Gov says heating oil is up...

[CrappieKeith]

EIA Projects Record Winter Household
Heating Oil Prices in Northeast

WASHINGTON, DC

heatingchart<http://ih.constantcontact.com/fs009/1102650311091/img/331.jpg>

Source: U.S. Energy Information Administration, Short-Term Energy and Winter Fuels Outlook, October 2011.

Note: The Northeast Census Region includes Maine, Vermont, New Hampshire, Massachusetts, Connecticut, Rhode Island, New York, New Jersey, and Pennsylvania. Prices for the two fuels are converted into common units of dollars per million Btu by dividing the retail heating oil price by its energy content of 0.139 million BTUs per gallon and the residential natural gas price by its energy content of 1.03 million BTUs per thousand cubic feet.
The U.S. Energy Information Administration (EIA) projects that the average price paid by households in the Northeast this winter (October through March) for heating oil may be the highest ever, almost $27 per million BTUs ($3.71 per gallon) or more than double the projected average cost of natural gas ($12.93 per million BTUs) delivered to households in the Northeast.

The average price paid by households in the Northeast for heating oil more than doubled over the last seven winters, rising from an average of $10.48 per million BTUs ($1.45 per gallon) during the winter of 2003-04 to an average of $24.39 per million BTUs ($3.38 per gallon) during the winter of 2010-11. By contrast, the average household price of natural gas to households in the Northeast increased by only seven percent over the same period, from $11.49 per million BTUs to $12.35 per million BTUs.

According to EIA projections in the October 2011 Short-Term Energy and Winter Fuels Outlook <http://r20.rs6.net/tn.jsp?llr=tnajr6cab&et=1108007048762&s=16327&e=001yjosQPvZaD8LwOTZMokb45eTwATI-j-NRHvK2w_sdyy5AD-KND2mbgoBfadW9-6HPFA1xmSh41HIqXRbSvR9Tx6pLgxbNsz-REAsmzvbgIfsqHmEZtFacSitD4L88YVp1cMDsp_rU4SkqbKPwfiiVw==> (STEO), residential heating oil prices this winter are expected to set a new winter record, averaging $26.77 per million BTUs ($3.71 per gallon), an increase of 10 percent over last winter. The EIA expects Northeast residential natural gas prices to rise by five percent from last winter to $12.93 per million BTUs, still well below the peak $15.96 per million BTUs during the winter of 2005-06.

Heating oil prices largely reflect crude oil prices. For example, the average cost of crude oil to U.S. refiners increased from an average of $24 per barrel in 2003 to an average of $99 per barrel in 2011 (The October STEO produces this price using actual prices for January-September and forecast prices for October-December). Natural gas wellhead prices, however, which rose between 2003 and 2008, have fallen in recent years, in part due to the dramatic growth in natural gas production from unconventional shale gas resources. The estimated average natural gas wellhead price in 2011 of $3.85 per million BTUs is 19 percent lower than the $4.75 per million BTUs average in 2003.

Growing price differences in the Northeast between heating oil and natural gas appear to have affected consumers' selection of heating equipment. Since the winter of 2003-04, the number of households relying primarily on heating oil has declined, and conversely, the number of Northeast households relying mainly on natural gas heating has been going up (see chart below).

Between the winters of 2003-04 and 2010-11, the number of Northeast households using natural gas heating increased by 651,000 (from 10.14 million to 10.80 million), while the number of households using heating oil fell by 1,197,000 (from 6.88 million to 5.68 million).
northeasthomes<http://ih.constantcontact.com/fs009/1102650311091/img/332.jpg>


Source: U.S. Energy Information Administration, Short-Term Energy and Winter Fuels Outlook, October 2011. Household data from U.S. Census Bureau.

 

[Toddppm]

I think I have about 1/4 tank left which will be for emergency use only. I am NOT going to buy any more this winter. I should have enough wood, I can't stand to think about $1000 to fill my tank again.

 

[rmihalek]

We need oil for hot water, but rely on the wood stove to heat the house. We just filled the oil tank; it was about $750 for 225 gallons. That should last about a year, maybe 15 months.

 

[gulity1]

Boy keith that sure is a lot of reading can someone summerize that for me.looks pretty offical I dont use heating oil thankfully i do use natural gas But My step mom heats with wood and thats why Im on here and I enjoy doing splitting etc all the work

 

[Chris-PA]

We stopped using the oil heat at all 2 years ago, and this summer I replaced the oil fired water heater with an electric one due to the much lower up-front cost. I'll be removing the tank soon. Eventually I plan to add a solar hot water pre-heater and would love a wood fired cook stove with a hot water coil in it. We'll see if I can afford that.

Net oil imports are down and the US is being outbid in the world markets. If we try to correct that then the price we pay will go up.

 

[CrappieKeith]

Boy keith that sure is a lot of reading can someone summerize that for me.looks pretty offical I dont use heating oil thankfully i do use natural gas But My step mom heats with wood and thats why Im on here and I enjoy doing splitting etc all the work

To summerize...put you butt cheeks in your hands and hold on.:msp_w00t:

 

[CWME]

Depressing to think about. My Dad is disabled and relies on oil to heat his trailer. Looks like he may be moving to assited living sooner than later with those projections.

Oil, Gas, Food, TAXES, are all way up. The paycheck hasn't been getting any bigger to compensate. Something has to give out at some point here. We can't keep on the same track we have been on.

 

[peterc38]

We need oil for hot water, but rely on the wood stove to heat the house.

Yep, I'm in the same situation. I'd been thinking about solar for heating hot water, but I think the payback time is pretty long on that. Still, save a heck of a lot of money buy scrounging and burning wood to heat the house.

 

[TermiteBuffet]

They just keep squeezing on us, little here ,little there and they wonder why the public ain't spending on non essentials , their isn't any left. For instance did you ever think you'd see 8$ a gallon bar oil? HA Termite

 

[ponyexpress976]

Oil, Gas, Food, TAXES, are all way up. The paycheck hasn't been getting any bigger to compensate. Something has to give out at some point here. We can't keep on the same track we have been on.

You can thank the federal reserve for monitizing our debt and de-valuing the dollar. If these "occupy" clowns had a brain they would all converge on Washington.

Thankfully I'm self sufficient when it comes to heat. 3 years stored and at least another years worth waiting to be processed. Grow as much as I can on my acre and have lots of friends willing to barter!