Consumers Could Shell Out $14 Billion More on Energy This Winter
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Consumers may be forced to collectively shell out over $14 billion more on electricity and heating costs this winter compared to a year ago, according to a new report from the Consumer Energy Alliance (CEA).
It comes at a trying time for the country as consumers grapple with painfully high inflation, which just accelerated in September, jumping 8.2% from a year ago. That marked its fastest pace in four decades.
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The rise in heating costs this winter will only exacerbate the pressure on households, according to the CEA. To bolster its point, the advocacy group cited recent data from the Energy Information Administration (EIA) estimating how energy prices will increase across the board.
The rise in heating costs this winter will only exacerbate the economic pressure on households, according to the Consumer Energy Alliance. ( Yui Mok/PA Images via Getty Images / Getty Images)
“Forecasting months-long weather and energy trends is not an exact science, but it’s highly likely that global dynamics affecting energy commodities will lead to higher U.S. prices for heat this winter,” EIA Administrator Joe DeCarolis said in a recent statement.
Households that rely on natural gas as their primary heating source are estimated to spend about $930 this winter, due to higher expected prices and consumption, which is a 28% increase over last year, according to the EIA.
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Meanwhile, consumers are estimated to spend $2,354 on heating oil, up 27% from 2021, according to the EIA. Additionally, electricity is estimated to rise 10% this winter, costing consumers roughly $1,359. The EIA also estimated that consumers will spend $1,668 on propane, a 5% increase from last year.
Companies such as Consolidated Edison Inc., which provides energy for roughly 10 million people who live in New York City and Westchester County, have already started “urging customers to take actions now that can help them manage costs this winter as market prices for electricity and natural gas are expected to be substantially higher.”
Households that rely on natural gas as their primary heating source are estimated to spend about $930 this winter, due to higher expected prices and consumption, which is a 28% increase over last year, according to the Energy Information Administrati (Gado/Getty Images / Getty Images)
The CEA said “bad policy decisions” by the administration were driving the price increases, although other experts, including the EIA, argued that there are a number of global factors affecting energy commodity prices.
“By enacting a moratorium on oil and gas development on federal lands, cancelling future federal lease sales, blocking pipelines and restricting energy infrastructure development, the strategic advantage the United States enjoyed after becoming the world’s largest oil and natural gas producer two years ago has all but faded,” the CEA said.
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Nick Loris, vice president of public policy for C3
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
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