Oregon Propane Price 2026: Cost Per Gallon, Suppliers & Delivery

Oregon residential propane runs $2.98/gal in 2026, +11% versus the national average and sitting above the West regional norm. This is the no-spin breakdown: PADD 5 supply context, the wet-Valley / cold-east climate split, fill-by-tank-size math, the LIHEAP path through OHCS, and how to actually save money in a region with limited refining capacity.

Latest EIA residential propane price

Source: EIA Oregon residential propane price survey. Current data is the final release of the 2025/26 heating season (week ending 30 March 2026). EIA pauses weekly publication April-September; next release expected October 2026. Refreshed 26 May 2026.

Oregon Propane Pricing Snapshot (2026)

Oregon residential avg

$2.98/gal

EIA SHOPP 2026 series, full-service residential delivery (PADD-5 estimate)

vs national average

+11%

National avg $2.67/gal. Oregon pays $0.31 more per gallon.

vs West region avg

+3%

Region avg $2.88/gal. Oregon sits above the regional norm; HI and AK skew the West average upward.

Annual fuel cost (1,000 gal)

$2980

Typical OR propane-heat household (east of Cascades) uses 800-1,200 gal/year

500-gallon refill (400 usable)

$1192

Most common residential tank size in Eastern Oregon

Pre-buy savings (May-Aug)

$200-$400/yr

Lock-in or cap-price contracts beat winter spot pricing

Oregon sits in the middle of the West cluster, well below Hawaii, Alaska and California, and tracking close to Washington and Nevada. Pricing pressure is structural: PADD 5 has limited in-region refining capacity, propane reaches the state primarily by rail from the Mid-Continent and Alberta, and only about 2.1% of Oregon households heat with propane, so supplier route density is thin outside the I-5 and I-84 corridors.

Why Oregon Propane Prices Sit Where They Do

Oregon's per-gallon rate is set by four structural factors, none of which is seasonal. They will not normalise back to Midwestern or Gulf-state pricing without a major shift in West Coast propane infrastructure.

1. PADD 5 has limited refining capacity. The West Coast (PADD 5) refining base is small relative to the Gulf and Mid-Continent. EIA does not even publish a weekly residential propane series for PADD 5, which is why the Oregon figure is published as a PADD-5-estimate. Most Oregon propane arrives by rail from the Mid-Continent (Conway, Mont Belvieu) or from Alberta into terminals around Portland, then truck-to-bulk-storage, then bobtail to home. Every transfer is a margin layer.

2. Small residential propane customer base. Roughly 2.1% of Oregon households heat with propane, versus 53.9% electric and 37% utility natural gas. Most Willamette Valley homes sit on Northwest Natural or Avista gas mains, so propane is the rural-east and coastal-coverage fuel. Fewer customers per route means weaker route economies, smaller terminal storage, and higher per-gallon overhead than in propane-heavy states.

3. Wet-west / dry-east climate split. The Willamette Valley and coast rarely see overnight lows below 16°F. East of the Cascades, median annual minimums run from near zero down to -26°F in high-elevation plateaus. That means a Bend, Klamath Falls or Burns household burns 30-50% more annual gallons than a comparable propane home near Salem, on top of a longer delivery route from a smaller terminal footprint. Eastern Oregon counties consistently quote $0.20-$0.50/gal above Western Oregon retail.

4. Wildfire-season generator demand. Oregon's late-summer wildfire and Public Safety Power Shutoff (PSPS) season has turned propane standby generators into baseline rural infrastructure. That demand spike pulls some of what would otherwise be the May-August summer-low pricing window upward, and increases pre-buy contract sign-ups in May and June. If you are filling in late summer in a fire-prone county, expect the cleanest pre-buy rate to be in May before evacuation news cycles start.

