Typically based on the following:

• the current wholesale market price of LPG (quoted in $US);
• the cost per tonne payable to the terminal provider for providing the facility to store and collect the LPG;
• primary distribution costs from the terminal to the supplier’s depot;
• secondary distribution costs from the depot to the end user;
• overhead operating costs;
• if the supplier has provided the tank and installed it free of charge they will recoup these costs within the litre rate;
• the estimated annual usage;
• a margin or profit over and above the core costs

 

Useful Conversion Factors
All values relate to liquid propane

• 4.13 litres= 1 therm = 100,000 BTU
• 0.141 litres = 1kWh
• 29.3701 kWh = 1 therm = 100,000 BTU
• 0.242 therms = 1 litre
• 7.08 kWh = 1 litre = 24,170 BTU
• 1 kWh = 3412 BTU
• 1 litre = 9.66 cu.ft
• 1 therm = 40 cu.ft
• 1 Kg = 1.975 litres = 47,820 BTU
• 0.506 Kg = 1 litre
• 1975 litres = 1000 Kg = 1 tonne = 478 therms
• 1 tonne = 19,078 cu.ft
• 3.85 litres = 1m3 Vapour