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Propane Fuels America: Mississippi

July 8, 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 Mississippi.

Total odorized propane demand (2019): 115 million gallons

U.S. rank for gallons sold: 32

Gallon sales trend: On the way up in Mississippi, which sold 96 million gallons of propane in 2017 and 110 million gallons in 2018.

Census region/division gallons: South: 2.61 billion; East South Central: 494 million

Propane autogas school buses/districts and contractors: Out of an estimated 5,509 school buses in Mississippi in 2020, 309 or 5.6 percent were fueled by propane. Some of the hesitation about this market comes from school districts that wonder whether they can refuel when transporting students for special events, says Philip Chamblee, executive director of the Mississippi Propane Gas Association. Rising fuel prices present an opportunity for propane autogas interests, he adds.


Market pointers

⦁ About 54 percent of the state’s gallon sales come from the residential market. Also, 11 in 100 households use propane as their primary home heating fuel, more than double the national rate.

Bobtail photo courtesy of Blossman Gas

Blossman Gas is the seventh-largest retailer in the U.S., per LP Gas’ Top Retailer rankings. (Photo courtesy of Blossman Gas)

⦁ Two propane retailers rank among the largest in the U.S., according to LP Gas’ 2021 Top Retailers list. Blossman Gas, based in Ocean Springs, is No. 7 with 106 million gallons in annual sales, while Herring Gas in Meadville is No. 29 with 13 million gallons.

⦁ The Dixie Pipeline travels through Mississippi. The 1,300-mile pipeline, owned by Enterprise Products Partners, transports propane from fractionators and refineries in Texas, Louisiana and Mississippi to customers throughout the southeastern U.S. Hattiesburg, Mississippi, houses underground storage and terminal facilities.

⦁ With significant support from the Mississippi Propane Gas Association, Gov. Tate Reeves on March 17 signed the All Fuels Act of 2021 into law, prohibiting cities and counties from banning propane and natural gas from residential and commercial use. Meanwhile, subsidized natural gas expansion is an ongoing threat.

⦁ With Alabama legalizing medical marijuana, Philip Chamblee of the Mississippi Propane Gas Association wonders when Mississippi will follow suit, possibly providing retailers with more opportunities in the agriculture market. The Supreme Court in Mississippi rejected such an initiative this year.


Fast facts

State association affiliation: Mississippi Propane Gas Association (MPGA)/mspropane.com

Programs: Rebate program on appliances, heating systems and home generators, the latter of which are popular in Mississippi due to the threat of hurricanes, says Philip Chamblee, executive director. He says membership is composed mainly of family businesses of varying sizes. “We’re in good shape,” he adds. “We have not seen the consolidation that other states are experiencing.”

Marquee events in 2021: The MPGA convention was scheduled for June 3-6 in Destin, Florida.

Before COVID-19: The propane industry in Mississippi had contributed about $674 million to the 2018 state economy. It’s too early to assess COVID-19’s impact on the state’s gross domestic product.

“In life and in business, you’re going to have opposing viewpoints. If you sit down and see where everybody stands, you can come to an agreement, or you can agree to disagree on something and work together, if at all possible.” – Philip Chamblee, executive director, Mississippi Propane Gas Association


What’s the weather?

Average temperature (2020): 65.5 degrees F

Annual heating degree-days five-year average (2015-19): 2,130
U.S. average: 4,090


Sources: Propane Education & Research Council’s U.S. National and State Propane Market Profiles; Annual Retail Propane Sales Report; propane.com; Mississippi 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 brichesson@northcoastmedia.net or 216-706-3748.

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