Oregon Propane Companies: How to Find a Licensed Supplier

Buying propane from an unlicensed dealer in Oregon is both a safety and consumer-protection risk. Licensed dealers must comply with NFPA 58, the Oregon Fire Code Chapter 61 LPG provisions, ORS 480.420 et seq., carry insurance, and follow Oregon-specific rules on tank ownership and contract disclosure. Three reliable starting points:

Oregon State Fire Marshal LPG licensed-dealer list at oregon.gov/osfm/industry/pages/lpg.aspx , every company doing propane work in Oregon needs an OSFM Installation/Company license, technicians need an LP-Gas Fitter license, and any bobtail needs an LP-Gas Truck Equipment license. Contact: OSFM.LP@OSFM.Oregon.Gov.
Pacific Propane Gas Association (PPGA) at pacificpga.org , the regional NPGA-affiliated trade association covering OR, WA, ID, AK and HI. Member directory and education resources.
National Propane Gas Association member directory at npga.org , national-level cross-check for any company that quotes you.

Always get a written quote that itemises per-gallon price, delivery fee, tank rental (if applicable), minimum-delivery surcharge, and any monthly tank fee. Compare two or three quotes before committing. Ask for one Willamette Valley supplier and one rural-east operator if your home is east of the Cascades, the per-gallon spread is often material.

Tier-1 supplier list coming. A hand-curated list of named Oregon propane suppliers (with HQ, coverage area, and notes on contract types) is in our editorial pipeline. We publish supplier lists only once each name has been verified against the official state licensed-dealer list and the supplier's active service-area page. We do not generate supplier names from training data; that is a hallucination risk we treat seriously.

Oregon Propane Fill Costs by Tank Size (at $2.98/gal)

Propane tanks fill to 80% of stated capacity (the "80% rule") to allow for thermal expansion. This is a federal NFPA 58 safety requirement, not a supplier markup. Below is what each fill costs at the Oregon 2026 average versus the national rate. Real-world quotes vary 10-15% above or below the EIA average depending on supplier, contract, county, and delivery frequency.

Tank size	Usable gallons (80%)	Fill cost at $2.98/gal	vs national ($2.67/gal)
100 gal (portable)	80 gal	$238	+$24
250 gal (small home)	200 gal	$596	+$61
500 gal (standard residential)	400 gal	$1192	+$122
1,000 gal (large home / cold-climate)	800 gal	$2384	+$245

Compare to the national refill cost guide or check pricing in other states.

Oregon Heating Season & Annual Use

Oregon's heating season is bimodal. In the Willamette Valley and along the coast, the residential heating season runs roughly mid-October through mid-April, with mild overnight lows (rarely below 16°F) and a long shoulder season. East of the Cascades the season is longer (early October through late April), colder (median annual minimums down to -26°F at elevation), and with more sustained cold snaps that drive higher per-night burn rates.

Typical Oregon propane-heat households consume 800-1,200 gallons per year east of the Cascades, depending on home size, insulation and how much of the load is propane versus wood or electric. A 2,400 sqft Bend or Redmond home with propane handling space heat, water heat, range and dryer averages 1,000-1,200 gallons. Coastal and Valley propane households running propane only for cooking, water heating, fireplace inserts or backup generators typically burn 150-300 gallons annually.

Translated to dollars at the 2026 OR average: a 1,000 gallon east-Oregon household pays $2980 per year for fuel alone, before tank rental fees, delivery surcharges, or service contracts. That is around $306 more than a comparable household at the national average, but roughly $800 less than a comparable Hawaii or Alaska household at the most expensive end of the West region.

LIHEAP through OHCS for income-qualified households. Oregon's Low Income Home Energy Assistance Program (LIHEAP) is administered by Oregon Housing and Community Services (OHCS) through your local Community Action Agency (CAA). It covers propane, heating oil, wood, pellets and natural gas. FY 2026 funding is approximately $40.5M, with eligibility at or below 60% of State Median Income. Heating benefits range $250 (minimum) to $750 (maximum) per heating season, plus up to $1,000 in crisis assistance for emergency fuel deliveries. A receipt of purchase is required for propane, oil, pellets and wood. Apply through your county CAA before October. Note: the Oregon Energy Assistance Program (OEAP) is a separate electric-only credit program for Pacific Power and PGE customers, it does not apply to propane bills.

