Propane pricing on the increase this winter.

Dec. 12, 2014

We all have seen this before. As winter months come around propane prices increase due to demand and supply. This increase has alwas been few cents here and there. But this winter (2014) (in Ontario) story seems to be quite different from all previous years.

According to Natural Resources Canada, Toronto experienced no price increase during winter of 2012-2013, 2-3 cents price increase for the winter of 2011-2012 and 3-4 cents price increase during witner of 2010-2011.

So, what is so different about this year? (winter of 2013-2014) Currently pricing of propane is at 90.9 in Toronto while in the summer of 2013 pricing were hovering around 57 cents per litre. That's approximately 32 cents increase.

According to Canadian Propane Association spokeswoman Andrea Labelle problem is entirely related to the weather. It has been colder-than-normal winter so far this year. Propane retailers in some areas of Ontario and Quebec are experiencing delays in having their supply replenished.

Canada has exported approximately 12 million barrels last month to the United States (for the use of farmers or for export to other regions of the world)

In Canada, propane is widely used as a heat source for home heating and used as alternative fuel source in automotive industry.

Have you been affected by this price increase? Share your comments below.


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