• Report: #307540

Complaint Review: Amerigas

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  • Submitted: Sat, February 09, 2008
  • Updated: Thu, April 03, 2008

  • Reported By:bordentown New Jersey
Amerigas
Bordentown, New Jersey U.S.A.

Amerigas price gouging Bordentown New Jersey

*Consumer Suggestion: To clear the record

*UPDATE Employee: Just to clear one matter up

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I had a seperate 100 gal tank installed for my detached workshop in Jan. 2008. The terms of the new install included a propane price of 2.49 per gal..The person who gave me the quote kept telling me that I needed to get in on there price lock progam. I didn't get in on their program because in the past it actually cost more money to lock in a price than to just pay the regular price after you figured in all the extra fees to get into the program.

Anyway, this price quote promted me to check my tank fill on my residence, I have a 500 gal. tank for the home, which I was charged 3.7999 a gal. in Nov. 08. I checked the internet for propane prices during that time and discovered that propane never got over 2.70 a gal. I also checked with several neighbors who used other vendors and they paid between 2.56 and 2.59 per gallon during that approximate time period.

On Jan 25, 2008 Amerigas came and filled both my home and workshop tank and put it on one bill (316 gal.). I contacted Amerigas and advised them that the driver should have put it on seperate bills because of the discounted price of 2.49 for the workshop tank. They said that they would have the person who handles the new tank installs contact me; this never happened.

This same date I contacted two other vendors and received price quotes of 2.56 a gal. I contacted a neighbor who also uses Amerigas and they indicated that they paid 3.25 per gallon about a week earlier. When I suggested that my november price (3.80) may have been a clerical error (someone hit a 3 instead of a 2) they said that no 3.80 was the correct price. when I told them that other venors were chargeing in the 2.56 range, I was told that that must have been an introductory price. These were not introductory prices.

On 2/8/08 I received my statement, and amerigas charged me 3.9499 a ,gal. for 316 gallons, plus another 100 gallons @ 2.49 a gallon. So to recap they not only charged me 3.95 a gallon for both fills, but added on an extra 100 gals at 2.49. Why would they charge me for 100 gallons of propane when the tank only takes 80% which I thought would only be 80 gallons.

When I contacted them to terminate my account, because of the outrages price, they told me that I would have to talk to the manager, who was in a different district , and to call back Monday. When I told them about the double charge for the propane, I was told I would have to contact the new install person, and that a message would be left for her to contact me. I said that would be fine, but she never calls back.

Several minutes later, the new install person called, unfortunately I was not home, so she spoke to my wife and said she was going to give us a break and charge us 2.49 for 100 of the 316 gal fill, Wasn't that what they were going to charge me originally, and take the seperate 100 gal charge off the bill. and quoted a statement balance that my wife and I still can't figure out.

This being said, I would be interested if any other NJ residence who are amerigas cutomers are aware of how much they overcharging for propane. How can they offer new cutomers such a low price per gallon (2.49) and charge regular customers 3.95 (1.46 a gallon more).

I contacted the better business bureau and the utilities board and was advised that I could file a complaint, but that propane is not regulated (this must be the only thing that is not regulated in this country). How in the world can this be. They can basically charge anyprice they want, which they seem to be doing, and there is nothing anyone can do?

Needless to say I will be terminating my account with them ASAP. It cost me over 1000.00 to deal with them instead of other vendors this winter. Oh well ther goes my stimulus tax advance refund check; sorry Wal-MART.

Trooper
bordentown, New Jersey
U.S.A.

This report was posted on Ripoff Report on 02/09/2008 07:33 AM and is a permanent record located here: http://www.ripoffreport.com/r/Amerigas/Bordentown-New-Jersey-08505/Amerigas-price-gouging-Bordentown-New-Jersey-307540. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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REBUTTALS & REPLIES:
0Author 2Consumer 0Employee/Owner
Updates & Rebuttals

#1 Consumer Suggestion

To clear the record

AUTHOR: Rebuttal - (U.S.A.)

Amerigas fully discloses terms to the customer and the customer must agree to these terms by signing a contract. As with all contracts you should fully read and understand what you are agreeing to before you sign. All propane companies offer first fill prices(discounts) to new customers. Pricing (at amerigas) is volume priced, the more you buy the cheaper the price. Each account is different based on the number of gas appliances you have. I do concede the point if a salesman quotes a contract price that price should be honored ( for the first year only). As with all petroleum products pricing fluctuates day to day so locking in or prebuying will save you lots of money in the long term.
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#2 UPDATE Employee

Just to clear one matter up

AUTHOR: DBS - (U.S.A.)

The tank installed was a 120 gallon tank which holds 100 gallons of propane @80%. Some people call these 100 gallon tanks but that is not really correct they just hold 100 gallons when full.
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