Propane retailer faces many complaints

The first prolonged cold snap of winter has led to a surge in demand for heating fuel, and one Ohio propane company with a history of problems has been slow filling orders.

Thrifty Propane of Medina, which serves customers in Ohio and six other states, says it is meeting contract terms that allow for a wait of up to 15 business days for delivery, excluding holidays, and customers should understand the terms.

That is not an acceptable response for Mary Ryan, 59, who lives near Groveport.

“Thrifty said the earliest they could deliver the propane is this Friday, and it could be as late as next Friday,” she said. “You can’t talk to anybody. You have to do it all online. It’s virtually impossible to get a live person.”

But she was able to get through to the Ohio attorney general’s office, which logged her complaint on Dec. 29. She ended up buying fuel from another dealer rather than wait for Thrifty.

Since the beginning of 2017, the attorney general’s office has received 106 complaints

about propane businesses, with Thrifty accounting for 69 of them. The runner-up was Amerigas, with 11.

Several of the complaints about Thrifty came from out-of-state customers who hoped an Ohio official would have more luck than someone in their home states.

“Every year, this happens,” said Darlene Bohaski of Finleyville, Pa., which is south of Pittsburgh. “It just gets worse each year.”

Her situation also was the subject of a story by a Pittsburgh television station. She ended up buying propane from another dealer before her tank ran dry.

Damon Hyer, a spokesman for Thrifty, said the company can offer low prices in part because of terms that include the potential for long waits. He said the terms are clearly disclosed.

“Naturally, we’re concerned about the customers, and we do provide for emergency fills, but that’s an additional charge,” he said.

Thrifty has about 50,000 customers, he said.

Propane is the main

heating fuel for 5 percent of Ohio households, according to the Census Bureau. It is the third most popular option in the state behind natural gas, which heats 66 percent of homes, and electricity, which heats 23 percent. Most propane customers live in rural areas.

Other Ohio propane retailers say they are mostly keeping up with heightened demand, and cold spells like the current one occur several times in a typical winter.

“Any time that it gets cold like this, you have accelerated demand,” said Bob Herron, propane operations manager for the Energy Cooperative in Newark, which provides propane to about 4,000 households and businesses. “You have to put a plan together, and that plan starts in March and April of the year before.”

For the retailer, that means contracting with multiple wholesale suppliers and trucking companies, which deliver from the suppliers, he said. Having multiple relationships means that if one company runs into problems, another can step in to allow the retailer to serve its customers.

Without proper planning,

propane retailers have to buy fuel on the spot market, which can be costly and may take a while to be delivered.

Propane from Ohio retailers was selling for an average of $2.73 per gallon as of last week, up 4 cents from the prior week and up 23 cents from the prior year, according to the Energy Information Administration. The U.S. average was $2.50.

Complaints about Thrifty are nothing new. The attorney general’s office sued Thrifty in January 2016 following a surge in complaints. The case concluded later that year with Thrifty paying $25,000 plus court costs and agreeing to change some of its practices. It admitted no wrongdoing.

The complaints logged during the past year are cause for concern, said Kate Hanson, spokeswoman for for the attorney general’s office.

“We are reviewing each complaint individually and working to assist consumers.”