Propane and the Evolving Energy Landscape for Commercial Buildings  

Photo courtesy of the Propane Education & Research Council

Propane provides a flexible, reliable energy solution for commercial operations, supporting space and water heating, cooking, and outdoor amenities while enabling efficient, sustainable building design.

Architects, engineers, developers, and facilities managers have numerous choices when determining fuel sources for commercial buildings, whether those choices involve the practicalities of space and water heating, the aesthetics of fireplaces, fire pits, and outdoor lighting, or the functionalities of building site energy needs. Combined with these choices is the ever-increasing need to build and plan not only cost-effectively, but with reliability and sustainability in mind. This course will help specifiers compare the advantages and disadvantages of various fuel sources and storage options, as well as examine the flexibility and reliability of propane, enabling them to more readily determine which fuel source best meets the needs of individual commercial projects.

Fuel Sources: Overview, Advantages, and Disadvantages

Energy choices shape not only how commercial buildings perform, but also how they are designed, operated, and experienced over time. Today’s projects draw power from a mix of hydrocarbon, electric, and renewable sources, each with distinct impacts on cost, infrastructure, reliability, and environmental performance. Understanding the advantages and trade-offs of these fuel sources provides essential context for specifying systems that balance efficiency, resilience, and sustainability, an equation in which propane continues to play an important role. Here is a summary of fuel choices.

Hydrocarbon Fuels

Nonrenewable and renewable fuel sources have distinct benefits and drawbacks in terms of consistency, efficiency, cost, storage, and environmental impact, particularly in terms of their carbon footprint.

Hydrocarbon fuels, which are composed of molecules consisting of both hydrogen and carbon, are commonly referred to as fossil fuels and are considered nonrenewable resources. These fuels include coal, natural gas, propane, and fuel oil, each with its own advantages and disadvantages.

The main advantages of hydrocarbon fuels are the well-developed systems in place for extraction, processing, storage, and delivery; they are also inexpensive, currently abundant, reliable, and efficient. In terms of efficiency, small quantities of fossil fuels can generate large amounts of energy, and they are easily transported.

Several disadvantages to hydrocarbon fuels are that they “contain high amounts of carbon and have been blamed for being the main contributor to global warming.” As such fuels are used, carbon dioxide is released into the air along with other chemicals, contributing to global warming. In some other cases, accidents such as oil spills further damage the environment. There is also a finite quantity of hydrocarbon fuels available, which makes them nonrenewable sources of energy.

Electricity

According to the U.S. Energy Information Administration (EIA), “The electricity that we use is a secondary energy source because it is produced by converting primary sources of energy such as coal, natural gas, nuclear energy, solar energy, and wind energy into electrical power. Electricity is also referred to as an energy carrier, which means it can be converted to other forms of energy, such as mechanical energy or heat. Primary energy sources are renewable or nonrenewable energy, but the electricity we use is neither renewable nor nonrenewable.”

While primary sources of energy, such as coal and solar energy, are considered nonrenewable and renewable, respectively, electricity is neither. When electricity is used, its advantages and disadvantages are essentially the same as those of the primary source of energy from which it is derived.

Primary Sources for Electricity

According to the EIA, natural gas remains the dominant source of electricity generation in the United States, accounting for roughly 40 percent of total utility-scale production in 2025. While renewable generation continues to expand rapidly, overall electricity demand is also growing, driven by electrification and data-intensive technologies. As a result, additional generation from all available sources—including natural gas, coal, nuclear, and renewables—will be needed to maintain grid reliability and meet rising energy needs. Hydropower contributes a steady 5 to 6 percent of total output, while solar and wind increase their share each year. Propane, by contrast, is not typically used for grid-scale generation, serving instead localized, on-site applications that provide flexibility and resilience.

Renewable Energy

Image courtesy of the Propane Education & Research Council

Renewable propane has a significantly lower carbon intensity than the regional electric grid, offering a cleaner energy option.

Renewable energy sources come from natural processes that are continually replenished. Key renewable sources include biomass, geothermal energy, solar energy, hydropower, and wind energy. As these technologies become more affordable and efficient, they now account for nearly one-quarter of U.S. electricity generation. This amounts to about 24 percent of the energy produced in the U.S., according to the EIA, and multiple studies project continued growth, with solar, wind, and biomass all contributing to the increase.

