The Old Farmer’s Almanac projected this winter to be another “arctic blast” with above-average snowfall. However, the Department of Energy recently forecasted that Americans will pay less for heat due to expected warmer temperatures.
Households using propane can expect a 27 percent drop in their heating bills this winter. The Department of Energy states that propane supplies for this winter are higher than ever since 1993 and demand is expected to be low.
Lower crude oil prices result in a 15 percent decrease in heating oil prices as well. Households in very cold areas are the dominant users of heating oil – this is only 5 percent of all US households.
Natural Gas and Electricity
About half of US households use natural gas for heating. The wholesale prices for natural gas will be higher than last year because last year’s extremely cold winter drained gas in storage. However, the average natural gas bill is still expected to fall by about 5 percent because people will be using less. Because electricity prices are influenced by the price of natural gas, so we can expect a rise as well. Still, bills are expected to fall by approximately 2 percent because of the forecasted decline in heating use this winter.
Even if NOAA is wrong and temperatures are 10% colder than forecast, today’s forecast still expects homes that heat with oil or propane will have lower costs. Those using natural gas and electricity will see a slight uptick of 6% and 2%, respectively. ” – Wendy Koch
There are other ways you can potentially lower their energy bills:
- Limit the use of bathroom ventilation fans
- Close all unused vents in your homes
- Seal all leaks around doors, windows, pipes
- Change filters regularly
Consumer spending in other areas is projected to increase thanks to the decreased burden of energy bills.
Read more here – “Expect Lower Home Heating Bills this Winter,” (Wendy Koch, USA Today)
Anna is a current student at The George Washington University in Washington, DC with a concentration in Marketing and Communication. She specializes in social media outreach and has experience working in government contracting.