Heating oil prices have surged by 70% compared to last year, putting a financial strain on Northeast residents as they prepare for winter. The Energy Information Administration estimates that households relying on heating oil could face 21% higher heating costs this season. About 3% of U.S. homes use heating oil, with the majority located in the Northeast.
Todd Lavalley, a heating oil delivery driver for Gillespie Fuels and Propane in Vermont, described the process of filling a home's oil tank. Unlike gas stations, there's no automatic shutoff, so drivers must listen for a high-pitched whistling sound to determine when the tank is full. The current price of heating oil, over $6 per gallon, is a record high, driven by global refinery outages caused by wars.
High prices are squeezing both residents and delivery companies. Matt Cota, a lobbyist representing heating oil delivery companies, noted that higher prices reduce profits for delivery companies due to increased transportation costs and longer payment times. Some residents locked in lower prices earlier in the year, securing a rate around $4 per gallon, which now looks like a favorable deal.
Fuel assistance programs are seeing increased demand. Sue Rossi, outreach director at Capstone Community Action in Vermont, reported a surge in inquiries about fuel assistance. The nonprofit has started distributing funds earlier than last year to help the most vulnerable residents, with a maximum assistance limit of $500, though they are considering raising it due to the high costs.