Midwest Propane Prices Rise As Cold Snap Holds On

DES MOINES, Iowa (AP) - Several upper Midwestern states are dealing with higher propane prices because of supply problems in recent weeks.

Farmers used more propane than usual to dry the late harvest of grain that came out of the fields too wet. Rural households not served by natural gas lines dipped into propane supplies early due to colder than normal temperatures. And the Cochin pipeline that carries propane to the Midwest from Canada closed for several weeks, stalling supply to the region.

The supply problem has driven prices 14 percent higher since mid-November in Iowa, where customers pay $1.88 a gallon. That's 34 percent higher than last year. Propane's up 15 percent in Illinois in the last month, 13 percent in Wisconsin and Minnesota and 12 percent in Nebraska.