Who Is Responsible to Remove an LP Gas Tank from a House? Complete Guide
Everything You Need to Know About Propane Tank Removal-Ownership, Responsibility, Costs, and Process
Introduction: The Short Answer
Who is responsible for removing an LP gas tank from a house?
The answer depends on who owns the tank.
| Tank Ownership | Responsible Party | Typical Cost |
|---|---|---|
| You own the tank | You (homeowner) | $300 – $10,000+ |
| Propane company owns the tank | Propane company | Usually $0 |
| Unknown ownership | Determine first | Varies |
| Abandoned tank | You (property owner) | $300 – $10,000+ |
This comprehensive guide explains how to determine tank ownership, who pays for removal, the removal process, costs, legal requirements, and frequently asked questions.
Part 1: Understanding LP Gas Tank Ownership
Why Tank Ownership Matters
LP gas (liquefied petroleum gas, commonly called propane) tank ownership determines:
Who pays for tank removal
Who arranges the removal process
Who is liable for the tank
What happens to remaining propane
Types of Tank Ownership
| Ownership Type | How It Happens | Removal Responsibility |
|---|---|---|
| Customer-owned | You purchased the tank | You |
| Company-owned (leased) | Propane company installed tank for free or small fee | Propane company |
| Rental tank | You pay annual rental fee to propane company | Propane company |
| Previous owner left it | Tank was on property when you bought home | You (usually) |
| Abandoned tank | Unknown origin, no active service | You (property owner) |
Part 2: How to Determine Who Owns Your LP Gas Tank
5 Ways to Find Out Tank Ownership
Method 1: Check Your Propane Contract
What to look for:
| Contract Language | Ownership |
|---|---|
| "Customer-owned tank" | You own it |
| "Company-owned tank" | Propane company owns it |
| "Tank rental agreement" | Propane company owns it |
| "Tank lease" | Propane company owns it |
| "Customer-provided tank" | You own it |
Method 2: Review Your Propane Bills
Look for:
| Bill Item | What It Means |
|---|---|
| Tank rental fee ($50-200/year) | Company owns tank |
| Tank lease charge | Company owns tank |
| No tank-related charges | You likely own tank |
| "Customer tank" notation | You own tank |
Method 3: Check Closing Documents (If You Bought the Home)
Review:
Property disclosure statement - Should mention tank ownership
Purchase agreement - May specify tank ownership
Home inspection report - May note tank details
Settlement statement - May show tank transfer
If tank wasn't mentioned:
You likely inherited the tank as part of the property
You are now the owner (unless propane company claims ownership)
Method 4: Look at the Tank Itself
Tank markings indicate ownership:
| Tank Marking | Ownership |
|---|---|
| Company name/logo painted on tank | Company owns tank |
| "Property of [Company Name]" sticker | Company owns tank |
| Serial number only (no company branding) | May be customer-owned |
| No markings | Likely customer-owned or abandoned |
Method 5: Call Your Propane Supplier
The easiest and most reliable method.
What to say:
"I need to know if my propane tank is customer-owned or company-owned."
"Can you check your records for my tank ownership status?"
"Do I have a tank rental agreement with your company?"