The Environmental Protection Agency (EPA) notes three main benefits of using renewable energy:

• Generating energy that produces no greenhouse gas emissions from fossil fuels and reduces some types of air pollution;
• Diversifying energy supply and reducing dependence on imported fuels;
• Creating economic development and jobs in manufacturing, installation, and more.
• Additionally, many renewable energy sources are often naturally abundant and have low operating costs.

Even as solar and wind costs have decreased, they still carry steep price tags, especially in commercial and utility-scale settings, while fossil fuel plants face their own cost pressures. Utility-scale solar “overnight” capital (installation + basic 

infrastructure, excluding financing) is about $1.56 per watt (AC) for large tracking solar PV systems. Residential solar remains much more expensive. For small rooftop systems (2.5 to 10 kilowatts), prices hover around $2.70 to $4.40 per watt (DC) depending on location and incentives. On the wind side, average costs for onshore construction are down to approximately $1,274 per kilowatt of capacity (in recent years), a sharp drop from earlier levels.

However, natural gas combined-cycle plants are no longer cheap baseline options. Recent data indicate that total installed cost estimates for new gas plants in many U.S. jurisdictions range from $1,100 to $1,400 per kilowatt, with the cost often increasing once accounting for volatile materials, labor, fuel, and regulatory expenses is taken into consideration.

These real costs undercut a “rosy” narrative that renewables are uniformly cheaper, and show that many energy options, apart from propane, have significant cost, infrastructure, or performance trade-offs for commercial buildings.

Environmental Impact

When considering the environmental impact of any energy source, it is necessary to examine those that create the least amount of carbon dioxide and pollution during operation, as well as during the manufacturing of parts and equipment. New technologies that operate cleanly but create significant pollution during the manufacturing process should be researched more thoroughly before adoption. For instance, solar energy, which itself does not pollute air or water, creates greenhouse gases during the production of some types of solar panels. Others, like wind energy, do not pollute the air or water and produce negligible amounts of air and water pollution during the manufacturing process.

Batteries

Batteries, used for renewable energy storage and discussed in more detail in the following section, also have the potential to cause adverse environmental impacts. Because they are primarily composed of cobalt, lithium, nickel, and manganese, a transition to 100 percent renewable energy use could expose supply risks and impacts. Material recycling, increasing the efficiency of material use, and responsible sourcing could significantly reduce environmental and societal risks associated with increased battery production.

Infrastructure

Infrastructure is another consideration. The infrastructure for the transmission of electricity was developed around hydrocarbon and nuclear power plants. New power lines and infrastructure must be developed to support renewable energy sources, which are typically located away from traditional power plants. Other renewables, such as wind and solar, vary according to the weather. The variability of these resources means that storage for use when they are not available (no sun or wind) is necessary.

Storage Problems and Solutions

Storage presents serious challenges for a fully renewable energy system. As of late 2024, the U.S. had only about 26 gigawatts of utility-scale battery storage, despite adding 10.4 gigawatts in that year alone. Even including residential and smaller commercial systems, total storage additions (12.3 GW / 37,143 MWh) are just beginning to meet rising needs.

Projections suggest that by the end of 2026, utility-scale storage may reach about 65 gigawatts, more than double early-2025 capacity. Yet even that may be insufficient in regions with high seasonal variation or peak loads, where long periods of low solar and wind output could create reliability gaps. In short, while storage technology is growing rapidly, the current capacities and near-term forecasts reveal significant limitations, making many renewable-reliant scenarios still risky without complementary energy options, such as propane.

Storage technologies include batteries, pumped hydropower, ice, thermal and chilled-water storage, electrochemical systems, and more. Among these, pumped-storage hydropower (PSH) remains the largest source of bulk energy storage in the U.S. in terms of energy capacity. As of 2023-2024, the U.S. has approximately 22 gigawatts of pumped storage hydropower capacity, spread across more than 40 plants, with a roughly 550 gigawatt-hour storage potential.

However, while PSH still dominates energy storage in terms of energy hours, its dominance in power capacity is waning. Battery storage power capacity recently exceeded 23 gigawatts, surpassing the instantaneous power capacity of PSH, though PSH still holds nearly all the longer-duration energy storage capacity. 

