Propane Fuels America: Arizona

May 31, 2021 By    

LP Gas’ yearlong Propane Fuels America series takes a deep dive into how each state benefits from the propane industry. Here’s our report on Arizona.

Total odorized propane demand (2019): 118 million gallons

U.S. rank for gallons sold: 31

Gallon sales trend: Arizona has been climbing for the past couple of years, selling 93 million gallons in 2017 and 102 million in 2018.

Census region/division gallons: West: 1.71 billion; Mountain: 803 million

Propane autogas school buses/districts and contractors: 514/21

Market pointers

⦁ The number of total households using propane for their primary space heating fuel in 2019 (75,036) increased by over 8 percent from 2018 and by over 15 percent from the 65,065 households using propane for their primary space heating needs in 2014.

Autogas filling photo courtesy of U-Haul International

U-Haul International, based in Phoenix, began selling propane in 1984 and now offers autogas for fleet vehicles. Photo courtesy of U-Haul International

⦁ The commercial market made up 32 percent of retail gallon sales in 2019, behind the nearly 45 percent of residential market sales. Commercial and transportation, the largest energy consumers in the state, provide opportunities for growth.

⦁ U-Haul International, based in Phoenix, began selling propane in 1984. Today, it supplies propane to thousands of customers daily across the U.S. and Canada, including propane for backyard grills and autogas for fleet vehicles.

⦁ Arizona was among the first states to pass “ban the gas ban” legislation, preventing local municipalities from banning natural gas use in new buildings. The National Propane Gas Association has hailed the 2020 legislation. “We want our citizens to have a choice on what kind of energy they want to use,” says Barry Aarons, who represents the Arizona Propane Gas Association. “We think that’s an important public policy for the state to take.”

⦁ In 2020, Arizona ranked fourth in the nation in solar-powered electricity generation at utility-scale and small-scale installations.

Fast facts

State association affiliation: Arizona Propane Gas Association (APGA)/

Programs: The Arizona Propane Education & Research Foundation establishes and facilitates programs to enhance safety, training, research and development, and safety education. Its propane appliance rebate program provided about $30,000 in rebates to consumers last year. “It’s extremely well received in rural Arizona,” says the APGA’s Barry Aarons. The state association is in the fourth year of a wood-burning fire pit replacement program with Maricopa County. The program encourages up to 1,000 homeowners, through $75 vouchers, to help clean the air by replacing their wood-burning fire pits with propane-fueled options.

Marquee events in 2021: Arizona is among a group of states co-sponsoring the Western Propane Trade Show & Convention, scheduled this year for Aug. 11-13 in Reno, Nevada.

Before COVID-19: The propane industry in Arizona had contributed about $297 million to the 2018 state economy. It’s too early to assess COVID-19’s impact on the state’s gross domestic product.

“We try to build coalitions with other like-minded organizations to promote good public policy that benefits all of us.” – Barry Aarons, Arizona Propane Gas Association

What’s the weather?

Average temperature (2019): 62.6 degrees F

Annual heating degree-days five-year average (2015-19): 1,999
U.S. average: 4,090

Sources: Propane Education & Research Council’s U.S. National and State Propane Market Profiles; Annual Retail Propane Sales Report;; Arizona Propane Gas Association; U.S. Energy Information Administration’s State Energy Profiles

About the Author:

Brian Richesson is the editor in chief of LP Gas Magazine. Contact him at or 216-706-3748.

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