Yes, it’s almost summer. But propane users should shop now to lock in prices for home heating season

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Michigan's propane suppliers say now is the time for Michiganders who use propane for home heating to shop around, even as temperatures climb with the summer's approach.

Shopping now will help Michigan's propane customers ensure they can lock in deals for their propane supply. Consumers are encouraged to research options, ask questions about contracts and get terms in writing. Those who wait until later in the year risk surprise higher costs.

Many propane suppliers offer pre-buy and fixed-price plans that can save consumers money by insulating them against volatile market prices later in the season. It's important to know your household's average annual propane use; that helps customers buy the right amount. Customers also should know that prices may increase after the prepaid allotment is used up.

In addition, budget plans may be available to help spread winter heating costs evenly across all months of the year. That allows households to understand and take control over expected monthly costs.

Here are things to consider if you are a new propane customer or considering changing suppliers:

• Get answers to important questions you may have before you sign a contract. Some of those questions might include what budget and payment options are available, how prices are determined, what fees may be charged, what options for service are, how often tanks will be refilled, and how much advance time is needed for emergency fills.
• Make sure you understand potential fees, including fees for installation, service, pickup or disconnection, lease or equipment rental, and minimum usage requirements. Ask for details before you sign a contract because these additional fees may increase out-of-pocket costs.
• Calculate whether it's more economical to rent or lease a tank from a propane provider rather than owning a tank. Renting or leasing a tank means safety and maintenance is the responsibility of the provider. Owning a tank can save money but leaves the responsibility for upkeep on the customer.

Propane prices aren't regulated in Michigan. The Michigan Public Service Commission monitors the propane market to identify irregularities that could lead to price or supply disruptions. The MPSC each year publishes statewide average residential prices weekly during the heating season, which starts Oct. 1.

Michiganders use more propane in the residential sector than any other state, and propane use is highest in rural areas. Propane is the primary heating fuel for 18% of the Upper Peninsula and nearly 24% of some northern Lower Peninsula counties. Overall, propane is used for home heating in 8% of homes statewide.

More efficient use of energy can help keep costs down. Propane customers can find valuable energy saver tips through the U.S. Department of Energy.

There are resources for families struggling with home energy costs, including financial assistance. One place to start is the MPSC's webpage for customer utility assistance at www.michigan.gov/mpsc/gethelp. You also may contact Michigan 211 by calling 211 or going to www.mi211.org. Michigan 211 is a free, confidential service that connects Michiganders with assistance programs and services including help with food, housing, transportation and home energy bills. More information is available through the MPSC's tip sheet on applying for energy assistance and the MPSC's tip sheet on propane assistance.

More tips and consumer information is available at the MPSC's propane consumer tip sheet.

The MPSC serves as an expert, impartial regulator committed to consumer protection, fairness and transparency. For information about the MPSC, visit www.michigan.gov/mpsc, sign up for its monthly newsletter or other listservs. Follow the MPSC on Facebook, X/Twitter, LinkedIn or Instagram.

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