Propane purchases could be a significant expense for your company. They will be even more expensive if you make some common mistakes that unnecessarily increase prices.
The following are six mistakes to avoid that could push up costs when you arrange for propane gas delivery.
Purchasing from a supplier who is located a long distance from you
Delivery costs are going to be higher if your supplier is not located close by. It's important to find a supplier who is located as close to you as possible.
You can enjoy significant savings if you are able to minimize the delivery distance. The total costs of propane delivery might be cheaper for you if you buy from a closer supplier with higher propane costs than if you buy from a company located far from you with cheaper propane.
Failing to compare prices between suppliers
It always helps to shop around when you are looking for the propane delivery option with the most competitive prices. Research your options by word of mouth and by using the Internet to make sure you're buying at the best prices possible.
Buying less propane at once than you have storage capacity for
Making propane purchases in bulk helps to minimize costs. You might want to invest in a larger propane tank for your facility as a way to cut back on fuel costs. You definitely want to make sure that each propane delivery fills your tank to maximum capacity.
Neglecting propane tank inspections and maintenance
It's going to cost you a lot of money if your propane tank develops a leak and you lose a lot of fuel. It's also going to cost you if your propane becomes contaminated while in storage due to a faulty tank. That's why it's important for you to keep up on tank inspections and maintenance to avoid these problems.
Not timing your propane purchases strategically
Propane prices rise and fall over time. You should try to buy when prices are low to save money. Prices can fluctuate seasonally, so it's good to determine what time of year prices are down and purchase your fuel at these times when possible.
Failing to explore the option to lock in your rate
Many propane suppliers offer customers options to fix in their rates so that they don't have to pay more if prices go up.
You might be able to sign up for a delivery schedule to have propane deliveries made to your facility routinely in the future at a price that's locked in. This can leave your company less susceptible to increased expenses due to fluctuating fuel costs.
Call a propane gas delivery company to learn more.