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Govt Promises Us Lower Heating Costs

From a context free Associated Press:

Gov’t to consumers: break on winter heating costs

By H. Josef Hebert, Associated Press Writer

WASHINGTON – There’s good news for people worried about winter heating bills.

People using natural gas this winter stand to save $105, compared with last year, and propane users will get even bigger savings, the government said. Households that use heating oil or electric heat also are expected to spend less during the heating season.

The Energy Information Administration said in its annual winter outlook Tuesday that lower fuel costs across the board and an expected milder winter will cut average heating costs for the upcoming season by 8 percent compared to last year — to about $960.

Households are expected to pay an average of $783, nearly 12 percent less than last winter, for natural gas, and $1,821 for heating oil, about 2 percent lower. People using electric heat will pay $933, a decline of 2 percent and those using propane $1,667, or 14 percent less than last winter, the agency said.

The report cautioned that the projections reflect average costs and that expenditures for individual households will vary depending on local weather conditions, the size and energy efficiency of homes and the efficiency of heating equipment.

About half of all households depend on natural gas for heating, especially in the Midwest where seven in 10 homes use the fuel. People in the Midwest also are expected to benefit from a milder winter, compared to last year, and see natural gas bills 15 percent lower than last year, the agency said.

The report said natural gas inventories approaching the heating season are expected to be at a record high of more than 3.8 trillion cubic feet. Wholesale prices are well below last winter and the EIA said prices are expected to remain low through October and then increase slightly as demand picks up.

The nearly 8 million households that use heating oil, primarily in the Northeast, can expect to save an average $40 to $60 compared to last winter. The agency said residential heating oil prices in the Northeast is expected to average $2.64 a gallon this winter, 2 cents less than last winter, but a significant drop from the average $3.31 a gallon that consumers paid two winters ago.

The biggest savings will be seen by users of propane where households are expected to save an average of $280 this winter, a decline of 14 percent. Propane users in the Midwest are expected to save as much as 21 percent compared to last winter because of a combination of lower fuel prices and milder weather, the agency said.

The agency said nearly 58 million households, or 52 percent, use natural gas for heating and another 39 million, or 35 percent, rely on electricity. Nearly 8 million households, or 7 percent, use heating oil and about 6.2 million rely on propane.

The report covers the winter period from October through March…

This is a very peculiar report, even by the standards of a government agency (and the Associated Press). It looks as if the Energy Information Agency and their stenographers at the AP are simply trying to manufacture some good news.

The claims seem is based upon the prediction that oil/natural gas prices will decline. Which, of course, may or may not be true.

It is also contingent upon the premise that we will have a mild winter. When, of course, they cannot predict the weather. And of those who try, most are predicting a cold winter for the US.

Weirdly, the rest of the report from the EIA which we have excised is bemoaning carbon emissions.

Still, if this is good news, why isn’t ‘global warming’ good news?

This article was posted by Steve on Tuesday, October 6th, 2009. Comments are currently closed.

7 Responses to “Govt Promises Us Lower Heating Costs”

  1. wirenut says:

    Santa Claus, The Easter Bunny and Saturn are hiring with big sign-up bonus’s too! I just knew Cap and Trade would come through.

  2. proreason says:

    Good news!!

    The Obamyites destroyed the economy to get the Moron elected.

    Now 30 million people are out of work.

    Because of that, the demand for natural gas and fuel oil is way down. People generally give up being warm before they give up eating.

    Since demand is down, the price is down.

    You can thank the current administration.

    Aren’t they great?

  3. Kytross says:

    Still, if this is good news, why isn’t ‘global warming’ good news?

    Well, global warming requires the globe to warm. The opposite has been happening for lo these many years.

  4. Confucius says:

    The Farmer’s Almanac is predicting a winter that will be colder than normal.

  5. beautyofreason says:

    “People using natural gas this winter stand to save $105, compared with last year, and propane users will get even bigger savings, the government said.”

    Uh-huh. And how much more money will the new car emission standards and carbon “reforms” cost us?

  6. canary says:

    I told this store guy I felt I wasn’t getting as good as milage to the gallon lately, and he told me told me that they are putting more ethyl alcohol in the gas. He said some stores put signs up when they get 100% gasoline in.

  7. Liberals Demise says:

    All the while at the WH Plantation it will remain a ‘balmy’ 85 degrees because barry is from Hawaii.

    (way to put the slaves in their place)

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