2014-2015 Heating Oil Prices Expected To Be Lower
It appears as though the average cost of a gallon of home heating oil will be less this year than last year. While there is certainly a lot of turmoil in the Middle East and the world, it is nice to know that heating oil prices are expected to drop. The New York Times just ran an article outlining some of the energy pricing forecasts for this winter season, here is a snippet from their article that specifically discusses heating oil:
Homes that rely on heating oil, mostly in the Northeast, can expect to spend 15 percent less this winter because of the recent drop in world oil prices. (source: http://www.nytimes.com/2014/10/08/business/energy-environment/us-consumer-energy-costs-expected-to-decline-this-winter.html?_r=1)
According to this article, the drop in pricing is attributed to a warmer than usual winter. However, we are seeing conflicting weather forecasts, predicting a slightly colder winter, over a ten year average. We think that the decreases in heating oil prices are due to a combination of several factors such as the increased domestic production of oil as well as supply and demand pressures from other energy sectors.
The same NY Times article discusses the increase in domestic oil production in the United States;
The Energy Department noted that daily oil production in September averaged 8.7 million barrels, the highest monthly total since July 1986. Natural gas production is also rising, and there has been a record build in inventories largely because of the “mild summer that resulted in less electricity generation to meet air-conditioning demand,” Mr. Sieminski said in a statement. (source: http://www.nytimes.com/2014/10/08/business/energy-environment/us-consumer-energy-costs-expected-to-decline-this-winter.html?_r=1)
When you order your home heating oil from RF Ohl, rest assured that we have pricing protection plans in place to help you save money. Contact one of our heating specialists to discuss the best plan for your circumstances. We make ordering your home heating oil as easy as 1-2-3!
Call us at (610) 377-1098