Owned vs Leased Propane Tank: Keuka Lake Guide

Last reviewed: October 9, 2026. General information only, not legal advice. Read your own propane contract, and contact the NYS Department of State’s Division of Consumer Protection or the Department of Agriculture and Markets with questions about your rights.

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Propane heats a lot of homes around Keuka Lake, along with water heaters, stoves, fireplaces, and backup generators. Most of these homes have a large tank in the yard, and one of the first questions a new owner faces is who owns that tank. The answer decides who can fill it, how easily you can switch suppliers, and what happens when your supplier can’t get to you in a storm.

This guide explains owned and leased tanks, what New York law says about who can fill a tank (including in an emergency), what to look for in a propane contract, and what to ask when you buy a house that runs on propane. For fuel choices and costs more broadly, see our heating costs guide.

Owned vs. leased: the basic difference

Leased tank: The propane company owns the tank and leases it to you, usually tied to a supply contract. The company installs and maintains it.
Owned tank: You own the tank (often bought outright or included with the house), and you’re responsible for it.

The New York Department of State’s consumer guide, Home Heating with Oil and Propane (PDF), lays out the trade-offs.

Leasing a tank

According to the DOS guide, leasing:

provides convenience and reduces upfront costs. Some suppliers offer free installation and automatic scheduled deliveries.
prevents you from having the tank filled by other suppliers (with an emergency exception, below).
may come with minimum-usage requirements and fees if you don’t buy enough fuel.
makes switching harder. To change suppliers, you generally have to wait until the contract ends, have the current company remove its tank, and have the new supplier install one.

Owning a tank

According to the DOS guide, owning:

lets you switch suppliers without contract penalties and shop around when prices change.
means you’re responsible for the tank’s maintenance, safety, repair, and installation.
costs more upfront to buy the tank.
requires you to watch the fuel level and order deliveries unless you sign up for automatic delivery.

Neither option is right for everyone. DOS suggests weighing your own circumstances, including how much propane you use and how important price shopping is to you, to avoid fees or terms that don’t fit.

What New York law says about filling a tank

New York’s Agriculture and Markets Law §192-e governs the sale and delivery of propane. Three parts matter most to homeowners.

Only the owner can authorize a fill

Outside of the emergency rules, the law says no one may fill or remove propane from a tank without the consent of the tank’s owner. If your supplier owns the tank, another company generally can’t fill it, even if you ask. The law also says a customer who owns their tank can buy propane from any supplier.

The emergency exception

The law creates a limited exception for residential customers with leased tanks during a qualifying emergency. That includes a declared federal, state, or local state of emergency (or certain federal or state waivers affecting delivery hours), or severe weather or similar circumstances that could put someone in imminent danger or put the building at risk of significant damage from lack of heat.

During a qualifying emergency, if you reasonably believe you won’t have enough propane for heat:

You must first make a good-faith effort to get a delivery from your regular supplier.
If the regular supplier can’t deliver within 24 hours, directly or through another supplier, you may have a temporary emergency supplier fill the tank, subject to the law’s requirements.
The temporary supplier must meet safety requirements set out in the law, and must notify your regular supplier in writing within five business days with details of the delivery.
Neither company may charge you penalties or fees beyond their usual fill and delivery charges because of the emergency delivery.

Contracts signed after this part of the law took effect must include provisions about these emergency deliveries and fees.

The Propane Consumer Bill of Rights

The same law directs the Department of Agriculture and Markets, working with the Attorney General, to develop a Propane Consumer Bill of Rights. Suppliers must give it to customers when a contract is signed and every year after while the contract is in effect, and the department must post it on its website. If you haven’t received a copy, ask your supplier.

Reading a propane contract

The DOS guide recommends that heating fuel contracts be in writing and clearly spell out:

Duration: start and end dates, and when the contract can be canceled.
Cost: price per gallon, any minimum purchase or usage requirements, and any deposit or prepayment.
Billing: method and frequency.
Services: whether tank or equipment maintenance, emergency service, and automatic delivery are included, and how they work.
Tank lease terms, if you’re leasing.
Restrictions on other companies filling the tank.

