several factors that effect propane prices
Have you ever wondered what exactly is up with gas price history? This informative report can give you an insight into everything you've ever wanted to know about gas price history.
There are several factors that effect propane prices. Some factors are common to petroleum products, while others are specifically related to propane. Propane prices are affected by crude and natural gas prices. However, crude oil seems to be a big determiner of propane costs, since propane primarily competes with crude-oil based fuels in the market. As with any other item, propane prices are influenced by the demand-supply balance. The proximity of supply also determines the price of propane, and customers placed farthest from the major supply are likely to pay more.
The markets are also another big determiner of propane prices. Propane serves different markets, from producing petrochemicals to crop drying in farms, each with its own characteristics and needs. Propane prices in these markets are usually influenced by factors such as the prices of competing fuels, the distance propane travels to reach the user, and the volume of use. Residential demand, for example, is dependent on the weather, and so propane prices usually peak during winters. Today the residential and the commercial sector accounts for about 45 percent of all propane used in the US.
Those of you not familiar with the latest on gas price history now have at least a basic understanding. But there's more to come.
The petrochemical industry uses about 38 percent of the propane in the US. Propane is used by the industry to make plastic, cosmetics, alcohol, fibers and other commodities. With a rise in the prices of propane, the petrochemicals industry can easily switch over to other raw materials. Such a wider choice of this industry is a major driver for propane prices. Moreover, even within the petrochemical industry the demand is regional, because of the high concentration of petrochemical plants in the Gulf Coast region.
Gas Prices provides detailed information on Gas Prices, Natural Gas Prices, Propane Gas Prices, History of Gas Prices and more. Gas Prices is affiliated with Gas Prices.
If you've picked some pointers about gas price history that you can put into action, then by all means, do so. You won't really be able to gain any benefits from your new knowledge if you don't use it.
There are several factors that effect propane prices. Some factors are common to petroleum products, while others are specifically related to propane. Propane prices are affected by crude and natural gas prices. However, crude oil seems to be a big determiner of propane costs, since propane primarily competes with crude-oil based fuels in the market. As with any other item, propane prices are influenced by the demand-supply balance. The proximity of supply also determines the price of propane, and customers placed farthest from the major supply are likely to pay more.
The markets are also another big determiner of propane prices. Propane serves different markets, from producing petrochemicals to crop drying in farms, each with its own characteristics and needs. Propane prices in these markets are usually influenced by factors such as the prices of competing fuels, the distance propane travels to reach the user, and the volume of use. Residential demand, for example, is dependent on the weather, and so propane prices usually peak during winters. Today the residential and the commercial sector accounts for about 45 percent of all propane used in the US.
Those of you not familiar with the latest on gas price history now have at least a basic understanding. But there's more to come.
The petrochemical industry uses about 38 percent of the propane in the US. Propane is used by the industry to make plastic, cosmetics, alcohol, fibers and other commodities. With a rise in the prices of propane, the petrochemicals industry can easily switch over to other raw materials. Such a wider choice of this industry is a major driver for propane prices. Moreover, even within the petrochemical industry the demand is regional, because of the high concentration of petrochemical plants in the Gulf Coast region.
Gas Prices provides detailed information on Gas Prices, Natural Gas Prices, Propane Gas Prices, History of Gas Prices and more. Gas Prices is affiliated with Gas Prices.
If you've picked some pointers about gas price history that you can put into action, then by all means, do so. You won't really be able to gain any benefits from your new knowledge if you don't use it.
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