Catemaco LPG Gas

Along with gasoline, the behemoth PEMEX also controls the LPG supply (liquid petroleum gas) of Mexico. Distribution, though, is in private hands, and is alleged to be controlled by Mexico’s famous handful of family oligarchs.

Mexico is not self sufficient in butane and propane, the two major ingredients of LPG gas. More than 5% of Mexican gas stocks are flared, (burned), instead of being captured. Any shortage in stocks is covered by imports from the US. Piped natural gas installations, although considerably more cost effective, are still a rarity in Mexico. The great majority of Mexican homes depend on gas cylinders or residential stationary tanks, for both cooking and water heating. Mexico is the world’s largest consumer of residential LPG gas.

Catemaco, Veracruz is served by 2 gas companies, which maintain regular route service to exchange tanks. The system is inconvenient, wasteful, incompetent, corrupt and expensive.

1. - To initiate gas service, the user must first buy his own tank, which can then be exchanged for a gas company tank.
2. - In exchange for that shiny new tank, you will probably receive a banged up, slightly rusty cylinder.
3. - At any time, if there is a problem with the exchange tank, the company will exchange the tank free. If there is a problem with the valves, the user is charged.
3. - This is cash country. If nobody is at home to pay for the exchange, no tank is delivered.
4. - If you carry your own tank to the gas company and it is still 1/3 full, you will be charged for filling the whole tank.
5. - As with gasoline, you may be charged for 20 kilograms and only receive 17.
6. - There is no pickup service on Sunday, and both companies take long lunch hours, open late and close early.
7. - There is no delivery service by appointment, except for stationary tanks.
8. - The LPG price is fixed by the government once every month, and is roughly based on international pricing.
9. - Caloric content of Mexican LPG (BTU, the actual heat potential) is kept a secret from Mexican consumers, so price comparison with electricity is not functional.

Gas Tanks come in 3 basic sizes, plus some smaller portable tanks. 20 Kg, 30 Kg and 45Kg. The 45 Kg tank is rare because it seems to weigh as much as a Volkswagen. The majority of tanks nationally are 20 and 30 Kg versions. Catemaco’s most popular tank is the 30 Kg version which weighs as much as a fat muchacha.

The 20 Kg tank is recommendable for consumers filling their own tanks. A typical installation of 2 x 20 Kg tanks plus a two way valve will cost about 1000 pesos (Aug 2006) plus 300 pesos for a handtruck plus 20 pesos for a wrench), and if you fill them yourself, you save hours of aggravation messing with abused valve systems. (Incidentally I have yet to find a slip valve system to install on my tanks instead of the cumbersome left turn wrench system).

LPG gas, aside from the naturally oderless Butane and Propane, also has Methanethiol added to create a noticeable foul smell in case of leakage. Mexico had a major LPG gas explosion about 20 years ago, and has an ongoing battle between LPG and NG (natural gas) proponents. Corporate terrorists have gone so far as to clandestinely dump Methanethiol in NG neighborhoods to scare people.

At present (Sep 2006) the cost of LPG gas is roughly 9.03 pesos per kilogram or 4.88 pesos per liter or 4.11 pesos per lbs. That is approximately 17.57 pesos per gallon. Current US price averages US $ 2.00 per gallon for cylinder exchange refills at most hardware stores , and US $1.35 for propane home delivery.

In my own experience a 20 Kg tank costing 180.57 pesos (Sept 2006) lasts 2 people about a month, using a stove, but no oven, a hot water heater and an electric washing machine. One important observation is that the tank(s) will only be empty when whoever changes them is ready to take a shower!

LPG gas is also popular as an an alternative fuel for many trucks in Los Tuxtlas, and supported by 2 filling stations with short hours. Cost is 4.245 pesos per liter (Aug 2006). The fuel LPG is cheaper than the home LPG because it is not taxed as much. The current Mexican government has been fighting to increase the price.