The propane company will have records showing:
When the tank was installed
Who paid for the tank
Whether there's a rental/lease agreement
Tank ownership status
Part 3: Scenario A - You Own the Tank
What It Means
If you own the LP gas tank:
You are fully responsible for removal
You pay all costs associated with removal
You arrange for professional removal
You handle permits and disposal
When You Own the Tank
You likely own the tank if:
✅ You purchased the tank (have receipt)
✅ Tank was included in home purchase (no rental agreement)
✅ No tank rental fees on your propane bills
✅ No company markings on the tank
✅ Previous homeowner owned the tank
Removal Process (If You Own the Tank)
Step-by-Step Guide:
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Step 1: Contact Propane Supplier ↓ Schedule tank pump-out (remove remaining propane) Step 2: Hire Licensed Professional ↓ Disconnect tank from gas lines Step 3: Purge the Tank ↓ Remove all propane and vapor (required by law) Step 4: Remove Tank from Property ↓ Arrange transportation to disposal facility Step 5: Seal Gas Lines ↓ Cap gas lines where tank was connected Step 6: Fill Hole/Remove Pad ↓ Restore the area Step 7: Dispose of Tank Properly ↓ Take to approved facility (not regular trash)
Who to Hire
| Professional | What They Do | Cost |
|---|---|---|
| Propane supplier | Pump out remaining propane, may remove tank | $100-300 for pump-out; $300-800 for full removal |
| Licensed propane contractor | Disconnect and remove tank | $300-800 |
| HVAC contractor | Disconnect gas lines, seal system | $200-500 |
| Tank removal specialist | Excavation (underground tanks) | $2,000-10,000+ |
| Scrap metal recycler | Dispose of tank (must be purged) | $0-50 (may pay you for metal) |
Costs for Tank Removal (Customer-Owned)
Above-Ground Tanks:
| Tank Size | Removal Cost |
|---|---|
| 120 gallon | $300 – $500 |
| 250 gallon | $400 – $700 |
| 330 gallon | $500 – $800 |
| 500 gallon | $600 – $1,000 |
| 1,000 gallon | $800 – $1,500+ |
Underground Tanks:
| Tank Size | Removal Cost |
|---|---|
| 500 gallon | $2,000 – $5,000 |
| 1,000 gallon | $3,000 – $10,000+ |
Why underground tanks cost more:
Excavation required
Soil testing for contamination
Potential environmental remediation
Permit requirements
Specialized equipment
Permits and Legal Requirements
Check with your local building department:
| Requirement | When Needed | Cost |
|---|---|---|
| Demolition permit | Most jurisdictions | $50-200 |
| Environmental assessment | Underground tanks | $500-2,000 |
| Soil testing | If contamination suspected | $300-1,000 |
| Disposal documentation | All tank removals | $0-50 |
Part 4: Scenario B - Propane Company Owns the Tank
What It Means
If the propane company owns the tank:
The propane company is responsible for removal
You do not pay for removal (in most cases)
The company arranges the entire process
You may need to give notice (check contract)
When the Company Owns the Tank
The propane company owns the tank if:
✅ Tank was installed "free" with propane service agreement
✅ You pay annual tank rental fee ($50-200/year)
✅ You signed a tank lease agreement
✅ Company name/logo is on the tank
✅ Propane company installed the tank
How to Request Removal (Company-Owned Tank)
Step 1: Call Your Propane Supplier
What to say:
"I need to have your propane tank removed from my property."
"I am switching propane suppliers / no longer need propane service."
"What is the process for tank removal?"
Step 2: Submit Written Request
Most companies require written notice:
Sample Letter/Email:
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To: [Propane Company Name] From: [Your Name] Address: [Your Address] Account #: [Your Account Number] Date: [Date] Subject: Request for Propane Tank Removal I am writing to request removal of the propane tank located at my property at [Your Address]. Please schedule tank removal at your earliest convenience. I can be reached at [Your Phone Number] to arrange a date and time. Please confirm receipt of this request and provide an estimated timeline for removal. Thank you, [Your Name]
Step 3: Schedule Removal
Company will contact you to schedule a date
Ensure someone is home during removal
Ask how long the process will take
Confirm they will restore the area (if applicable)
Step 4: Final Billing
Settle any outstanding propane charges
Ask about credit for remaining propane in tank
Get final bill showing account is closed
Keep documentation for your records
What to Watch For (Company-Owned Tanks)
Potential Fees:
| Fee Type | When Charged | Typical Amount |
|---|---|---|
| Early termination fee | Canceling contract early | $100-500 |
| Removal fee | Some contracts | $100-300 |
| Propane credit | Remaining propane in tank | Company should credit you |
| Restoration fee | If they don't restore area | You may need to pay contractor |
Always read your contract for specific terms.
