U.S. Home Heating Costs Predicted to Drop This Winter

Tuesday, October 21st, 2014
Putting dollar in pant pocket

Ebola, ISIS, Ukraine … turn on the TV or radio, and all we see and hear is bad news.

Well, we’re happy to share some good news for the upcoming winter season in regard to your heating bills.

The U.S. Energy Information Administration says most American consumers will spend less on heating their homes this winter, because the National Oceanic and Atmospheric Administration is forecasting a mild winter. In fact, temperatures will be much warmer than last year for the region east of the Rocky Mountains, officials said. Texas is included in the EIA’s southern region, which is expected to enjoy a winter 11 percent warmer than last year’s.

“U.S. households in all regions of the country can expect to pay lower heating bills this winter because temperatures are forecast to be warmer than last winter and that means less demand for heat,” said U.S. Energy Information Administration head Adam Sieminski.

Although prices for natural gas and electricity are expected to go up somewhat, the agency says households will have lower heating expenditures overall, if the mild winter arrives as predicted.

Let’s hope the NOAA’s forecast is accurate. If so, the EIA says homeowners using propane for heat will keep more money in their wallets–propane expenditures are expected to come down by 27 percent this winter compared to last year. Costs to heat homes with heating oil, natural gas and electricity (space heaters) are expected to drop by 15 percent, 5 percent and 2 percent respectively.

According to the EIA, about half of U.S. households heat their homes with natural gas. Almost 40 % of households use electricity as their primary heating source, and about 5 percent each keep their homes warm with heating oil and propane.

If you love to delve into the details (like we do at Daffan Cooling & Heating), the EIA has a slide show chock full of facts, trivia and past history in regard to household heating. Click on the image below to download a PDF of the EIA’s presentation, “Short-Term Energy and Winter Fuels Outlook”.

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