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Question DetailsAsked on 7/24/2016

price to buy and have installed 1000 gal fuel oil tank

Building a new home and want a 1000 gal fuel tank buried and connected to home.

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My personal recommendation, though appearance and local regulations affect that outcome of course, is to never bury a small oil tank you don't have to and to put oil tanks (not LPG/propane) tanks indoors if feasible. I have worked on far too many jobs removing buried oil tanks and contaminated soil at many thousands of $ cost. An above-ground tank with proper concrete or oil-proof plastic liner under it and oil-sheen sump at the surface overflow outlet (so you can see if leaking oil) saves SO much cost down the road - and the hassle and cost of a $500-1000 test to see if it is leaking when you come to sell (any smart buyer requires that, as do some states). Also, if supplier spills it shows on the side of an above-ground tank and will show in the pan right after he does it - below ground tank you may see some staining of the ground around the fill pipe but you have no idea how much went into the ground without digging after it.

Plus in some areas tank has to be tested every 5 years or so for another $500-1000 if underground - plus some areas require annual double-wall leak detection check for another several hundred to $500 - involves checking by inspector for fuel liquid or vapor between the two walls (meaning inner tank is leaking) and vacuum-checking that annulus for still being air-tight (to check the secondary wall is leak-proof). [Some states require this periodicallyo for above-ground tanks too, especially where above ground tanks have to be double-wall too].

Also - some homeowner insurance policies will cover above-ground or in-basement oil tank leakage - I have not heard of a newly issued (as opposed to grandfathered) one for decades that covers buried tanks or leaks from them, so check with insurance company FIRST - they will undoubtedly want an above-ground tank (maybe double walled), and above-ground piping to the house.

Bear in mind with any tank (but especially troublesome with large ones) the possibility of having to swap it out in the future - so leave openings and double-swing gates or large basement doors or such as appropriate to size of tank to allow reasonable handling and removal/replacement.

One other thing to consider - some insurance companies will transfer an existing policy to a newly built home - INCLUDING grandfathered coverages for oil tank and septic leaks and such, so check on that before getting a brand new policy for this house.

Also, in addition to checking location restrictions (distance from house, from any wellsor streams or drainages nearby, etc) check on size restrictions - fire code in many areas does not allow tanks over about 250-350 or 500 gallons, depending on area. Some allow multiple tanks of that sized as long as not interconnected, some allow larger or multiple tanks if installed indoors. And in many areas makeup air and vent pipes have to reach 10-15 feet or so above the ground, so count on that in placement location.

Here are links to a couple of prior questions about oil tank replacements and costs - for new construction (not replacing an existing tank) you are talking roughly $1500-2000 for 100 gallon tank if above-ground for single-wall or $2000-3000 if double-walled, plus about $800-1500 commonly for pump, piping, valves and pad and installation. Underground tank that size, since has to be double-wall with leak detection system in probably almost all areas, the $2000-3000 from above for the tank and roughly $1300-2000 for ancillary equipment and installation including the burial. But varies a lot by vendor and locale, so get multiple bids - and be sure contractor is properly licensed for oil tank installation in your area.

One additional thing if you install in your house - even if there is no active leak, commonly you will get a slight sheen to some fittings that needs wiping off periodically (check with manufacturer on cleaning material, because common soaps can cause corrosion, especially on brass and copper fittings), and the tank should get its makeup air (to replace consumed fuel) from an outside air vent stack, not from inside the house - otherwise you are likely to get unpleasant fuel smell lingering around the house on calm days, and in worst case can become an explosion hazard. Does not make sense, but some areas allow indoor makeup air vents, counting on one-way valves in them (which rarely work flawlessly) to prevent fumes from excaping the tank. Of course, this vent stack has to be planned for support and location (typically has to be 10 feet off the ground to the inlet point, and from 10-25 feet from any combustion point (like barbecue or such) or combustion device exhaust like furnace or water heater or fireplace/ woodstove or generator exhaust or chimney, depending on fuel type.

Couple of related previous questions with answers FYI - note they are mostly replacement, not new tank cases, so a bit pricier in general -

Answered 3 years ago by LCD

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