Heat pump policy is the long-run cost variable. Oregon's 2026 Residential Specialty Code (effective from the February 2026 Building Code Division decision) mandates heat pumps in newly constructed homes in place of ducted AC. The state's analysis projects 92-100% of electricity-, oil- or propane-heated homes with AC would see annual energy bill savings of $300-$650 after a heat pump retrofit. For existing propane households, this does not retire your tank; but it does shift the long-run economics. Treat any major space-heating equipment replacement as the moment to model heat pump versus high-efficiency propane furnace at current rates rather than defaulting to like-for-like replacement.

Oregon vs Other West States (2026)

State	Price/gal	500-gal refill (400 usable)	vs national ($2.67)
Hawaii	$4.15	$1660	+55%
Alaska	$3.85	$1540	+44%
California	$3.42	$1368	+28%
Washington	$3.02	$1208	+13%
Oregon (this page)	$2.98	$1192	+11%
Nevada	$2.95	$1180	+10%
New Mexico	$2.93	$1172	+10%
Arizona	$2.72	$1088	+2%
Idaho	$2.40	$959	-10%
Utah	$2.34	$935	-13%
Colorado	$2.30	$921	-14%
Wyoming	$2.27	$906	-15%
Montana	$2.12	$848	-21%
National average	$2.67	$1070	0%

Oregon sits in the middle of the West cluster, materially cheaper than Hawaii, Alaska and California, and tracking close to Washington and Nevada. The full West region averages $2.88/gal, pulled higher by HI and AK import-only logistics; Oregon's $2.98/gal is closer to the inland-West cluster (ID, WY, CO) than to the high-cost coast.

Oregon Propane FAQ

How much does propane cost per gallon in Oregon?

Oregon residential propane is $2.98/gallon in the latest EIA SHOPP release. That is +11% versus the $2.67 national average and +3% versus the West regional average of $2.88. Be aware: EIA SHOPP only publishes weekly state-level residential propane series for PADD 1, 2, 3 and 4. There is no PADD 5 residential series, so the Oregon figure is a PADD-5-estimate based on the regional retail mix and modeled against national propane wholesale moves. What you actually pay varies by supplier, contract type (will-call, auto-fill, pre-buy, cap-price), location within the state, and tank ownership. Per-gallon spreads of $0.30 to $0.50 within the same county are common, especially between the Willamette Valley corridor and rural counties east of the Cascades.

Why is Oregon propane priced where it is?

Oregon sits inside PADD 5 (West Coast), a region with limited refining capacity and longer supply chains than the propane-producing Midwest or Gulf. Most propane consumed in Oregon arrives by rail from the Mid-Continent or Canada (Alberta) into terminals in Portland and along the I-84 corridor, then is trucked to bulk storage and finally to homes. Each transfer adds a margin layer. Oregon also has a small residential propane base relative to the population. Roughly 2.1% of Oregon households heat with propane, versus 53.9% with electricity and 37% with utility natural gas. Most Willamette Valley homes are on Northwest Natural or Avista gas mains, so propane is concentrated in rural counties east of the Cascades and along the coast where mains gas is unavailable. Fewer customers per route means weaker supplier-level economies of scale and higher per-gallon overhead than in propane-heavy states like Indiana or Michigan.

Does LIHEAP help pay for propane in Oregon?

