019, Iowa experienced propane supply challenges because grain drying demands caused by the late planting season coincided with an early cold snap that increased livestock and home heating needs. Since then, Secretary Naig and the Iowa Department of Agriculture and Land Stewardship have regularly convened a group of propane stakeholders, including the Governor’s office, members of the Iowa Legislature, Iowa Propane Gas Association, propane suppliers, and several agricultural groups, to anticipate and act on any propane supply chain issues. If farmers or agribusinesses experience propane shortages, they should notify Paul Ovrom of the Iowa Department of Agriculture and Land Stewardship at 515-242-6239 or [email protected], or Michelle Wicker of the Iowa Propane Gas Association at 515-564-1260 or [email protected].