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Paraco/Kosco
United States,
New York
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Mar 20, 2017
Price Gouging
I have been a Kosco customer for 25 years. They were a good locally owned company. A few years ago a Russian oil co., Luke Oil, bought them, but they still did a good job. After the Ukrainian take-over, American sanctions required Luke Oil to pull out of US operations and a Long Island propane co., Paraco, took over Kosco. The first clue that things were different was when they filled my 100 gal. propane tank and sent me a bill charging $5/gal. when the retail price was below $3/gal. They said that I had to buy at least 300 gal. per season to qualify for a lower price. They reduced my bill to $2.99/gal., but only temporarily.
Recently they did the annual service on my oil furnace. It had worked fine all winter, but 3 days after the annual servicing the furnace quit and I called in an emergency service request, thinking it would be covered by my annual service contract. They bled air from the fuel line between the tank and furnace and sent me a bill for $335. When I asked, they said my service contract only covers the boiler and burner, not the tank and fuel line. When I pointed out that my furnace should work at least as well after its annual service as it did before, they said that there was no guarantee period for annual service work. Obviously customer good will is not on Paraco's agenda. Paraco thought oil delivery and service was going to be a big money maker, but the price of oil dropped and winters got warmer, so I guess they've decided to wring as much money out their customers as quickly as possible.
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