Propane Tank Installation Costs

The shift away from oil heat and large electric systems (water heaters, for example) has lead to increasing demand for propane tanks at domestic properties. It would be ideal if propane tank installation were a quick and straightforward process, but it is not always so.

For one thing, it will require a stable base, such as a concrete pad on which to situate the new tank. It will also require permits from local authorities, proper location or distance from the home, and more.

Propane tank installation: 500-gallon tank.

Other considerations and costs

• Surprisingly enough, it is the propane vendor that will tell you how far the tank must be and what size is required to meet your anticipated usage or needs.
• If you believe that buying a tank outright is the appropriate method, you may find that a difficult option. It is due to the simple fact that most propane vendors do not service tanks that do not belong to their companies. They will usually waive the leasing fees if you commit to a specific amount of propane consumption each year, as well.
• Used propane tanks may be purchased, but most vendors will only use them if you have paid for a specialist to test and certify the tank.
• Keep in mind that the placement of a propane tank has to meet fuel provider requirements, and it will also have to be easily and readily acceptable for deliveries.
• Underground installations are an option, but many do not opt for it because of the digging and difficulties in tackling the work. It demands excavation, trenching, laying lines, and getting permits. It will usually cost from $1,100 to $5,100, plus leasing fees and fuel supplies.

Check out our guide if you need a loan for your home improvement project.

DIY considerations

• While it may seem like a simple thing to place a new propane tank, it is not going to be a DIY project. There are too many variables and too many safety issues.
• It is best even to consider consulting with expert plumbers and others as you make plans to have a tank installed. If there is the need to remove a tank, that too is best left to experts, and you may find that your propane provider can lift a tank or recommend someone with a proven track record in doing so. Then, it is best to let the professionals handle the work!

References

• Craftsman Estimator Costbook, complete series year 2019.
• Latest prices found on Home Depot and other vendor Web sites.
• Literature review of DIY Web sites.