DOS’s advice: watch for hidden costs, fees, and minimum-purchase requirements; ask about anything confusing; and keep a copy of the signed agreement. Retailers must give you a delivery receipt showing the date, price per gallon, and amount delivered. Check it against your contract.

Price plans

DOS describes the common options: market price (whatever the price is on delivery day), locked price (one price per gallon for the contract term), capped price (the price can fall but not rise above a cap), and budget billing (estimated annual usage spread over 12 payments, adjusted periodically). DOS also notes that fuel is often cheaper before cold weather arrives, and that filling tanks in summer may save money. To track prices, NYSERDA publishes average propane prices by region. We don’t quote prices here because they change constantly.

Keuka-specific practicalities

Delivery access

A propane truck is heavy and needs room. On steep lake lots and narrow private roads, ask your supplier where the truck can safely park, how long their hose is, and what they need from you in winter. Keep the driveway plowed and sanded and the path to the tank or fill point clear of snow. See our winter access and private roads guides.

Automatic delivery

Many suppliers estimate your usage from weather data and deliver automatically. That’s especially useful for seasonal or second homes where nobody is watching the gauge. If you leave a cottage heated over the winter, automatic delivery and a remote temperature alarm work well together; see our winterizing guide.

Generators

If your standby generator runs on propane, size your tank and delivery schedule with outages in mind. A generator running for days uses a lot of fuel. See our generator and outage guide.

Buying a house with a propane tank

Ask before closing:

Who owns the tank? Ask the seller and the supplier, and look for paperwork.
If it’s leased: what are the contract terms, and will the supplier transfer service to you or require a new contract?
If it’s owned: is the tank included in the sale? Get it in writing. When was it last inspected?
What did the household use last year? Ask for delivery history.
Is there more than one tank? Some homes have separate tanks for a generator, a pool heater, or an outbuilding.
Are there any minimum-usage fees, tank rental fees, or removal fees?

Safety basics

Propane has an added odor so you can detect leaks. If you smell gas, follow your supplier’s safety instructions; the usual advice is to leave the area immediately, avoid anything that could spark (including light switches and phones) near the leak, shut off the gas at the tank if it’s safe to do so, and call your supplier or 911 from a safe distance. Don’t go back until a professional says it’s safe. Keep carbon monoxide alarms working in any home with fuel-burning appliances; New York’s Amanda’s Law requires them in one- and two-family homes with fuel-burning appliances or an attached garage.

What to have on hand

One safety item for propane homes (link goes to Amazon search results):

A propane/natural gas detector as a backup to your nose, alongside working CO alarms

Frequently asked questions

Can I have a different company fill my leased propane tank?

Generally no. New York law bars filling a tank without the tank owner’s consent. The exception is a qualifying emergency, when your regular supplier can’t deliver within 24 hours after a good-faith request.

Is it better to own or lease a propane tank?

It depends. Leasing lowers upfront costs and can bundle service, but limits who can fill the tank and may include minimum-usage fees. Owning lets you shop around but makes you responsible for the tank.

Can a supplier charge extra for an emergency delivery?

Under §192-e, when an emergency delivery is made under the law’s emergency rules, neither the temporary supplier nor your regular supplier may charge penalties or fees beyond their usual fill and delivery charges.

What is the Propane Consumer Bill of Rights?

A state-developed summary of consumer rights under propane contracts. Suppliers must provide it when you sign a contract and every year after.

Where can I complain about a propane company?

Start with the company. If that doesn’t work, the Department of State’s Division of Consumer Protection offers voluntary mediation through its Consumer Helpline (1-800-697-1220), according to the DOS heating guide.

Official sources

Related on Living on Keuka: Heating costs · Heating systems · Generators and outages · Winter access

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