What Causes Price Spikes?

Mar 05, 2021


Propane Tank at Sunset

We've got your back.

In good old Midwestern fashion, February threw us a winter curve ball. Our nice and mild temperatures dropped drastically and had our furnaces running around the clock to catch up. Typically, winter brings a strain on propane supply as usage increases (that’s why we have you fill out your yearly contracts in the summer). What’s not so typical is for the entire United States to go through cold spells across the board. 

Propane is created as a byproduct of refining processes. With Texas’ electric failure, nearly 2/3 of refining capabilities were cut off in the state at the same time as demand was high around the nation. As any economics teacher worth their salt would tell you, when you have less supply and more demand, price goes up. In this case we saw an impressive 50 cent swing almost overnight.  

Your cooperative has so many options to keep you and and your family protected against these events. Keep up to date on our Facebook and Website pages to learn more this spring!


Feel free to reach out to Addison with any questions! (608) 479-1357?
 

Addison Arndt

Energy Specialist
 

Latest Posts

Oct 01, 2025
Fall is here and harvest is underway for most of our area. Our grain facilities located in Mazomanie, Mineral Point, Richland Center, and Westby are anxiously awaiting this year’s crop. A few weeks ago, the Premier grain team spent the day reviewing safety and operational procedures to better prepare to serve our members’ needs during the upcoming season. Whether you need help hauling this year’s crop to the elevator or are still looking to finalize your grain marketing plan, give us a call. Our knowledgeable staff is looking forward to working with you to make this year’s harvest as safe and smooth as possible. Our team will do their best to meet your needs and they always appreciate the communication of trucking needs and your planned delivery dates. Thanks for your support and please be safe this harvest season.
Oct 01, 2025
As corn silage season concludes, it’s important to take a moment to recognize the dedication and long hours that went into securing the feed you’ll rely on throughout the coming year. We all aim to put up the highest quality feed possible, but in the rush of long hours during a short harvest window, it’s easy to lose sight of our true goal. Ultimately, we’re working to produce feed that is consistent, clean, and rich in nutrients. Once that hard work is done, the next critical phase is feedout. Here are a few key things to keep in mind as you move forward.
Oct 01, 2025
We had a good ending to our energy division fiscal year, so I’m glad I’m still here this month to write this newsletter article.

Since 2020, we have increased our delivery efficiency (gallons per mile) by 17.4%. We’ve also dropped the number of miles driven by 21% comparing 2025 to 2020. That equates to 66,776 less miles this year than in 2020. In other words, we saved about 2.7 circumnavigations of the globe, conserving over 13,000 gallons of diesel fuel we would have used to power our propane delivery trucks. Less diesel consumption means less pollution. Heck, we’re saving the planet without even trying.