Confidence: Estimated — industry benchmark range; not a published official price.
As of May 2026, agricultural bulk propane delivered in Southwestern Ontario typically runs CAD $0.65–$0.95/L depending on volume, contract structure, and season.
Reference levels (May 2026)
- Wholesale Sarnia hub: Historically trades at 60–80% of the retail consumer auto-propane benchmark. Spring 2026 indicative range: $0.45–$0.65/L wholesale.
- Agricultural bulk delivered (Southwestern Ontario, May 2026): $0.65–$0.95/L typical.
- Red-flag threshold: Delivered prices sustainably above $1.00/L for an agricultural account warrant a competitive quote from another supplier.
- All-time peak (Canadian LPG dataset): CAD $1.29/L on March 10, 2025 (GlobalPetrolPrices.com Canada LPG mean).
- All-time low (Canadian LPG dataset): CAD $0.57/L on August 22, 2016.
- Long-term mean (since 2016): CAD $1.02/L.
Factors affecting agricultural propane price
- Sarnia hub spot price — commodity, supplier cannot control (see
op-sarnia-propane-fractionator-hub).
- Logistics (rail vs. truck distance from Sarnia) — truck-delivered Southwestern Ontario is structurally cheaper than rail-dependent Eastern Quebec.
- Federal carbon charge — zero as of April 1, 2025 (see
reg-federal-carbon-charge-zero-2025).
- Ontario Gasoline Tax Act levy — zero as of July 1, 2025 (see
reg-gasoline-tax-act-ontario).
- Seasonal demand pressure — September–December grain drying peak overlaps with the start of November–March residential and livestock heating.
- Contract structure — pre-buy / fixed-price contracts, summer-fill discount programs, and basis-priced annual contracts moderate spot exposure.
- HST — 13% applied on top of delivered price; recoverable as input tax credit for HST-registered farming corporations.
Sources: GlobalPetrolPrices.com Canada LPG dataset (April 27, 2026 update); Natural Resources Canada weekly retail propane price tracking; industry benchmark observation.