Battery Technologies

Battery technologies have improved substantially, but they still face intrinsic limitations in commercial and grid-scale applications. For example, the U.S. cumulative utility-scale battery storage capacity exceeded 26 gigawatts in 2024, following a 66 percent growth rate over the year. These systems help stabilize the grid by storing excess power during low demand and dispatching it during peaks, effectively shifting energy in time. Yet, batteries typically have a limited lifespan. Many lithium-ion systems begin to degrade significantly after 10 to 15 years, requiring cell replacement or full system refurbishment (depending on usage and depth of discharge) to maintain performance.

Moreover, many current battery storage systems are designed for short-duration use (often 2 to 4 hours) to support grid balancing, rather than serving as replacements for continuous baseload generation. From 2023 to 2025, battery additions have focused mainly on capacity to handle peak demand and variability, not extended hours of storage. As deployment scales, issues of cycling fatigue, cost of replacements, efficiency losses, and diminishing returns for longer durations become more pronounced. Together, these constraints mean batteries are powerful tools for managing variability and peak loads, but are not yet reliable stand-alone replacements for continuous energy generation in many commercial applications.

Storage Costs

Recent estimates indicate that the cost of lithium-ion battery packs has decreased significantly, but many challenges remain in storage economics for renewable energy. According to BloombergNEF (a research organization and division of Bloomberg L.P. that provides data, analysis, and insights on the global energy transition), global average prices dropped to $115 per kilowatt-hour in 2024.  Utility-scale or four-hour duration battery storage system costs are higher when fully installed, often well above $300 per kilowatt-hour after including installation and supporting infrastructure.

Pumped hydropower storage (PHS), which remains competitive for long-duration storage, has a capital cost range of approximately $165 to $200 per kilowatt-hour, depending on geography, site-specific conditions, and scale. PSH requires suitable terrain, abundant water, and long lead times, and these constraints limit its application.

Basic Principles of Propane

Photo courtesy of the Propane Education & Research Council

A large propane combined heat and power (CHP) unit provides reliable, on-site power, demonstrating propane’s role as a flexible, lower-carbon energy source for commercial and residential applications.

As the building industry advances toward cleaner, more resilient energy systems, propane offers a practical solution to lower emissions. This section explores propane’s defining characteristics—its production, delivery, and adaptability—and examines how this versatile fuel supports energy flexibility, reduces greenhouse gas emissions, and complements renewable energy strategies.

Feasible Alternative to Renewable Energy

Propane offers a flexible, lower-carbon alternative in many commercial energy applications, particularly in areas where limited grid capacity or the variable nature of renewable sources makes reliable power delivery challenging. Designated a clean fuel under the National Energy Policy Act of 1992, propane continues to support emissions-reduction goals across sectors.

When burned, propane generates no chlorine, bromine, sulfur dioxide, soot, methane, mercury, or heavy metals, and produces only carbon dioxide and water vapor as its main byproducts. Its combustion also emits significantly lower nitrogen oxides (NOx) than gasoline, diesel, or heating oil. As a refrigerant (R-290), propane has zero ozone depletion potential (ODP) and a global warming potential (GWP) of around 3, far below the GWP of many HFC refrigerants (which can exceed 1,300).

Propane can help reduce greenhouse gas emissions in building systems. Industry data show that propane may reduce CO₂ emissions by up to 40 percent compared to grid electricity in water-heating and HVAC applications, particularly where the grid still relies on fossil generation. In residential trials, the 2024 Propane Construction Research Program of the Propane Education & Research Council (PERC) reported an average 35 percent CO₂ reduction in homes using propane-powered systems versus all-electric configurations.

Characteristics of Propane

Propane can be defined as “a gas normally compressed and stored as a liquid. It is nontoxic, colorless, and virtually odorless; an identifying odor is added so it can be detected.” It is also known as liquefied petroleum gas (LPG) and is produced as a byproduct of domestic natural gas processing. Some propane is produced from the refining of crude oil; however, this process is decreasing as shale extraction becomes a larger source of propane.

In buildings, propane is used similarly to natural gas, offering the same benefits. For instance, propane can be used for heating, water heating, cooking, and fireplaces. Propane furnaces offer consistent, reliable heat and zoned heating capabilities. Propane water heaters are highly efficient, reliable, and accommodate versatile designs, including tankless systems. Cooking equipment supplies even heat distribution and precise temperature control. Finally, propane fireplaces can be used both indoors and outdoors, offering portability and flexibility.

