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How Much Does A Propane Tank Installation Cost?

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Key Takeaways

Key PointsDetails
Above-Ground Installation Cost (Labor Only)$250 – $1,000
Above-Ground Installation Cost (Tank + Labor)$300 – $3,000
Below-Ground Installation Cost (Labor Only)$1,000 – $2,500
Below-Ground Installation Cost (Tank + Labor)$1,500 – $5,000
Factors Affecting CostsTank size, type, location, brand, installation labor
Refill Costs$15 – $4,000 depending on tank size and usage

Average Propane Tank Installation Costs

When considering propane tank installation, the cost ranges can vary significantly depending on the size and type of the tank. Here’s a breakdown of the average costs:

Tank Size (Gallons)Average Total Cost*
Under 100$20 – $65
100$300 – $500
120$400 – $900
250$500 – $1,200
330$700 – $1,500
500$1,000 – $2,500
1,000$2,000 – $5,000

*Note: The total costs include the tank purchase and installation fees.

Propane Tank Costs By Location

Different installation scenarios impact the overall costs of propane tank installations:

Tank TypeAverage Installed Cost
Above-Ground Tank$300 – $3,000
Below-Ground Tank$1,500 – $5,000

Above-Ground Propane Tank

Above-ground tanks are generally less expensive to install compared to below-ground tanks. The installation is quicker and involves fewer additional costs such as excavation.

Underground Propane Tank

Underground tanks have higher installation costs due to the need for excavation, as well as materials to cover and protect the tank.

Propane Tank Prices By Brand

Choosing a propane tank brand can also influence costs. Here are some popular brands and their pricing structures:

BrandAverage Tank Price*Tank Sizes Available
AmeriGas$300 – $1,200100, 120, 250, 300, 500, 750, 1,000 gallons
Blue Rhino$15 – $655, 15, 20, 30, 40, 60, 100 pounds
Flame King$25 – $4001, 10, 11, 20, 33.5, 40, 50, 60, 100 pounds
Ferrellgas$50 – $250 (portable)10, 20, 30-pound portable tanks
$300 – $1,200 (permanent)100, 250, 500-gallon permanent tanks

*Note: Prices depend on the size and type of tank.


AmeriGas provides a variety of propane tank sizes ranging from 100 to 1,000 gallons. Their tanks are suitable for both household and commercial use.

Blue Rhino

Best known for their portable propane tanks, Blue Rhino offers smaller tanks that are ideal for grills and patio heaters.

Flame King

Flame King offers a wide range of smaller propane tanks, which can be used for various residential appliances.


Ferrellgas provides both portable and permanent tank options, catering to residential as well as small commercial needs.

Propane Tank Installation Cost Factors

Several factors can influence the overall propane tank installation cost:

Installation FactorsAverage Cost for Above-Ground TankAverage Cost for Underground Tank
Tank$50 – $2,000$500 – $2,500
Installation Labor$100 – $500$200 – $800
Concrete Pad$75 – $200N/A
Connect Gas Line Costs$75 – $300$300 – $700
Excavation / TrenchingN/A$500 – $1,000
Total Installed Cost$300 – $3,000$1,500 – $5,000

Installation Labor

Labor includes the professional installation of the propane tank and connecting it to the gas lines. This step is crucial for safety and efficiency.

Tank Filling

After installation, the next significant cost is filling the tank with propane. Initial filling can add to the overall investment.

Buying vs. Renting

Deciding whether to buy or rent a propane tank can significantly affect your costs. While buying requires a larger upfront cost, renting may involve ongoing rental fees.

Propane Tank Refill Costs

Refilling your propane tank incurs additional expenses over time. Refill costs differ based on the size of the tank and its usage.

Tank SizeTank Capacity (Gallons)Average Refill Cost*Uses
20 lbs.4.6 gallons$15 – $25Propane grills or patio heaters
100 lbs.23 gallons$70 – $120Single appliances such as a cooktop
120 gallons96 gallons$300 – $500Hot water heater or a small appliance
250 gallons200 gallons$600 – $1,000Supplemental heating or two home appliances
330 gallons264 gallons$800 – $1,300Multiple propane appliances
500 gallons400 gallons$1,200 – $2,000Home heating or homes with several appliances
1,000 gallons800 gallons$2,400 – $4,000Home heating for larger homes or full reliance on propane

*Note: The costs depend on current propane prices and tank size.

Propane Usage Cost Estimator

Here’s an estimate of monthly propane usage per common home appliance:

ApplianceEstimated Monthly Usage (Gallons)Average Monthly Cost per Appliance*
Furnace80$240 – $400
Fireplace16 (1 – 3 gallons per hour)$50 – $80
Water Heater20 (5 gallons per month/person)$60 – $100
Cooktop5$15 – $25
Clothes Dryer5$15 – $25

*Note: Estimates are based on average propane prices.

Propane Tank FAQs

Who Installs Propane Tanks?

Professional propane companies typically handle the installation of propane tanks. They ensure the tank is installed safely and in compliance with local regulations.

Can I Install My Own Propane Tank?

Self-installation is highly discouraged due to safety concerns and regulatory requirements. Always hire certified professionals for installation.

Do I Need A Permit To Install A Propane Tank?

Permit requirements vary by location. It’s essential to check local building codes and zoning laws to determine if you need a permit.

Where Can You Install A Propane Tank?

Propane tanks can typically be installed above ground or underground, depending on the available space and local regulations.

Getting Estimates From Propane Companies

When seeking estimates, make sure to ask relevant questions to ensure you get a comprehensive understanding of the costs involved.

Questions To Ask

  • What are the total costs for tank installation and propane filling?
  • Are there any additional fees for permits or inspections?
  • What maintenance services do you offer post-installation?
  • Do you have any financing options available?
  • What safety measures do you follow during the installation?

By knowing these factors, you can make an informed decision on propane tank installation that suits your needs and budget.

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