What is Propane? Propane is a hydrocarbon (C3H8) and is sometimes referred to as liquefied petroleum gas, LP-gas or LPG.Propane is produced from both natural gas processing and crude oil refining. It is nontoxic, colorless and virtually odorless. As with natural gas, an identifying odor is added so the gas can be readily detected. According to the U.S. Department of Energy, it could cost consumers twice as much to operate their range, water heater, dryer or furnace with electricity than with propane gas. Overall propane costs for fleet vehicles typically range from 5 percent to 30 percent less than conventional gasoline. Propane is an approved, alternative clean fuel listed in the 1990 Clean Air Act as well as the National Energy Policy Act of 1992. Propane is one of the lightest, simplest hydrocarbons in existence, and, as a result, is one of the cleanest burning of all alternative fuels. New propane-fueled vehicles can meet the very tough Ultra-Low Emission Vehicle (ULEV) standards. Propane gas is nontoxic, so it's not harmful to soil and water. Because propane does not endanger the environment, the placement of propane tanks either above or below ground is not regulated by the Environmental Protection Agency (EPA). Propane Is a Versatile Fuel More than 14 million families use propane to fuel their furnaces, water heaters, air conditioners, outdoor grills, fire places, dryers and range tops. Because propane produces minimal emissions, it is safe to use indoors. As a result, nearly 500,000 forklift trucks are powered by propane. Millions more choose this clean-burning alternative for bus, taxi, delivery and other fleets to minimize air pollution in metropolitan areas. Propane is used on 660,000 farms for irrigation pumps, grain dryers, standby generators and other farm equipment. It is an essential fuel for crop drying, flame cultivation, fruit ripening, space and water heating and food refrigeration. Because it is 270 times more compact as a liquid than as a gas, propane is easy to store and transport. Moreover, it can be used in areas beyond the natural gas mains. Copyright 2003, The National Propane Gas Association. Propane History The Discovery The Growth of an Industry 1912 Dr. Snelling and some colleagues established the American Gasol Co., the first commercial marketer of propane. 1913 Dr. Snelling sold his propane patent for $50,000 to Frank Phillips, the founder of Phillips Petroleum Company. 1918 Propane was primarily used for cutting metals. J. B. Anderson of Sharpsburg, Pennsylvania developed the first propane-fueled pumpless blowtorch. 1922 The Bureau of Mines began to keep track of propane sales throughout the United States; national sales totaled 223,000 gallons. 1925 Propane sales reached 404,000 gallons-nearly doubling sales in just three years. 1927 Phillips Petroleum Co. began the research and development of domestic appliances and gas equipment. The Tappan Stove Company began producing gas ranges. 1928 The first bobtail truck was built, and Servel produced the first propane refrigerator. 1929 Aggressive sales promotions and marketing pushed national sales to 10 million gallons. The propane industry asset value was approximately $22 million. 1931 H. Emerson Thomas, George Oberfell, and Mark Anton founded the first propane industry trade group called the National Bottled Gas Association in Atlantic City, New Jersey. 1932 At the 1932 Olympics in Los Angeles, all the cooking and water heating at the Olympic Village was done with propane. 1933 A propane odorant was developed to promote easy leak detection. 1934 National sales reached 56 million gallons, due in great part to rapid industrial growth. 1936 Twenty pound cylinders were first introduced to enhance portability. 1945 The end of World War II brought great industrial development. The propane industry enjoyed its so-called Golden Years, and sales reached 1 billion gallons. 1947 Sixty-two percent of all U.S. homes were equipped with either natural gas or propane ranges. Water heater sales rose 261 percent, and the first propane-fueled clothes dryer entered the marketplace. The first oceangoing tanker built for propane, the SS Natalie Warren owned by Warren Petroleum Corp., was also launched; total capacity was 1.4 million gallons. 1950 The Chicago Transit Authority ordered 1,000 propane-fueled buses, and Milwaukee converted 270 taxies to run on propane. In addition, an estimated 7.5 million propane installations occurred on farms and in suburbs. 1955 Propane containers, equipment and appliances were exposed to an atomic explosion at a federal test site in Nevada. After the explosion, all were in perfect working order, and the ranges were used to cook meals for the test personnel. 1958 National propane sales reached 7 billion gallons. 1961 Propane installations in the United States totaled 13 million. 1962 The propane industry celebrated its 50th anniversary at its national convention in May at the Conrad Hilton in Chicago. 1963 The first 50,000-gallon tank car was built, and hot-air balloons began using propane. 1965 GATX built the world's largest propane tank car, with a 60,000-gallon capacity. Chevrolet introduced four new truck engines designed for propane. 1973 Propane price controls were instituted in the wake of the Arab oil embargo. The propane industry trade association, now called the National Propane Association, opened its first Washington D.C. office. 1977 The U.S. Department of Energy was established, and the Federal Energy Administration (FEA) began investigating propane pricing practices, which were then controlled by the U.S. government. 1981 President Reagan eliminated price controls on propane, gasoline and crude oil. 1987 The National Liquefied Petroleum Gas Association (NLPGA) changed its name to the National Propane Gas Association (NPGA), the national trade association representing the propane industry. 1990 Propane was listed as an approved, alternative clean fuel in the 1990 Clean Air Act and two years later was listed again in the National Energy Policy Act of 1992. 1996 The Propane Education & Research Council was authorized by the U.S. Congress with the passage of Public Law 104-284, the Propane Education and Research Act (PERA), signed into law on October 11, 1996. The mission of the Propane Education & Research Council is to promote the safe, efficient use of odorized propane gas as a preferred energy source. 2000 - Today, propane gas is an $8 billion industry in the United States and is still growing. The United States consumes more than 15 billion gallons of propane annually for home, agricultural, industrial and commercial uses. Source: Paul K. Haines, President, Trexler Haines Gas, Inc.; President, Pennsylvania Propane Gas Association, 1961; State Director, Pennsylvania Propane Gas Association, 1972-1976; District 9 Director, National Propane Gas Association, 1976-1996 The archives of the National Propane Gas Association |