Furthermore, more than 90 percent of propane is produced in the U.S., while crude oil and petroleum are largely imported.

Renewable Propane and Decarbonization Goals

As decarbonization targets accelerate worldwide, interest in renewable LPG (BioLPG or renewable propane) is growing. LPG as a whole currently commands a global market of approximately 187.5 million tons per year. Meanwhile, renewable LPG production remains small but is scaling, with global capacity increased by 480,000 tons in 2024, and expectations are to double to 960,000 tons per year within five years. In Europe alone, biopropane production reached about 326 kilotons/year in 2023, a 12 percent increase from the previous year.

Infrastructure to produce BioLPG is already in place. An article in LPGas Magazine notes, “Any refinery that produces renewable diesel also produces biogas and has the ability to refine further to produce renewable propane.”

Although BioLPG remains a small slice of the total LPG market, trajectories suggest it could play a significant role in decarbonized energy systems. As policies, incentives, and technologies mature, propane’s lower-carbon variant may become a viable substitute, especially in sectors where full electrification is difficult.

Flexibility of Propane

Photo courtesy of the Propane Education & Research Council

Propane provides a flexible, reliable energy solution for commercial operations, supporting space and water heating, cooking, and outdoor amenities while enabling efficient, sustainable building design.

One of propane’s greatest advantages in commercial applications is its delivery flexibility. Unlike natural gas, which relies on extensive pipeline networks, propane is transported from regional storage terminals to end users via trucks and bobtails. This allows remote buildings, rural campuses, off-grid facilities, and greenfield developments to access high-efficiency gas systems without waiting years or spending millions on pipeline extensions. Distributors use route planning and remote monitoring to ensure timely, reliable delivery even under challenging conditions.

Inside a building, propane functions much like natural gas: a central distribution main feeds multiple branches to appliances. Both indoor and outdoor piping must conform to safety codes and standards. The Liquefied Petroleum Gas Code (NFPA 58) regulates propane storage and distribution, and NFPA 54 (the Fuel Gas Code) addresses piping, pressure, ventilation, and safety measures for both propane and natural gas systems. These codes ensure that whether the fuel arrives by pipeline or by truck, the internal infrastructure adheres to the same rigorous standards of safety and performance.

Because of this delivery flexibility, even large commercial and institutional projects, particularly in remote or underserved regions, can deploy propane systems where extending natural gas would be cost- or time-prohibitive.

Flexible Propane Storage Solutions for Developers

Propane provides developers and building owners with flexible energy storage options, suitable for both residential and commercial projects. Tanks range from 120 gallons (small homes) to 1,990 gallons (larger facilities), with bulk storage tanks reaching up to 30,000 gallons for industrial applications. Tanks can be installed above ground, buried, fenced, or landscaped to meet aesthetic, safety, and security needs, and multiple tanks can be interconnected or added as energy demands grow.

Compact propane systems, including tankless water heaters and space heating units, save space while efficiently meeting heating and hot water needs. Unlike geothermal systems, which require wells and may limit building design, propane systems are location-independent and can be implemented on almost any site.

Propane and Above-Code Standards

Propane can contribute to LEED, ASHRAE Standard 90.1, and the International Green Construction Code (IGCC) goals. In LEED v4, for example, propane can help commercial building projects earn as many as 28 points, primarily in the Energy and Atmosphere categories, in the following ways:

• Efficient Heating: Energy and utility savings derived from propane-fueled furnaces, boilers, and water heating systems can help designers and engineers exceed the efficiency of standard systems.
• Temporary Heat: Portable propane-fueled construction heaters can help meet LEED requirements for clean indoor air quality during the construction and pre-occupancy phases of building.
• Meters: Developers can earn one point toward LEED certification for installing propane meters for individual tenants or the whole building.
• Propane Autogas: A LEED credit is available for buildings that install alternative-fuel refueling stations or provide low-emitting and fuel-efficient vehicles, including maintenance vehicles and buses, such as those fueled by propane Autogas.
• Mowers: The use of propane-fueled mowers can help earn a LEED point by achieving emissions reduction requirements from site management equipment.

In summary, propane can help earn LEED credits through improved heating efficiency, enhanced clean indoor air quality via temporary heaters during construction, propane metering for individual tenants or the entire building, and the installation of an alternative-fuel refueling station.

