Grid reliability creates a new opportunity for propane
Years ago, a power outage was just an inconvenience. Something to spice up your evening.
You’d light a few candles, dig through every junk drawer in the house looking for a flashlight and batteries, then stumble through the garage to drag out the old gasoline generator. Hopefully it had fuel. And if you were lucky, the old Briggs & Stratton would fire up after a few pulls.
Success! You saved the milk from going warm and had a few lights on in the house.
About the time you finally got it running, the utility restored power.
Those days are fading.
Power outages are becoming longer and more frequent. In 2024, Americans experienced nearly 11 hours of outages on average, almost double the historical 10-year average of about six hours annually. Aging infrastructure, overloaded transformers, severe weather and growing demand are placing unprecedented stress on the electric grid.
Even more concerning are projections for the future. A U.S. Department of Energy report warns that reliability challenges could increase dramatically over the coming decade if generation and transmission fail to keep pace with demand. The report suggests annual outages could reach as much as 800 hours per year by 2030.
▶ Opportunity for propane
The U.S. electric grid consumes roughly 32 quadrillion Btu of electricity each year. That’s nearly 3.65 trillion Btu every hour. If the 11 hours of outages experienced in 2024 had been supplied entirely by propane-powered backup generation, it would have required nearly half a billion gallons of propane, about 40 million gallons for every hour the grid was down.
Now imagine a future where outages increase from 11 hours to 800.
Backup power is no longer just emergency equipment tucked away behind the garage. It’s becoming an essential part of a home’s energy ecosystem. Businesses are investing in standby power. Facilities are shaving peak demand. Critical infrastructure is demanding resilient energy solutions.
Meanwhile, electricity demand continues to climb. Electric vehicles. Heat pumps. Artificial intelligence. Data centers. Advanced manufacturing. Every one of these trends adds new pressure to an electric grid that already struggles during periods of peak demand. This is where propane shines.
Solar panels and battery storage have a place in the energy mix – but with limitations. Multi-day outages, heavy electrical loads and seasonal weather expose the need for dispatchable, on-demand energy. Propane generators provide reliable power regardless of sunshine, cloud cover or battery charge.
But propane retailers should think beyond the backup generator. A propane water heater, clothes dryer or furnace reduces a home’s electrical base load, allowing a smaller generator to power more of the home during an outage. Instead of propane being viewed as simply a backup fuel, it becomes part of an integrated energy strategy.
▶ No need to do it alone
State associations, the National Propane Gas Association (NPGA) and the Propane Education & Research Council (PERC) have tools to help retailers capture this opportunity.
NPGA continues to provide advocacy resources, customizable messaging, talking points and energy choice materials through the member dashboard. PERC has expanded its messaging beyond clean energy to emphasize propane’s reliability and affordability through its “Power Play” initiative. State associations and state PERC organizations are adapting these national resources to meet local market needs.
Here in the Mountain West, we’ve launched a six-state mobile power demonstration project featuring Evergreen Mobile Power’s JuiceBox generator. The unit uses interchangeable distribution panels that can adapt to emergency response, jobsite power, special events or electric vehicle charging.
The grid will continue to evolve. Data centers aren’t going away. Electricity demand isn’t slowing down. And many states continue retiring power generation faster than replacement capacity can be built.
Our industry has spent decades delivering clean, affordable and reliable energy. Now we have an opportunity to deliver something even more valuable: electricity when the grid can’t.
This opportunity is real. Let’s make sure that propane is part of the energy solution.
Tom Clark is the executive director of the Rocky Mountain Propane Association, Colorado Propane Gas Association and New Mexico Propane Gas Association. Contact him at tom@rmpropane.org or 801-725-1925.
Featured homepage image: imaginima/iStock / Getty Images Plus/Getty Images
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