Yes. The federal Low Income Home Energy Assistance Program (LIHEAP) is administered in Oregon by Oregon Housing and Community Services (OHCS) through your local Community Action Agency (CAA). LIHEAP covers propane, heating oil, wood, pellets and natural gas. For FY 2026 Oregon was allocated about $40.5M, with eligibility set at or below 60% of State Median Income. Heating benefits range from a $250 minimum to a $750 maximum per heating season, with up to $1,000 in crisis assistance for emergency fuel deliveries. A receipt of purchase is required for propane, heating oil, pellets and wood deliveries. Apply through your county's CAA before the heating season opens in October. Note: the Oregon Energy Assistance Program (OEAP), which sounds similar, is a separate electric-only bill-credit program for Pacific Power and Portland General Electric customers. OEAP does not apply to propane bills. For propane, ask specifically for LIHEAP.

Which Oregon agency licenses propane dealers?

The Oregon State Fire Marshal (OSFM) licenses every link in the propane delivery chain under ORS 480.420 et seq. and the Oregon Fire Code (Chapter 61, Liquefied Petroleum Gases). Three licenses matter for a residential customer: an LP-Gas Installation/Company license per dealership location with a representative who has passed the OSFM exam at 80% or higher; an LP-Gas Fitter license for any technician doing pipe, vent or appliance work; and an LP-Gas Truck Equipment license for any bobtail or delivery vehicle. Fitter and truck licenses are valid for two years and are not transferable. If a quote arrives from a company that cannot produce a current OSFM company license number, walk away. The OSFM publishes the licensed-LPG-dealer list at oregon.gov/osfm under Industry > Liquefied Petroleum Gas, and contact for the LP unit is OSFM.LP@OSFM.Oregon.Gov.

Does propane cost the same statewide, or does Eastern Oregon pay more?

The statewide EIA average masks a significant cost split. Western Oregon (Willamette Valley, coast, southern Oregon) has dense population, multiple bulk terminals around Portland, and competitive supplier coverage. Eastern Oregon (Bend, Redmond, Klamath Falls, Pendleton, Burns, Lakeview) is sparsely populated, often above 3,500 ft elevation, with longer delivery routes from a smaller terminal footprint. Eastern Oregon households also burn more propane per heating season because winters are colder and drier (median annual minimums down to -26°F in mountain plateaus, versus rarely below 16°F in the Valley). Combined effect: a household in Lake or Harney County typically pays $0.20 to $0.50 more per gallon than a household near Portland, and burns 30 to 50 percent more annual gallons. If you are east of the Cascades, the pre-buy and cap-price contract decision matters more than it does on the wet side.

How does Oregon's heat pump policy affect propane households?

Oregon adopted updated residential energy code in February 2026 (effective with the 2026 Oregon Residential Specialty Code) that mandates heat pumps in newly constructed homes in place of ducted AC. The Building Code Division estimates 92 to 100 percent of electricity-, oil-, or propane-heated homes with AC would see annual energy bill savings of $300 to $650 after a heat pump retrofit, with statewide average savings of $1,500/year. For existing propane households, this does not retire your tank, but it does change the long-term economics: as cold-climate heat pump efficiency improves and Oregon's electric rates stabilise, the per-BTU cost crossover keeps moving in the heat pump's favour. The straightforward read: keep propane for standby generators, range, dryer, water heat and supplemental space heat; treat any major space-heating equipment replacement as the moment to model heat pump versus high-efficiency propane furnace at current rates rather than defaulting to like-for-like replacement.

When is the cheapest time to buy propane in Oregon?

Late spring through midsummer (May through August). EIA's national wholesale propane price typically bottoms in June and July, when refinery output is high and residential demand is near zero. Oregon retailers run pre-buy and cap-price enrollment between May and August, often offering $0.20 to $0.40/gal off projected winter spot rates. On a 1,000 gallon east-Oregon household, that is $200 to $400 saved per year. There is also an Oregon-specific timing factor: wildfire season (typically late July through October) drives a generator-fuel demand spike that can pull retailers' summer-low pricing higher in some years. If you can fill in late May or June, before the smoke-and-evacuation news cycle starts, you usually get the cleanest pre-buy rate. Read the contract before signing: cap-price contracts let you keep savings if wholesale falls; flat pre-buy locks you in either direction.