Propane, Sustainability, and Greenhouse Gas Reduction

In specific heating scenarios, propane systems produce lower emissions than those powered by electricity, coal, and heating oil. For example, in colder and mixed climates, high-efficiency propane-fueled furnaces produce at least 26 percent fewer carbon dioxide emissions compared to standard-efficiency electric air-source heat pumps.

When it comes to carbon reduction strategies, much depends on the availability of feasible energy options. If grid electricity is the product of burning high-carbon primary fuels, such as coal or biomass, then shifting a building’s energy needs towards electricity does not yield a low-carbon outcome. However, incorporating propane systems may result in a net reduction of carbon emissions. Propane can supplement renewable energy systems due to its low greenhouse gas emissions and ease of on-site storage.

Examples include the following:

• A propane generator can provide auxiliary power to supplement a solar photovoltaic system or wind turbine.
• Propane-fueled commercial solar backup systems store solar-heated water and provide efficient backup heat.
• Bio-mass heating systems use wood pellets, dry-shell corn, and other indigenous materials to produce heat in a combustion chamber. These often require an auxiliary heating source such as propane.

In addition to CO₂ that is produced when a fuel is used, the fuel itself is often a GHG. For example, methane, which is the primary component of natural gas, has a GWP of 28-36. By contrast, and as previously noted, propane has a GWP of 3.

Power Demands of a Commercial Building

In 2023, total U.S. primary energy consumption was approximately 93.59 quadrillion Btu according to the EIA. Of this total, the electric power sector consumed about 34 

percent (31.85 quads), with an estimated 65 percent energy loss during conversion and transmission.

The remaining energy is distributed among four end-use sectors:

• Transportation: 30 percent
• Industrial: 24 percent
• Residential: 7 percent
• Commercial: 5 percent

For a typical commercial building, energy consumption can vary based on size, location, and operational hours. However, understanding the broader context of national energy use provides insight into the relative scale of energy demands for such buildings.

In summary, while the electric power sector is the largest consumer of primary energy in the U.S., commercial buildings contribute a smaller, yet significant, portion of total energy consumption. This highlights the importance of energy efficiency measures and alternative energy solutions, such as propane, in meeting the evolving energy needs of commercial establishments.

Building Industry Energy Consumption

The most recent comprehensive data currently available from the U.S. Energy Information Administration (EIA) comes from the 2018 Commercial Buildings Energy Consumption Survey (CBECS), the latest dataset released to date. These findings show that the average total energy use of commercial buildings was approximately 70,400 Btu per square foot. Energy intensity was highest in food service and inpatient healthcare facilities and lowest in warehouses and worship spaces, with offices and educational buildings falling in between. The residential and commercial sectors combined accounted for nearly 40 percent of total U.S. building energy consumption. Major end uses included HVAC (32 percent), water heating, refrigeration, and major appliances (18 percent), and lighting (11 percent). Electricity made up roughly 60 percent of commercial building energy use, with natural gas at 34 percent. In 2018, there were about 5.9 million commercial buildings, totaling 96 billion square feet. Retail, office, education, healthcare, and lodging sectors represented more than 50 percent of all buildings and 62 percent of total floorspace, consuming the majority of energy.

Projected data for 2025: While the EIA has not yet released a more recent CBECS, industry trend analyses suggest that average commercial energy intensity is gradually decreasing, likely around 68,500 Btu per square foot, due to ongoing efficiency improvements, electrification, and the adoption of high-performance systems in larger buildings.

Energy-Efficient Practices for Commercial Buildings

As of 2023, approximately 30 percent of the energy used in U.S. commercial buildings is wasted, according to the EPA. This underscores the importance of implementing energy-efficient practices to reduce consumption and operational costs. Here are some strategies:

