Fuel Price & Supply Update
March 10, 2022
What’s the deal with the sudden surge in prices?
If you’ve checked fuel prices recently or just had a delivery, you’re likely feeling the pressure of quickly rising costs. We hear you and we understand your frustration. High costs are currently taking their toll on the entire nation in every aspect possible.
We are as frustrated with these price hikes as you are, but these prices are out of our control and do not provide us with additional profit. In fact, the opposite is true—our costs escalate. Our receivables skyrocket; our delivery costs have more than doubled with the increase in fuel. We pay more for our bulk fuel supply and charge the minimum possible to our valued customers—that minimum just happens to be high right now due to the record-breaking costs of wholesale fuel. Costs for all fuel types including natural gas, gasoline, diesel, heating oil, propane, and electricity have spiked amidst the ongoing pandemic, supply and demand imbalances, and the conflict in Ukraine.
The Bottom Line
- We understand your discouragement, and we look forward to when costs drop again, and as in the past, we believe they will. In the meantime, please reach out to us if you need assistance. We can share opportunities to manage your fuel costs, such as helping you to:
- Set up payment terms on your current balance if you are unable to pay in full
- Ask about our prompt-pay discount and other price-per-gallon markdowns
- Join a budget plan to spread your fuel costs more evenly throughout the year
- Enroll in a price protection plan to lock in a low rate if and when it becomes available
- Coordinate your final delivery of the season (you may have enough fuel to hold off for now)
- Consider a programmable thermostat to save on fuel use
- Get an HVAC tune-up to further reduce your fuel use
- Consider investing in a conversion to propane
What You Can Expect Going Forward
Though future prices are impossible to predict, trust that we are committed to keeping your property heated during winter’s final weeks. We have been in business for more than 30 years and have navigated our fair share of supply shortages and fluctuating wholesale prices. Our team is prepared to make you as comfortable as possible during these difficult times.
A Gracious Thank-You
We appreciate your understanding and thank you for remaining a loyal customer of FSi. When fuel prices go back down, you will be the first to know.