Timeline for Company Removal
| Notice Required | Typical Timeline |
|---|---|
| No contract | 1-2 weeks |
| Active contract | 30-60 days notice required |
| Tank empty | Faster (no propane to pump out) |
| Tank has propane | May take longer to schedule pump-out |
Part 5: Scenario C - Unknown or Abandoned Tanks
What Is an Abandoned LP Gas Tank?
An abandoned tank is:
A tank with no known owner
A tank that has no active propane service
A tank left by previous homeowner with no records
A tank with no company markings and no purchase records
Who Is Responsible for Abandoned Tanks?
You (the current property owner) are responsible.
Even though you didn't purchase the tank and don't know its origin, if it's on your property, you are responsible for:
Removal
Environmental compliance
Costs
Legal principle: Property owners are responsible for hazards and structures on their land.
How to Handle an Abandoned Tank
Step 1: Determine if the Tank Is Truly Abandoned
Check propane bills for any tank-related charges
Look for company markings on tank
Call local propane suppliers to see if they have records
Review property records and disclosures
Step 2: If No Owner Found - You're Responsible
Hire licensed propane contractor
Have tank pumped out and purged
Remove tank from property
For underground tanks: Hire environmental contractor for soil testing
Step 3: Document Everything
Keep records of all attempts to locate owner
Save receipts for removal costs
Take photos before and after removal
Get disposal documentation
Can You Get Reimbursed for Abandoned Tank Removal?
Possible sources of reimbursement:
| Source | Likelihood | What to Do |
|---|---|---|
| Previous homeowner | Low (unless disclosed) | Check purchase agreement |
| Propane company | Low (if no records) | Call anyway to check |
| Homeowner's insurance | Possible | Check policy for "debris removal" |
| Local government | Rare | Check for assistance programs |
Part 6: Underground vs. Above-Ground Tank Removal
Above-Ground Tank Removal
Process:
Propane company pumps out remaining propane
Professional disconnects gas lines
Tank is purged (propane vapor removed)
Tank is loaded onto truck
Gas lines are capped
Concrete pad removed (if applicable)
Area restored
Timeline: 1-2 days
Cost: $300 – $1,500+
Underground Tank Removal
Process:
Locate tank (if not visible)
Excavate soil around tank
Pump out remaining propane
Purge tank
Remove tank from ground
Soil testing for contamination ⚠️
Environmental remediation (if contamination found)
Backfill hole
Restore area
Timeline: 2-5 days
Cost: $2,000 – $10,000+
Why Underground Tanks Are Complicated
Environmental Concerns:
| Issue | Risk | Cost to Fix |
|---|---|---|
| Propane leak | Groundwater contamination | $5,000-50,000+ |
| Tank corrosion | Soil contamination | $3,000-20,000+ |
| Improper abandonment | Long-term contamination | $10,000-100,000+ |
Always use licensed environmental contractors for underground tanks.
Part 7: Can You Remove an LP Gas Tank Yourself?
Short Answer: NO
You cannot legally or safely remove a propane tank yourself.
Why DIY Tank Removal Is Dangerous and Illegal
| Reason | Explanation |
|---|---|
| Propane is flammable | Explosion risk if not handled properly |
| Pressurized tank | Tank can rupture or become projectile |
| Purging required by law | Must be done by licensed professional |
| Environmental regulations | Improper disposal is illegal |
| Transportation laws | Only licensed haulers can transport propane tanks |
| Liability | If something goes wrong, you're liable |
What Happens If You Remove a Tank Yourself
| Consequence | Severity |
|---|---|
| Explosion | Critical - injury or death |
| Fire | Critical - property damage |
| Propane leak | High - health hazard |
| Legal penalties | High - fines and liability |
| Environmental violation | High - fines and cleanup costs |
| Insurance denial | Medium - policy won't cover DIY work |
The Only DIY Aspect: You Can Disconnect Appliances
Before tank removal, you can:
Turn off gas at the tank (valve)
Turn off gas at appliances
But leave the tank-to-house connection for professionals
Everything else requires a licensed professional.
