After constituent testimony, committee advances bill to require propane firms to return unused gas when service is canceled
Loading...
Summary
Sen. Stewart's bill would require propane suppliers to remove unused gas and reimburse customers at the prevailing rate if the customer cancels service and requests removal; a constituent described years-long difficulties getting a refund from AmeriGas and industry asked for further drafting to avoid conflict with existing contracts.
Senator Stewart presented a bill to require propane suppliers to remove and reimburse unused propane when a customer cancels service and requests the removal. The measure would require companies to pay the customer the prevailing rate for any gas removed and to pick up tanks in cases where the supplier originally installed and retains the tank under a lease agreement.
Terrence Collins, a King George County resident, described a decade-long dispute with AmeriGas during which the company billed tank rental fees, declined to sell the tank, and refused refunds when the supplier ultimately pumped out 275 gallons of propane. "They refused to remove the tank nor did they refund the amount of the unused propane," Collins said, calling the experience "10 years of nonsense." His testimony framed the sponsor's rationale for statutory protections.
Representatives of the propane industry acknowledged the issue and said they had spent time attempting to resolve systemic problems; they asked the sponsor to work with the association to avoid conflicts with existing contracts and to ensure the bill’s provisions are implementable. The committee voted to report the bill and refer it to finance; members indicated they expect line edits to clarify whether the obligation applies only to tanks installed and leased by the supplier and how the prevailing rate will be calculated.
What happens next: The sponsor and industry will negotiate specific drafting changes (for example, whether reimbursement should reference the customer’s most recent contracted rate or a prevailing market rate), and the bill will receive fiscal and legal review in the finance committee.

