Fuel Marketers: Products

> Propane Retail & Wholesale

The industry ranks fourth as supplier of the nation's energy requirements, accommodating about 18 million customers who are serviced by more than 25,000 retail outlets located throughout the country. It is estimated that about half of the nation's farms depend on LP gas as a fuel. In urban areas most customers are commercial or industrial users. LP gas is moved from refineries or intermediate storage locations to retail distribution centers by pipeline and by truck; less than 10% is shipped by railroad tank cars and barges. Retailers then distribute the gas in tank trucks or in pre-filled cylinders to homes, farms, commercial establishments and factories. In addition to distributing LP gas, retailers also may install storage tanks, which usually are provided to the customer as part of the service, and sell or lease and install LP gas appliances and burner assemblies. Insureds range in size from local dealers with two or three employees to establishments with a payroll of more than 2000 and distribution outlets throughout the nation. Small dealers may sell between 250,000 and 500,000 gallons a year, whereas major retailers may pump hundreds of millions of gallons annually.