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Propane generators

On a road without a natural gas main, a standby generator usually runs on propane from a tank on your property. Fixr lists a 500-gallon tank at about $700 to $2,500 installed above ground and $1,500 to $3,000 underground.

Why propane is common here

Natural gas mains do not reach many rural roads. Propane fills that gap. It stores well for long periods, which suits a generator that may sit for months between outages. Many generator models are also rated slightly higher on propane than on natural gas; Generac's 24kW unit, for example, is rated 24 kW on propane and 22.5 kW on natural gas.

Brick and timber house at the end of a grassy gravel driveway among trees

Sizing the tank

Tank size decides how long you can run before a refill. A large generator under heavy load uses fuel quickly, so a small tank can run dry in the middle of a long outage, when delivery trucks may also be delayed by storm damage. Ask for a runtime estimate at typical load for each tank size before you choose. If you already have propane for heat or cooking, ask whether one larger tank can serve everything.

  • Generator size and expected load
  • How many days of runtime you want
  • Other propane appliances in the house
  • Access for the delivery truck and hose reach
  • Required distances from the house, property lines and ignition sources

Above ground or buried

Above-ground tanks cost less to install and are easy to inspect. Underground tanks are out of sight, which many homeowners prefer, but they need excavation. In Pound Ridge, rock can make that excavation harder. Fixr notes that excavation costs vary with how rocky and hard to reach the site is. The installer and propane company will look at both options.

Owning or leasing

Some propane companies lease tanks and require you to buy fuel from them. Others let you own the tank and choose your supplier. Ask about the terms, delivery schedule and whether automatic delivery is available, so the tank is full before storm season.

Safety

Propane tanks, regulators and lines must be installed by licensed professionals and inspected. Never try to connect or move a tank yourself. If you smell gas (propane has an added odor like rotten eggs), leave the area right away, avoid using switches or phones near the leak, and call 911 or your propane company from a safe distance.

Typical propane tank costs

Installed costs from Fixr.

TankTypical range
500-gallon, above ground$700 to $2,500
500-gallon, underground$1,500 to $3,000
1,000-gallon, above ground$1,500 to $3,000
1,000-gallon, underground$2,500 to $5,000

Not quotes. Rock, trenching distance and site access change the price. Fuel is extra.

Sources: Fixr, propane tank installation cost; Generac, 24kW home standby generator

Questions homeowners ask

How long will a propane tank run my generator?

It depends on the generator size, the load and the tank size. Ask the installer for a runtime estimate at typical load for the tank you are considering.

Can my heating propane tank also feed the generator?

Often, if the tank is large enough for both. The installer and propane company will check the size and the regulator setup.

Is a buried tank worth the extra cost?

It is mostly about appearance and space. Buried tanks are hidden, but cost more to install, especially where there is rock.

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