Low fuel prices and warmer winter weather mean many families can expect lower prices for fuel to heat their homes this winter, according to a government study.
The average cost for heating homes this winter with natural gas will average $578 in total from October to March, according to the Energy Information Administration, the independent analysis wing of the U.S. Department of Energy. That’s a drop of $64 from last winter.
Families that use propane gas to heat their homes will see an even bigger decline. The expected total price for this winter is $1,437, which is a $322 drop from the 2014-15 winter. Families that use heating oil will save $459, and their total cost is expected to be $1,392.
Ratepayers whose homes are heated by electricity will see the smallest decline, just a small $30 drop from last winter to $930.
A little less than half of the homes in the United States are heated by natural gas, and electricity is the second most popular way people use to heat their homes. Most of the homes in the west, northeast midwest are heated by natural gas, while most of the homes heated by electricity are in the south.
One of the biggest reasons that heating expenses are expected to drop are projections for a warmer winter.
The northeast is expected to be about 13 percent warmer than it was last year, according to the National Oceanic and Atmospheric Administration. The midwest and south are expected to be 11 percent and 8 percent warmer than they were in the previous winter, the study reports.
However, the western United States may actually be 12 percent cooler than it was last year, according to the study. The weather forecasters chalk this up to a much warmer than usual winter last year in the western United States.
Consumers will also benefit from dropping fuel prices.
Natural gas, the primary fuel for much of the colder regions of the country, is going to be about 4 percent cheaper. The price for heating oil, which is prevalent in much of the northeast, is expected to drop 15 percent from last year. Propane prices are down 13 percent and electric prices will be down just 1 percent, according to the study.
