How To Change Your Bulk LPG Supplier
Learn how switching suppliers could save you hundreds of pounds per year in our step-by-step guide.
Before You Start: You Will Need
Your Current Arrangement
A copy of your current metered estate LPG contract from your supplier, or your latest invoice/statement if you are a single domestic customer.
Check With Neighbours
Ask your neighbours whether they are on a fixed-term contract or out of contract. For metered estates, you will likely need to form a Residents' Committee or formally involve the management company.
Current Yearly Usage
You need an estimate or a calculation of how much LPG you use per year.
Identify Tank Ownership
Check whether the LPG tank is owned or leased by your current supplier (the most common scenario) or if the tank is customer-owned. The process is significantly different depending on who owns the physical tank.
How to Change Suppliers: Step-by-Step Guide
Research Your Current Arrangement
Find out who manages your LPG contract (management company, residents' association, or landlord) and review your current contract terms. Ask your neighbours if you are not sure. Check our section on types of LPG arrangements. Be aware of the Competition and Markets Authority (CMA) LPG Supply Competition Order. This Order regulates the industry and is key to knowing your rights.
Check Contract End Dates
Identify when your current contract expires and any mandatory notice periods required for changes. Some contracts auto-renew if not cancelled in time. If you switch while still in contract, you may be liable for a Transfer Fee (sometimes called a termination or exit fee), which can be substantial. You will need your neighbours' information for this, as the supplier typically won't tell you for privacy reasons. Send a formal termination letter to your existing supplier well within the notice period. From the 31st December 2022, suppliers will permit the switching of estates where less than 10% of residents or 1 resident where less than 10 homes are in an exclusive supply term.
Gather Usage Data
Collect historical usage data for your estate to provide accurate information to potential suppliers for competitive quotes. Some suppliers may be able to tell you the typical annual usage for your estate.
Request Multiple Quotes
Contact several suppliers for quotes. Include details about your estate size, annual usage, infrastructure requirements, and preferred contract length. They will need a copy of your Letter of Authority (LOA) form before they can speak to you or request usage data from your existing supplier. When applying to change from Calor Gas to Flogas, they wanted to know the following:
- Existing Supplier
- Contract end date
- Site name and full address
- Number of tank/s
- Size of the tank/s
- Above or below ground
- Tank age (if known)
- Average or annual usage
- Number of houses on estate
- Is there an existing umbrella agreement in place?
- Is there an existing Letter of Authority in place?
- Photograph of tank data plate, located on side of tank / under tank hood
- Photograph of the tank/tanks showing the surrounding area
Compare Total Costs
Look beyond unit prices. Consider standing charges, infrastructure costs, contract terms, any additional fees, and minimum delivery requirements. Also, check if the new supplier charges for a mandatory site survey. Check how much you could save per year with our handy LPG calculator.
Consult Your Neighbours
If switching requires resident approval, present the options clearly with potential savings and any impacts on service.
Manage the Transition
Work with both old and new suppliers to ensure a smooth changeover. The new supplier will conduct a Site Survey and safety check and will take over the responsibility for the maintenance and safety of the tank upon transfer. This may involve infrastructure modifications or new metering systems. In the event that you run-out of LPG during the switching process, contact the new supplier immediately, as they may be able to provide an emergency delivery.
Alternative Options if You Can't Switch
Negotiate Better Terms
Even if you can't change suppliers, you may be able to negotiate better rates with your current provider, especially when contracts come up for renewal. Give them a call and see what they can do. You may need to get permission from your neighbours or a Letter of Authority form before they will renegotiate. Remember that for a standard domestic bulk tank, the CMA Order limits exclusive contract lengths to two years, which gives you strong leverage when negotiating.
Improve Energy Efficiency
Focus on reducing consumption through better insulation, boiler upgrades, smart heating controls, and heating behaviour changes. These savings are often more achievable than supplier changes. Turning down your heating by just 1 degree can save you a significant amount of money per year. You could also consider upgrading your boiler or looking into alternative options such as an efficient LPG boiler or a heat pump.
Join Forces with Neighbors
Work with nearby LPG metered estates or developments to increase collective bargaining power when negotiating with suppliers.
💡 Getting Professional Help
Consider hiring an energy consultant or broker who specialises in LPG contracts. They can navigate the complex supplier landscape and negotiate better terms on behalf of your estate.
Common Challenges and Solutions
Challenge: Long-term Exclusive Contracts
Solution: Plan ahead. Mark contract renewal dates in your calendar and start the review process 6-12 months before expiry to allow time for proper comparison and negotiation. For single domestic tanks, remember the CMA Order limits new exclusive contracts to a two-year duration.
Challenge: Infrastructure Compatibility
Solution: Work with suppliers who can adapt to existing infrastructure or factor upgrade costs into your comparison. Some suppliers may fund infrastructure improvements for longer contracts, as they take on the responsibility for the safe maintenance of the tank.
Challenge: Resident Resistance to Change
Solution: Present clear financial benefits and address concerns about service disruption. Use our calculator to show potential savings in pounds and pence.
Challenge: Complex Pricing Structures
Solution: Request total cost projections based on historical usage. Compare like-for-like scenarios rather than just headline unit rates. Ensure you know the cost implications of any Transfer Fees if you are breaking a contract.
Ready to Explore Your Options?
Start by calculating your current costs and potential savings with our free tool
Calculate My LPG Costs