Part 8: Costs Summary
Complete Cost Breakdown
| Ownership | Tank Type | Removal Cost | Who Pays |
|---|---|---|---|
| You own | Above-ground (120-500 gal) | $300 – $1,000 | You |
| You own | Above-ground (1000+ gal) | $800 – $1,500+ | You |
| You own | Underground (500 gal) | $2,000 – $5,000 | You |
| You own | Underground (1000 gal) | $3,000 – $10,000+ | You |
| Company owns | Above-ground | Usually $0 | Company |
| Company owns | Underground | Usually $0 | Company |
| Abandoned | Any | $300 – $10,000+ | You |
Additional Costs to Consider
| Item | Cost |
|---|---|
| Permits | $50 – $200 |
| Soil testing (underground) | $300 – $1,000 |
| Environmental remediation (if needed) | $5,000 – $50,000+ |
| Gas line capping | $100 – $300 |
| Concrete pad removal | $200 – $500 |
| Landscaping restoration | $200 – $1,000 |
Part 9: What to Do with an Old Propane Tank
Disposal Options
| Option | What Happens | Cost |
|---|---|---|
| Propane supplier takes it | Best option - they dispose properly | $0-300 |
| Scrap metal recycler | Must be purged first; recycler pays for metal | May pay you $10-50 |
| Tank removal company | Handles everything including disposal | $300-800 |
| Propane tank exchange | Some programs accept old tanks | Varies |
Can You Sell an Old Propane Tank?
Yes, if:
Tank is in good condition
Tank has been properly purged
Tank is within certification date
Buyer has means to transport safely
Value:
| Tank Size | Scrap/Sale Value |
|---|---|
| 120 gallon | $50 – $150 |
| 250 gallon | $100 – $250 |
| 500 gallon | $200 – $500 |
| 1,000 gallon | $400 – $800 |
Warning: Only sell to licensed buyers who can legally transport propane tanks.
Part 10: Frequently Asked Questions
Q1: How do I know if my propane tank is company-owned or customer-owned?
A: Check these sources:
Propane contract - Look for "customer-owned" or "company-owned"
Propane bills - Look for tank rental fees (company-owned)
Tank markings - Company logo/name means company-owned
Call propane supplier - They have ownership records
If no rental fees and no company markings, you likely own the tank.
Q2: Can I make the propane company remove their tank from my property?
A: Yes. If the propane company owns the tank, they are required to remove it when you request. However:
Check your contract for notice requirements (usually 30-60 days)
Some contracts have early termination fees
Schedule removal in writing
Q3: What if the propane company refuses to remove their tank?
A: This is rare but if it happens:
Send written request by certified mail
Document all communication
Contact your state's consumer protection agency
File complaint with Better Business Bureau
Consult an attorney if necessary
Propane companies are legally required to remove their own tanks upon request.
Q4: Do I have to pay for propane tank removal if I'm renting the tank?
A: Usually, no. If you're renting the tank from a propane company, removal is typically their responsibility at no cost to you. However:
Some contracts charge a removal fee ($100-300)
Check your rental agreement
Ask about any fees before requesting removal
Q5: What happens to the propane left in the tank when it's removed?
A:
| Tank Ownership | What Happens |
|---|---|
| Company-owned | Company credits you for remaining propane |
| Customer-owned | Propane supplier pumps it out; you get credit or it's added to final delivery |
Always ask about propane credit when scheduling removal.
Q6: Can I leave an underground propane tank in the ground instead of removing it?
A: This is called "abandonment in place" and is regulated:
| Requirement | Details |
|---|---|
| Must be purged | All propane removed |
| Must be filled | With inert material (sand, foam) |
| Must be documented | Recorded on property deed |
| Requires permits | Check local regulations |
| May affect property value | Disclosed to future buyers |
Recommendation: Complete removal is better than abandonment in place.