• Regular Maintenance of HVAC Systems: Routine maintenance of HVAC systems, which includes cleaning filters and checking gas pressures, can enhance efficiency. For instance, Pacific Gas & Electric (PG&E) notes that replacing dirty filters can reduce wasted energy costs by 5 to 10 percent, and proactive maintenance can lower upkeep costs by as much as 40 percent.
• Optimizing Equipment Schedules: Shutting off systems during unoccupied hours can lead to significant energy savings. The Pacific Northwest National Laboratory’s Building Re-Tuning™ approach identifies such opportunities to improve energy efficiency.
• Sealing and Insulating Ductwork: Properly sealing and insulating heating and cooling ducts can improve system efficiency by 10 to 30 percent, as highlighted by PG&E.
• Utilizing Programmable Thermostats: Programming thermostats to maintain minimal temperatures during unoccupied hours can result in substantial energy savings
• Installing High-Efficiency Water Heaters: Propane-powered tankless water heaters eliminate standby heat loss, resulting in significant energy savings. These systems can use 30 to 50 percent less energy compared to traditional water heaters.
• Adopting Energy Star Certified Equipment: Using Energy Star-certified food service equipment, such as propane fryers and steam cookers, can enhance energy efficiency and reduce operational costs.

How Can Propane Solve Commercial Building Challenges and Enhance Design?

Propane maintains strong versatility in commercial settings: it can be deployed for space heating, water heating, cooking, clothes drying, fireplaces, dehumidification, standby generators, snowmelt systems, and outdoor amenities (pool heaters, fire pits, grills). Its flexibility makes it especially valuable in hospitality, retail, multi-family, recreation, and institutional projects, particularly where natural gas infrastructure is limited or costly.

Tankless Water Heaters

In many modern installations, condensing propane tankless water heaters now provide efficiencies up to 98 percent, extracting more heat from fuel and significantly reducing standby losses. Because tankless systems do not store hot water, they eliminate wasted energy from maintaining a standby temperature. When demand is high (as in hotels, sports facilities, or institutional kitchens), multiple units can be piped in parallel (“racked”) to scale capacity without compromising efficiency.

While typical efficiency gains may range from 20 to 40 percent compared to conventional storage systems in many real-world use patterns, the reduced standby loss, modular scalability, and integration flexibility make propane tankless solutions compelling in high-demand commercial contexts (especially where peak usage is significant).

Combined Heat and Power (CHP) Systems

Combined Heat and Power (CHP) systems—whether fueled by propane, natural gas, or other fuels—simultaneously generate electricity and capture heat that would otherwise be wasted. They can serve space heating, domestic water heating, dehumidification, and other thermal needs. Because they use both electricity and recovered thermal energy, well-designed CHP systems typically achieve total system efficiencies of 65 to 80 percent, with some configurations slightly exceeding 80 percent under ideal conditions. This compares to grid electricity generation efficiencies of roughly 35 to 40 percent, plus additional losses for separate heat generation. CHP is best suited for buildings with high and continuous thermal demand, offering substantial potential for reducing fuel use, operating costs, and greenhouse gas emissions compared to conventional separate heat and power approaches.

Floor-Mounted Air Turnover Heating and Cooling Units

In large spaces with high ceilings, air turnover systems recirculate indoor air to prevent heat stratification and maintain consistent temperatures. Propane-fired heat exchangers provide efficient space heating, while integrated cooling coils use standard glycol solutions for chilled-water operation. Floor-mounted installation minimizes the need for rooftop units, penetrations, and extensive ductwork, thereby reducing the overall complexity of the system. These systems are factory-packaged and can be installed and commissioned quickly, often within a few days, delivering reliable comfort and energy-efficient performance.

Hybrid Heating Systems

Hybrid heating systems (dual fuel systems) combine a high-efficiency propane furnace with an air-source heat pump (ASHP) or ground-source heat pump (GSHP). Hybrid systems automatically adjust to changing temperatures, continually operating in the most energy-efficient mode. These systems work best in mixed and colder climates, maintaining efficiency, delivering warm air, and reducing electricity costs, which rise sharply with the use of electric resistance back-up.

Outdoor Amenities

In addition to providing energy efficiency and cost savings, propane enables the accommodation of the architect’s vision in areas where natural gas is not available. Outdoor areas generally benefit from incorporating propane-fueled features and amenities, such as fire pits, fireplaces, patio heating, pool and spa heating, lighting features, and snowmelt systems. Such amenities, particularly in hospitality settings, not only provide efficient heating but also create a warm and comfortable ambiance for guests. Other amenities, such as two-sided fireplaces, can also serve as space dividers, potentially separating a bar area from a pool or a dining area from a space for cocktails.

