Market Forces Drive Propane Prices to Increase
JEFFERSON CITY (AP)- Missouri Attorney General Chris Koster says market forces rather than manipulation drove this winter's spike in propane prices.
Koster reported the results of an investigation requested by lawmakers on Tuesday. Consumers reported prices rising from less than $2 a gallon in December to more than $5 in January.
The report blames low supplies on a combination of factors, including a rise in propane exports and high demand for propane to heat homes during an unusually cold and early winter. It also cites heavy use of propane to dry a record corn crop that was harvested later than normal.
Koster's office says it reviewed about 250 customer complaints about propane prices and interviewed 80 consumers. The office has been involved in mediating 75 cases and has recovered more than $3,000 for consumers.