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Feature Articles

In-depth feature stories examining the trends, challenges and innovations shaping the propane and LPG industry.

  • Oil Majors Join Lobbying Push for U.S. Carbon Tax

    (June 24, 2019) — Bloomberg reports that oil companies, automakers, and consumer products manufacturers are poised to launch a campaign for a U.S. tax on carbon dioxide emissions, even though it may lead to higher prices for their products. BP and Royal Dutch Shell are reported to be contributing $1 million each to the Americans for Carbon Dividends advocacy campaign, underwriting efforts to persuade Congress to enact a carbon tax-and-dividend plan. Ford Motor Co. is said to be signing on as a founding member of the group and its underlying initiative, the Climate Leadership Council. At the same time, dozens of corporations, including Capital One Financial Corp., software company Salesforce.com Inc., and health care giant Kaiser Permanente will also be lobbying Congress for a carbon…
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  • Crystal Flash Inks 12th Acquisition With Kohley’s Propane In Michigan

    (June 20, 2019) – In an effort to expand its footprint and capabilities along Michigan’s western lakeshore, Crystal Flash (Grand Rapids, Mich.) has acquired Muskegon, Mich.-based Kohley’s Superior Propane. The transaction was finalized on June 7, 2019. Terms regarding the deal were not disclosed. The acquisition provides employee-owned Crystal Flash with more than 1700 additional home heating customers. Two Kohley’s Propane team members will join Crystal Flash. “Finding companies with a mission and values similar to ours is key when we look at an acquisition,” said Tom Olive, Crystal Flash president. “Kohley’s fit this bill perfectly. Our shared heritage as proud, independent propane retailers with a commitment to strong customer relations drove our decision. We look forward to having Kohley’s team join our employee-owned company…
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  • Deadline Nears For Millions In Federal Grant Funding For Clean Propane Buses

    The U.S. Department of Transportation's Federal Transit Administration (FTA) has announced the opportunity to apply for approximately $423.3 million in Fiscal Year 2019 competitive grant funding for transit bus projects. The Grants for Buses and Bus Facilities Program is authorized to improve the condition of bus infrastructure by funding the replacement and rehabilitation of buses and related facilities. Projects eligible for this funding opportunity include those that would replace, rehabilitate, lease or purchase buses and related equipment. Other eligible projects involve purchasing, rehabilitating, constructing or leasing bus-related facilities, such as buildings for bus storage and maintenance. FTA will award the grants to eligible recipients, including fixed route bus operators, states and local governmental entities that operate fixed route bus service, and Indian tribes. Projects will…
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  • BPN Seminar Shares Retail Propane Success Stories

    Retail propane success stories were shared in a seminar presented by BPN at the 2019 NPGA Southeastern Convention in Atlanta. In three 20-minute segments, representatives of a trio of retail propane companies of different sizes and from different geographies shared unique ways their companies have found success. Their stories took into account market conditions as well as new opportunities presented by improved technology. TECHNOLOGY TO GROW THROUGH MARKETING AND COMMUNICATION “Gadgets are the great equalizer,” said Chris Caywood, president of Caywood Propane Gas, Inc. (Albion, Coldwater, and Hudson, Mich.). “Technology and information make smaller retailers more competitive with larger retailers.” He noted that smartphones were only used by about 15% of his market 10 years ago, but now almost 99% of his market has them….
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  • Good Relationships And Info Key To Successful Lobbying

    When a bill that may affect propane marketers was introduced in the California legislature recently, a member of a legislator’s staff reached out to the Western Propane Gas Association (WPGA). That contact was a direct result of a volunteer meeting held during the state’s Propane Day, says Joy Alafia, president and CEO of WPGA. On that day in March, she and a number of propane marketers had visited with Sacramento legislators. “Some members may feel that industry advocacy days are a perfunctory task, but representatives are listening, taking notes, and in some instances, taking action as a result of our engagement,” Alafia recently told BPN. “Some of our members have had long-standing relationships with their legislators, and we can count on these officials to understand…
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  • Three Generations, One Focus: “Customers First”

    Wholesale distributor R.E. Michel Co. has been expanding in many ways. Founded in 1935 to serve the heating oil industry, it expanded into propane appliances and equipment in 2005 and is continuing to grow that part of the business. Based in Glen Burnie, Md., the company has been adding locations across the country and opened distribution centers in California and Arizona within the past year. And, a family-owned and-operated company, it passed leadership to a third-generation president nine months ago. Through these expansions and other moves, the company has maintained a focus on customer service. Company executives say that is what has allowed it to keep growing for 84 years and to successfully transition to a third generation of leadership. “As times change, the demands…
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  • Survey Reveals What Propane Marketers Want