In general, patio heating and outdoor thermal amenities allow hotels and restaurants to expand their dining rooms to the outdoors, as well as offer outdoor dining beyond summer months. Outdoor lighting and flame features can further enhance ambiance and aesthetics, creating memorable experiences for guests. Propane-fueled outdoor kitchens, equipped with grills and other cooking appliances, also help create a unique experience for diners while providing chefs with even, easily controlled cooking temperatures.

Conclusion

In many commercial applications, propane can lower fuel costs, and its above-code standards help meet environmental objectives. Simple transportation combined with straightforward storage systems and a ready infrastructure also helps to decrease construction times, as well as increase design flexibility. Propane’s most common applications include heating, water heating, cooking, refrigeration, and fireplaces. Importantly, propane’s attributes make it a feasible alternative to renewable energies like wind and solar that require complex storage. Considered a clean fuel, propane has a low GWP and can reduce air pollutants such as carbon monoxide and nitrogen oxide. As the world becomes increasingly environmentally conscious, propane can provide specifiers with cost-effective, environmentally friendly, and aesthetically versatile solutions.

Resources

1. Argus Media. Q&A: Global LPG Growth Defies 2024 Headwinds. 2025.
2. BSLBATT. How Lithium Battery Prices Are Changing in 2025. June 2025.
3. BloombergNEF. “Lithium-Ion Battery Pack Prices See Largest Drop Since 2017, Falling to $115 per Kilowatt-Hour.” 10 Dec. 2024.
4. Elgas. Global LPG Statistics 2025: Data, Growth, Forecast. 2025.
5. EnergyTransition.net. Role of Pumped
6. Hydro in Clean Energy Transition. Aug. 2025.
7. Environmental Protection Agency. Understanding Global Warming Potentials. n.d.
8. Green Power Clean. What Does Green Energy Storage Cost in 2025? 2025.
9. Hillphoenix. Propane (R290) Refrigerant Systems. Hillphoenix Learning Center, 8 Aug. 2025.
10. International Renewable Energy Agency. “Cost of Bringing Wind Power Plants into Operation Drops by More Than One-Third.” Apr. 2024.
11. LPGas Magazine. European Liquid Gas Congress Features Renewed Format in 2024. 2024.
12. National Renewable Energy Laboratory. Grid-Scale Battery Storage: Frequently Asked Questions. n.d.
13. National Renewable Energy Laboratory. Utility-Scale PV Plant Capital Costs. 2024.
14. National Renewable Energy Laboratory. “Battery Lifespan.” 4 Mar. 2025.
15. Propane. Commercial Appliances Emissions Data. n.d.
16. Propane. How Is Propane Distributed? n.d.
17. Propane. Usable Propane Claims. Dec. 2018.
18. Propane. What Is Propane Gas? n.d.
19. Propane Education & Research Council. PERC Research Program Shows That Propane Can Reduce a Home’s CO₂ Output by 35%. 5 Mar. 2025.
20. Public Power. “New Report Finds Rising Cost of New Gas Plants Outpacing Planning Assumptions.” Sept. 2025.
21. Solar Energy Industries Association, and Wood Mackenzie. U.S. Energy Storage Monitor Q4 2024: Record Annual Installations. American Clean Power Association, 19 Mar. 2025.
22. U.S. Department of Energy. About Commercial Buildings Integration Program. n.d.
23. U.S. Department of Energy. Battery Energy Storage Systems Report. Jan. 2025.
24. U.S. Department of Energy. Solar Photovoltaic System Cost Benchmarks. Q1 2024.
25. U.S. Energy Information Administration. 2018 Commercial Buildings Energy Consumption Survey. U.S. Department of Energy, 2022.
26. U.S. Energy Information Administration. Battery Storage Growth and Role. Today in Energy, 2025.
27. U.S. Energy Information Administration. “Utility-Scale Energy Storage to More Than Double, Reach 65 GW by End of 2026.” Short-Term Energy Outlook, June 2025.
28. U.S. Energy Information Administration. Frequently Asked Questions: What Is U.S. Electricity Generation by Energy Source? 2025.
29. U.S. Energy Information Administration. Petroleum & Other Liquids. n.d.
30. U.S. Energy Information Administration. Preliminary Monthly Electric Generator Inventory. Jan. 2025.
31. U.S. Energy Information Administration. Short-Term Energy Outlook. Sept. 2025.
32. U.S. Energy Information Administration. EIA Forecasts Renewable Generation Will Surpass Coal and Nuclear in 2025.2025.