New York City consumers can expect their home heating prices to jump up this winter and become the most expensive in the country because of a lack of natural gas infrastructure, according to a fossil fuel industry economist.
Erica Bowman, chief economist for the American Petroleum Institute, said New York City used to be surpassed regularly by New England for the title of highest home heating prices. However, the new Algonquin Gas Transmission natural gas pipeline opening in November will help reduce heat prices in New England, Bowman said.
“Those two regions are often competing for the highest price, but it looks like New York is winning because it doesn’t have the same capacity,” she said.
Earlier this month, the Energy Information Administration predicted spending on energy would increase this winter because of colder temperatures than last year’s relatively warm winter. According to the administration, heating oil prices are expected to rise 38 percent, while natural gas prices are expected to climb 22 percent.
While a little more than half of the Northeast uses natural gas to heat their homes, it has the greatest proportion of homes using heating oil in the country. With the Algonquin pipeline coming online, more of New England will be able to get access to natural gas, which has been relatively cheap, but New York City won’t, Bowman said.
