A new contracting season is coming up for the liquefied petroleum gas (LPG) industry and one of the big issues facing distributors is how to optimize their rail car fleets.
As this winter has shown, when propane demand surges, as it did in late December, tank car lease rates and propane prices spike. The industry was left scrambling for product and tank cars in January. Good fleet management can help ensure that butane or propane is available at a reasonable price when needed.
There’s no single magic formula for managing a fleet. Fleet management incorporates art as well as science, one distributor said.
The process begins with knowing some of the right questions to ask. And the...