    Propane marketers expect a much quicker turnaround on orders of propane equipment than they did only four years ago. In response, wholesale propane equipment distributor Bergquist Inc . has launched a subscription-based two-day shipping program. Called Bergquist Select Ship , the new program was launched April 15, 2019. It is available for all customer deliveries in the 48 contiguous United States. Those who enroll in this yearly subscription plan will be guaranteed two-business-day delivery on more than 60 Guaranteed Stock Equipment items. Customers can enroll in the Select Ship plan for $499 per year per “ship to” location. “The 60+ guaranteed inventory items are our most popular ‘tank set’ items,” explained Don Montroy, director of marketing at Bergquist Inc. “One of our of main segments…
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  • Canadian Federal Parties To Hear From Propane Industry

    The Canadian Propane Association (CPA) gathered at its annual general meeting May 28, 2019 to set priorities and the agenda for the upcoming fall election to ensure the industry’s collective voice is heard. Noted was that propane is a low-emission, accessible, and affordable fuel that can support government policies to reduce greenhouse gas (GHG) emissions, reduce costs, contribute to job creation, and help grow the economy. But these important contributions are being ignored by the government even as it says it wants to reduce GHG emissions while creating economic growth, the association observes. “The CPA supports a cleaner environment and reduced emissions, but the current government’s policies, including the new carbon levy under the Greenhouse Gas Pollution Pricing Act, do not consider propane for its…
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  • Millions In VW Funding Available in Texas for Clean Propane Buses

    (June 6, 2019) — From the $209 million allocated to Texas for TxVEMP, TCEQ has allocated $58M for its first grant round for buses. Entities operating buses 51% in a qualifying area replacing a model year 2009 diesel bus with new model year cleaner school bus may qualify for a Texas VW grant. The Propane Council of Texas, a non-profit 501 (c) 3 educational foundation, is dedicated to informing school districts, transits, and shuttle operators on cleaner-burning propane school buses, shuttles and transit buses. Propane autogas buses emit up to 90 percent fewer nitrogen oxides (NOX) than a clean diesel bus. NOx are a significant contributor to smog and pollution and those switching to more environmentally-friendly propane buses can not only contribute to greener schools…
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  • Survey Shows Satisfaction With Commercial Propane Mowers

    More than 85% of landscape contractors using commercial propane lawn mowers in their fleets are likely to continue adding propane equipment to their businesses, according to the results of a recent survey conducted by the Propane Education & Research Council (PERC). Of those polled, nearly all contractors started the transition to propane by installing a conversion kit on existing equipment, PERC reports, a quick and inexpensive path to reduce fuel costs and downtime on nearly any brand of commercial mower. “This latest data is proof positive that contractors who make the initial transition to a propane mower are satisfied with their purchase, and frequently end up purchasing or converting more equipment to propane,” said Jeremy Wishart, PERC director of off-road business development. “The fact that…
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  • Propane-Fueled Forklifts: Time To Talk Benefits With Customers

    By William W. Clark … To mark the 80th anniversary of BPN, we are reprinting here a comprehensive history of the magazine that first appeared in 1999. Written by then-publisher Bill Clark, this tells the story of BPN’s first 60 years. At the time he wrote this in January 1999, Clark had been with BPN since the end of World War II and had owned the magazine since 1969. Nineteen-ninety-nine marks Butane-Propane News’ 60th year. Or is it really its 68th? Or, if you are one to literally believe the volume number published on this page, only its 31st? All three ages have validity. BPN was actually born in 1931—68 years ago—as a section in a magazine, long defunct, called Western Gas. In fact, for…
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  • Will Home Automation Kill Residential Propane?

    Home automation is significantly changing homeowners’ expectations and home builders are responding accordingly by offering homes that are smart and increasingly all-electric. Bob Torbin, director of codes and standards with OmegaFlex (Exton, Pa.), believes this is why NOW is a call-to-action time for the propane industry. “The gas industry could become a minor energy player, if not obsolete. I’m not saying home automation is going to kill LPG, but it’s going to be one of the contributing factors to a decline in sales,” Torbin said. One solution, according to Torbin, is for the propane industry to offer home-automation-ready piping infrastructure and provide the features now. “The home automation world is blossoming around us, but no one thinks of propane and home automation. Manufacturers [of LPG…
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