Heating Oil Costs Soar by Nearly $900 This Winter

Heating oil costs are projected to jump by nearly $900 this winter, affecting over four million U.S. households that rely on it as their primary heating source. The National Energy Assistance Directors Association (NEADA) has updated its estimate for the second time this year, citing rising energy costs due to global oil supply disruptions caused by conflict in the Middle East.

The average household cost is expected to increase from $1,749 to $2,627, a 50% rise compared to last winter's projections. Families in the Mid-Atlantic region could spend $779 more than last year, while those in the Northeast could face even higher increases, with Vermont and Maine experiencing the sharpest rises of 77%. The cost of Brent Crude oil has surged above $100 per barrel as shipping through the Strait of Hormuz remains limited.

The increase in wholesale heating-oil prices will be passed on to consumers, despite an expected warmer winter. NEADA estimates that low-income families in the Northeast could spend an additional $1.1 billion on heating this winter.