Propane Education & Research Council Launches $1 Million Consumer Education Partnership Program; Funds Safety, Research and Consumer Education Projects; Nominates Council Officers
Funds Safety, Research and Consumer Education Projects; Nominates Council Officers


June 12, 2001

Washington, D.C.-The Propane Education & Research Council (Council) met in Boca Raton, Florida (June 9) approving nearly $1.4 million in research, safety, and consumer education initiatives as well as $400,000 in state rebate programs. In addition, the Council launched a $1 million cooperative advertising program to provide states with matching funds to support the Council's "Propane. Exceptional Energy " consumer education campaign.

Consumer Education Partnership with States
The goal of the new program is to maximize the impact and reach of propane's "Exceptional Energy" message at the state and regional levels. State propane education and research councils and foundations will receive a match of 50-cents for every state rebate dollar they invest in the program. States currently receive rebate funds equivalent to 20 percent of the Council's assessment revenues to fund programs and projects at the state level.

"This partnership program promises to benefit the propane industry by giving states an opportunity to build on the momentum of the national "Propane. Exceptional Energy " consumer education campaign," said Council Chairman Daryl McClendon, president, Platinum Propane, Hinsdale, Illinois. In order to qualify for the partnership funds, states must use the materials (TV and radio spots, magazine and newspaper ads, bill stuffers, and outdoor billboards) produced under the direction of the Council. "The purpose of the program is to ensure that consumers all over the country are presented with a consistent message about the exceptional benefits of using propane."

Industry Programs-Funded Projects
· Consumer Education Partnership with StatesundefinedPropane Education & Research Council ($1,030,000) (Docket #10500)
· Council Evaluation Plan/Phase I-Propane Education & Research Council ($46,936) (Docket #10456)
· Propane Vehicle for President Bush's Texas Ranch-CF Networks LLC dba CleanFuel USA ($45,500-includes media outreach) (Docket #10458)
· 2000 NGL Survey-Propane Education & Research Council ($53,100) (Docket #10480)

Safety and Training-Funded Projects
· NFPA 58undefined2001 Training CD and Seminars-National Fire Protection Association ($81,347) (Docket #10400)
· Propane Emergencies Second Edition-National Propane Gas Association ($283,000) (Docket #10473)

Research and Development-Funded Projects

  • Heavy-duty LPG Dedicated Agriculture Engine-The Adept Group ($25,000) (Docket #10410)
  • Propane Fuel Processor Development Project-Hydrogen Burner Technology ($500,000) (Docket #10412)
  • Glacier National Park-Propane Vehicles and Infrastructure-CF Networks LLC dba CleanFuel USA ($78,000-includes media outreach) (Docket #10459)
  • Development and Commercialization of Dedicated Propane Passenger and Cargo GM Vans for model year 2002/Phase II-Propane Promotion Consortium, Inc. ($195,000) (Docket #10464)
  • LPG Fueling System Optimization-Railroad Commission of Texas ($60,900) (Docket #10465)
  • Installation and Operation of a Demonstration Fuel Cell-Yellowstone National Park ($60,000-includes media outreach) (Docket #10479)

Consumer Education-Funded Projects
· Energizing Education-National Energy Education Development Project ($10,000) (Docket #10461)

State Rebate Program
State entities (foundations and PERCs) are eligible to receive rebates equivalent to 20 percent of the Council's annual assessment collections. Twenty-six rebates totaling nearly $400,000 were awarded to 13 states at the June 9 meeting.

Policies, Rules and Procedures
The Council approved proposed changes in its policies, rules and procedures following a review of industry and public comments. The revised document will be posted on the Council's Web site.

Council Members
The Council welcomed new member Michael Schwartje, Conoco, Houston, Texas and honored outgoing Councilors William McHenry, Pro-Gas Sales & Service, Muskegon, Michigan and Bill Schaal, public member, Jefferson, Iowa for their service to the Council and the industry. Mr. McHenry is a founding member of the Council.

Officer Nominations
The Council nominated the following Councilors to serve as 2001-2002 officers:

  • Chairman: Walter Cressman, Cress Gas Co., Richlandtown, Pennsylvania
  • Vice Chairman/ Marketers: Paul Grady, AmeriGas, Valley Forge, Pennsylvania
  • Vice Chairman/ Producers: Bruce Toellner, Mitchell Gas Services, The Woodlands, Texas John Gawronski, Dynegy Midstream Services, Houston, Texas
  • Treasurer: John Ehlers, public member, San Antonio, Texas Jim Hake, Ferrellgas, Inc., Liberty, Missouri
  • Secretary: Dale Delay, Wholesale Propane, Houston, Texas Kerry Upperton, BP Amoco, Houston, Texas

2002 Budget
The Council directed its Budget and Finance Committee to submit a draft budget for calendar year 2002 that assumes an expansion of the industry's consumer education program and, as a result, would require an assessment of three-tenths of a cent per gallon next year. The draft budget will be considered by the Council in Chicago on July 17-18 and then circulated for industry comment before a final vote is taken in September.

2001 Meetings
July 17-18 Chicago (2002 Budget/Election of Officers)
September 18-19 Washington, D.C. (Program Evaluations/State Rebates)
December 11-12 Houston (Grants/State Rebates)

The Propane Education & Research Council was authorized by the U.S. Congress with the passage of the Public Law 104-284, the Propane Education and Research Act (PERA), signed into law on October 11, 1996. The mission of the Propane Education & Research Council is to promote the safe, efficient use of odorized propane gas as a preferred energy source. For more information, please call 202-452-8975 or visit the Web site at or