NEADA: Winter heating prices remain high, but natural gas prices decline
The price of home heating will stay high for many households this winter, a new report from the National Energy Assistance Directors Association (NEADA) said this week.
The NEADA, representing the state directors of the Low-Income Home Energy Assistance Program (LIHEAP), said prices for home heating will remain at near record levels this winter due to an expected colder winter across the country, except in western states. However, the report said, natural gas heating is expected to decline by nearly 8 percent when compared to last winter, from $787 to $726.
Prices are expected to increase for households using heating oil, from $2,094 last year to $2,275 this year, due to increased tightening in the petroleum markets and fear of supply shortfalls caused by Russian and Saudi Arabian cut backs on petroleum production. Households heating with propane will likely see a 4.2 percent increase in heating costs – from $1,476 last year to $1,538 this year.
Mark Wolfe, NEADA executive director, said the continued high cost of home heating, when combined with increased demand for summer cooling, will put millions of low-income families at risk of falling behind on their energy bills. Wolfe said NEADA has sent a letter to Congress asking for an additional $2 billion in LIHEAP funding in order to maintain current program funding levels.
Applications for LIHEAP programs are up by between 10 and 20 percent from last year’s levels, Wolfe said in the letter. If funding is reduced to the previous level authorized by Congress of $4 billion, states will be forced to reduce the number of households served and reduce the average benefit levels.
