Source: Dani Friedland, MEATINGPLACE, 2/6/14


With more than 20 states issuing disaster declarations related to the propane shortage, the National Turkey Federation and Minnesota Turkey Growers Association are calling on Congress to take action, the groups announced.

The groups are calling for specific, immediate action to facilitate propane transportation via interstate pipelines, highways, rail and waterways; to maintain and expand federal allowances for propane suppliers to deliver increased supplies while temperatures and stocks remain critically low; and to identify sensible legal authority federal agencies can use to mitigate the effects of the shortage.

Earlier this week, the Federal Motor Carrier Safety Administration said it would extend the State Emergency Declaration hours-of-service exemption through March 1 in the Midwest, according to a release published by Minnesota lawmakers.

“High demand and high price are not natural marketplace solutions for unnaturally cold conditions and bleak outlooks for supply,” said Joel Brandenberger, president of the National Turkey Federation (NTF), in a release. “What is now at the tipping point is the weight of federal response we are encouraging with decisive and effective solutions to move propane to areas of shortage and dire need.”

“Some of our turkey farmers are delaying shipments of young birds to their farms to save on propane, but that can only be put off for a week or two before it wreaks havoc on the schedules of both the farmers and processing companies,” said Steve Olson, Minnesota Turkey Growers Association (MTGA) executive director, in a release. “Farmers are working together with suppliers and other farmers to share propane. MTGA, on behalf of Minnesota’s turkey farmers, are working with our Congressional delegation to ensure that propane supplies do not run out.”

U.S. Representatives Collin Peterson (D-Minn.) and Adrian Smith (R-Neb.) are working to solidify congressional support for immediate action by President BarackObama, the NTF and MTGA said, while Al Franken (D-Minn.) and John Boozman (R-Ark.) are pressing for specific action in the Senate.
The National Oceanic and Atmospheric Administration forecasts colder-than-normal temperatures through next week across much of the country, according to the U.S. Energy Information Administration's most recent propane situation update (embedded below).

The EIA reported a Midwestern propane inventory of 9.6 million barrels as of Jan. 31, well below the rolling five-year average of 15.6 million barrels. The EIA says it has reports suggesting that propane exports fell in late January.