Q7: How long does propane tank removal take?
A:
| Tank Type | Timeline |
|---|---|
| Above-ground (empty) | 1-2 hours |
| Above-ground (with propane) | 2-4 hours (pump-out + removal) |
| Underground | 2-5 days (excavation + removal + testing) |
Q8: Will my homeowner's insurance cover propane tank removal?
A: Usually, no. Standard homeowner's insurance typically does not cover tank removal. However:
Some policies cover debris removal (check your policy)
If tank is a hazard, removal may be covered
Environmental contamination may be covered
Check with your insurance agent
Q9: What if I'm selling my house and need the tank removed?
A:
| Tank Ownership | What to Do |
|---|---|
| You own | Remove before sale or negotiate with buyer |
| Company owns | Contact company immediately; schedule removal before closing |
| Unknown | Determine ownership; if abandoned, you must remove |
Tip: Disclose tank presence to buyers. Unresolved tank issues can delay closing.
Q10: Can I switch propane suppliers and keep the tank?
A:
| Tank Ownership | Can You Switch Suppliers? |
|---|---|
| You own the tank | ✅ Yes - you can use any propane supplier |
| Company owns the tank | ❌ No - tank must be removed first, or buy the tank from company |
Buying the tank from the propane company:
Some companies will sell you the tank
Cost: $500 – $2,000 depending on size
Then you can use any supplier
Q11: Is there any situation where I'm NOT responsible for removing a tank I own?
A: No. If you own the tank, you are always responsible for removal. Exceptions are extremely rare and would involve:
Legal disputes over ownership
Company claiming tank despite your records
Special circumstances (tank on easement, shared property)
Q12: What documents should I keep after tank removal?
A: Keep these records indefinitely:
Removal invoice and receipt
Propane credit documentation
Permits (if required)
Soil test results (underground tanks)
Disposal certificate
Photos of removal process
Final bill from propane company
These documents may be needed:
When selling the home
For insurance claims
If environmental issues arise later
For tax purposes (if applicable)
Part 11: Quick Reference Checklist
Before Tank Removal
Determine tank ownership (call propane supplier)
Review contract for notice requirements
Check for remaining propane (request credit)
Contact propane supplier to schedule pump-out
Check local permit requirements
Get quotes from removal contractors (if you own tank)
Send written removal request (if company owns tank)
During Tank Removal
Be present during removal
Ensure propane is pumped out
Ensure tank is purged
Verify gas lines are capped
Take photos of process
Get disposal documentation
After Tank Removal
Keep all documentation
Restore area (concrete pad removal, landscaping)
Finalize propane account
Update homeowner's insurance
Notify relevant parties (if selling home)
Conclusion
Who is responsible to remove an LP gas tank from a house?
| Scenario | Responsible Party |
|---|---|
| You own the tank | You (homeowner) - pay for removal |
| Propane company owns the tank | Propane company - usually no cost to you |
| Abandoned tank | You (property owner) - pay for removal |
| Underground tank | Owner of tank - higher costs due to excavation |
Key Takeaways:
Determine ownership first - Call your propane supplier
Never try DIY removal - It's dangerous and illegal
Get everything in writing - Document the process
Underground tanks cost significantly more - Budget accordingly
Check for remaining propane credit - Don't lose value
The first step is always the same: Contact your propane supplier to determine tank ownership and begin the removal process.
Related Guides
Can You Heat a House With Propane?: Propane heating overview
Propane Tank Monitoring Guide: How to monitor propane levels
Propane Tank Sizes Guide: Choosing the right tank
Propane Safety Tips: Essential safety information
What Happens If Your Propane Tank Is Empty?: Run-out consequences
Last Updated: July 2026
Disclaimer: Laws and regulations regarding propane tank removal vary by location. Always check local requirements and consult with licensed professionals. This guide provides general information and should not be considered legal advice.
