Bulk LPG - Cheapest suppliers / supply route?

321tom123 · 4 November 2014 at 8:14PM

Hi all,

First time poster here...

We will hopefully be moving into a house which currently has a burried LPG tank in the garden. I've read through some of the posts in this thread but have become very confused with all the different type of deals and rates!

The current owner is in contract with Flo Gas. She said they were the cheapest at the time. She pays rent for the tank to the supplier.

Will I have to remain in this contract or will I be free to shop around?

If I will be free to go where I want, where should I start looking?

If I change supplier will I have to get the tank removed and a new one put in?

The house is in Kent.

Many thanks in anticipation.

Tom

thozza · 5 November 2014 at 1:44PM

321tom123 wrote: »

The current owner is in contract with Flo Gas. She said they were the cheapest at the time. She pays rent for the tank to the supplier.

Will I have to remain in this contract or will I be free to shop around?

If I will be free to go where I want, where should I start looking?

If I change supplier will I have to get the tank removed and a new one put in?

Welcome to the forum.

As you are moving into the house, you will need a new contract so you are free to shop around and you can choose your supplier.

If you search this thread you will find lists of independent and nationals such as Flogas. There is a search facility on the UKPLG website, but it will only bring up members:

http://www.uklpg.org/advice-and-information/switching-your-lpg-supply/

Contracts are normally for 2 years, and you pay tank rental to the supplier. Normally if you switch, the new supplier will take over your existing tank (they purchase it from the incumbent, but that happens behind the scenes).

Start by phoning suppliers, you will probably need to give them an indication of usage (above 2-2500 litres per year will normally get you better prices). All suppliers are obliged under the regulations to quote you over the phone. Try a few and be prepared to haggle, use the graph posted further up this page to give an indication of the price you should be getting.

Don't forget to post back the prices you are quoted.

Best of luck.

DAVID.T2 · 11 November 2014 at 3:15PM

rathjam wrote: »

Hi everyone, just an update on my previous post dated 15/09.

You can see my initial offers on the older post but this is the update on the final best price I have been offered following some negotiation. So this is the price for a completely new install of tank and LPG supply for two years;

Installation - Free (excluding groundwork which I am doing myself)
Tank rental - £100 for the year
1st year fixed rate - 35p
2nd year fixed rate - 38p

I got prices from three companies; Calor, Avanti and Flogas. The best deal in the end (the one above) came from Avanti.

Hope this helps as a target for people new to LPG.... maybe you can do even better but I was pretty happy with this price seeing as they started around the 47p mark with no fixed price in the second year.

Just a note of caution. I have not yet seen any contract from the Big suppliers that does not include Terms & Conditions which state the "fixed price" is not quite as fixed as the customer thinks.

Read every bit of small print and translate fixed price to mean;
We will not adjust your price unless we say we will, without any proof to our customer of changes in cost of either LPG or our transport costs.

These fixed price deals have been around for a while now, it would be interesting to know if anyone has got to the end of a contract without an increase.

Mike_in-letcombe · 18 November 2014 at 5:05PM

Well I got a letter from the Marketing Dept. at Flogas, telling me that my 'fixed price' agreement was coming to an end, however they were pleased to tell me that my 'new fixed price' agreement would run until April and be 50.5p per litre - up from 47p (itself up from 44p when they first offered me a 'fixed price' agreement - no, I don't know why they changed it either.) So I called them and said, simply, that this wasn't good enough, prices are coming down at this time (2 of the biggest worldwide producers have just announced price reductions) and I could easily swop to someone else for less. So they have now offered me 42p per litre (fixed for 9 months) and then, in year 2, if there is an increase, it will be 'limited' to another 5p per litre - so a maximum of 47p per litre in the second year, which is what I was on now. Not brilliant, I was keen on swopping to Calor Gas with their offer of a £250 top up, etc., but reading this forum, it appears that they rapidly begin putting your prices up once you've signed the dotted line. So stick with the devil I know, seems to be my best bet. :T

alfa*alien · 20 November 2014 at 3:09PM

I'm with FLOGAS. My contract has just ended. I received a letter this morning saying that unfortunately due to price rises they can fix me in for 52.9p per ltr.

I gave them a call... informed them that Calor offered 40p Per ltr and £250 of free gas. (Never actually checked Calor)

I was put on hold so the person could speak to her supervisor and came back a few minutes later offering 35.9p per ltr for 2 years with £250 of free gas. BONUS:T paperwork is now in the post.

Mellypoos · 5 December 2014 at 11:22AM

Hi

I'd previously been on asking about switching to Avanti from Calor as Avanti quotes me 37p fixed/yr 1 and 42p fixed/yr 2.

Calor have called saying they get 5 days to win me back as part of the switch process - is this right? (sorry new to this and concerned that I signed things already with Avanti)

Calor's reoffered at 39p fixed/yr 1 and 41p fixed yr 2 but with £175 credit.

Can anyone advise which is the better offer?

Thanks
mel

AdrianC · 5 December 2014 at 11:25AM

Mellypoos wrote: »

Avanti quotes me 37p fixed/yr 1 and 42p fixed/yr 2.
Calor's reoffered at 39p fixed/yr 1 and 41p fixed yr 2 but with £175 credit.

Can anyone advise which is the better offer?

Depends on how much you use...

Assuming the tankrent price is the same, and ignoring the credit, Calor are 2p more for year 1, 1p less for year 2. Assuming you use the same amount each year, that's 1p/litre more expensive.

Will you use more than 17,500 litres over the two years...? Because, if not, the credit outweighs the extra penny per litre.

Mellypoos · 5 December 2014 at 11:47AM

Thanks for this. I dont think we'd use more than that, its only a wee house and 2 of us.

Is it right that as part ofthe process they can counter offer? Having not done this before, and the phone was unsolicited, I want to be sure everythings right.

mel

J_B · 8 December 2014 at 6:44PM

Just had this from Avanti .........

I can confirm your most recent Agreement with AvantiGas will come to an end 26th March 2015. Please find below our offer to you should you wish to sign a new two year Agreement with AvantiGas.
The Exclusivity Period is a two year term, your price will be 37.5 pence per litre + 5% VAT fixed for the first 12 months, then 41 pence per litre + 5% VAT fixed for the second year. Also, as a thank you for remaining a loyal AvantiGas customer we will add a £50.00 gas credit to your account upon receipt of the new signed Agreement.

vernall · 8 December 2014 at 8:13PM

My 2 yr contract with Calor ends at the end on January 2015,this is my first contract for LPG so don't know how it works at the end of the contract.......Do Calor write to me(soon I imagine) saying what they are going to offer for the next 2 years?or is it up to me to call and ask them? I can probably call other suppliers to see what they are offering now,but when can I actually say to one of them(if I am happy with what they offer) that I will switch to them?Do I have to wait until the old Calor contract is actually ended to start things off with a new supplier?

Bulk LPG - Cheapest suppliers / supply route?

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