5 propane industry questions for 2025

Welcome to a new year.

It’s natural to wonder what the next 12 months will hold for each of us, but what about for the propane industry? Here are five questions to ponder as we begin 2025.

1. How will the results of the 2024 election impact propane industry interests?

Having Republican President Donald Trump and a Republican Congress installed in Washington, D.C., would seem like a win-win for the industry on a federal level. Republicans maintained control of the House of Representatives and took control of the Senate for the first time since 2019. But not so fast.

“I want to caution everyone that having Republicans in leadership positions in the White House and both chambers is not a slam dunk to pass legislation,” says Steve Kaminski, president and CEO of the National Propane Gas Association (NPGA). “The Senate still has the filibuster, which means in essence they need 60 votes – not 50 votes – to get anything passed. So this is not a blank check to get everything we want passed before Congress. It’s not quite that easy.”

Kaminski is confident in NPGA’s ability to build good relationships with agency appointees, and the association plans to ramp up its outreach to policymakers about propane. The biggest challenge looks to be at the state level, as Kaminski says some governors, recognizing the new makeup of the federal government, look to “double down” on their anti-gas policies.

2. Will propane industry companies and employees find a place for artificial intelligence (AI) within their own business plans and daily activities?

We were excited to present this month’s cover story on AI, if for no other reason than to simply learn what propane industry members are thinking about the technology. It’s also always interesting to hear how forward-thinking retailer Chris Caywood, co-owner of Caywood Propane Gas in Michigan, and his team are using new tech tools. He’s got AI enhancing customer communications.

3. What role will Nexio play in the industry growing autogas market share and getting propane retailers to view autogas use in their own fleets more favorably?

No doubt 2024 was a big year for the Texas-based company. Last May, we were in Reno, Nevada, when Nexio COO Horace Mast unveiled company plans to develop a propane-powered bobtail, as early as 2026, for the U.S. market. Mast had presented to Western Propane Trade Show & Convention attendees about its 7.2-liter, supercharged V-8 engine that’s been powering applications in Europe since 2020. Nexio, with CEO Gary Winemaster at the helm, remained visible in the industry throughout 2024, and now there’s word it may get added support this year from the Propane Education & Research Council (PERC).

4. Will the propane industry take the next step to commercialize new products that will grow gallons?

Our State of the Industry report in December focused on gallon-growth trends since 2000. The industry faced steep gallon sales declines over the first decade of this millennium. It once sold 12 billion gallons a year (in 2000) and is now at 8.995 billion, according to the latest sales report (2023). PERC President and CEO Tucker Perkins has his sights set on 15 billion gallons a year, but the industry will have to make serious strides in the areas of diesel displacement and power generation in the coming year(s).

5. How will the next generation of leaders put their own stamp on the industry?

The NPGA’s new Young Professionals Council (YPC) launched in 2024 as a development arm for emerging leaders. It held its first official meeting during NPGA’s fall committee and board meetings in October. It’s refreshing to see more young leaders, not only from the YPC but also throughout the industry, step into the spotlight. I’m confident they will have the answers to many of our questions in the months and years ahead.