Q: What exactly is a fixed price program?
A: A fixed price program means that your price is fixed throughout the heating season. No matter how high world oil prices go, your price can’t skyrocket. However, if prices drop, your price can not go down since we would have already contracted for your oil ahead of time.
Q: How do you determine what the fixed price will be?
A: Planning for price protection the right way is a year-round effort. We analyze pricing trends, study the commodities market daily and do a lot of research so we can decide when the time is right to make our bulk fuel purchases. Only in this way can we structure a reliable workable program, one you can count on for protection from unpredictable spikes in the price of fuel. It takes time and money to structure a fixed price program correctly, and not all heating fuel dealers have the resources to do it, especially in the current market. The price itself depends on the wholesale price we pay, plus an allowance to cover our costs, such as insurance, vehicle maintenance and employee wages.
Q: If I call you this winter, will your customer service representative know the price for the day and tell me where prices are going?
A: If you want to know the price for that day, please feel free to call our office. We cannot make any predictions on where prices are going, however. The daily price could change from day to day, depending on the weather, inventory and a host of other factors. No one can predict the oil market. It would be like calling us up and asking for stock market tips.
Q: How do you figure my budget payments?
A: To calculate your monthly budget payments, we use your fuel delivery record from last year to estimate the number of gallons you will use during the next heating season. We multiply the number of gallons by an estimated or fixed price per gallon (depending on the program you have enrolled in). This amount is then spread out into equal monthly payments.
Q. Why do you have an early-termination fee?
A: To give you price protection, we’re going to have to buy the oil ahead of time and we’re on the hook for that. So we need you to honor your commitment. But if you don’t like that, you can choose our regular daily rate.
Q. I’ve seen prices that are lower than yours. Why is that?
A: There are always going to be companies that charge more or less than we do (We tend to be right in the middle.). It’s important to compare apples to apples. First, are they a full service dealer, or just one that makes deliveries, leaving you to fend for yourself if your equipment breaks down or they can’t secure product? Second, are they telling you their regular price, or a special come-on rate? This is a game many oil companies around here play—especially the huge ones. You think you are going to lower your bills permanently, only to discover that your price is jacked up really high as soon as the offer ends.

In the meantime, when it’s cold and the company is busy, who are they likely to serve first? Customers who are paying the regular rate, or a new one who’s paying a lot less? And how flexible do you think they’d be if you needed more time to pay your bills because of a temporary problem?

Often, these same companies find other ways to skimp that can cost you big time—like not doing the annual tune-up included in their service plan; not offering true night and weekend service; and not keeping enough service technicians to get to you quickly if you have no heat.

We guarantee our daily price is lower than the average regular rate of full service dealers in our area. And customers tell us that our superior service saves them money, reduces their aggravation and gives them real peace of mind.