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Propane provides fuel savings option for producers

The Propane Education and Research Council says some farmers are looking for alternative fuel sources to reduce energy input costs.  

Mike Newland says propane has remained relatively stable over the last two years. “Somebody said I would bring you all you want for a $1.49. Some other retailers were filling guys under contract for $1.15 to $1.20. Pump price for farm diesel is $6.”

He tells Brownfield the cost savings could help pay for diesel engines that need to be upgraded. “You’re going to maybe burn 10 to 15 percent more in gallons. With the delta that we have in price, it doesn’t really matter. You can buy extra gallons and save a whole lot of money in a short amount of time.”

And, he says, “We can generate similar horsepower and torque if it’s set up right. That’s the thing people need to be aware of. Are you going to burn a little more fuel? Absolutely. Diesel is very dense. It’s the best fuel for power density. Propane is in the next tier.”

Newland says some farmers are also switching from electrical irrigation wells. “Sometimes it’s a cost play. Other times it’s a play when they want to water and irrigate when they want to do it. Not when the eclectic utility demands or punishes them price wise with demand charges if they want to run for 24-straight hours.”

He says the industry has come a long way to help improve technology to allow farmers and ranchers to maintain efficiency.

Mike Newland: