Tue, August 05, 2008
Severe Impact from Rising Heating Bills Projected for Massachusetts
Although most of us are still basking in the joys of summer, winter will be here before we know it. The University of Massachusetts Donahue Institute released a report today projecting the impact of increased energy costs on heating bills in Massachusetts over the next couple of years, and the news is pretty bleak.
Despite a title that may be too clever by half ("Heat Rises"), the report offers some significant findings. It projects that as many as 163,000 households will struggle to pay for heating oil in 2009. The report also estimates that the average MA household oil bill will increase by almost 50% in 2008 versus 2007. Although there has been a steady increase in households converting to the use of natural gas in the last 20 years, 36% of Massachusetts households still heat with oil, and their heating costs are expected to rise more steeply than those of natural gas users this winter.
The cost of converting from oil to gas is prohibitive for many households, and the payback period is often long unless you’re converting from a very old, inefficient oil system. I made the switch fifteen years ago, and only in the last few years has it begun to pay off. Short of an oil-gas conversion, there are other ways that households can blunt the budgetary impact of rising heating oil costs.
The Northeastern US consumes about three-quarters of the home heating oil used in the US. Depending on where you live, you may be able to join a heating oil co-operative that locks in its prices at a fixed margin above the wholesale price of heating oil. Massachusetts residents can join MassEnergy,a non-profit organization that offers discount heating oil and runs charitable programs that benefit low-income households. HeatUSA provides oil co-operative benefits to New York, New Jersey, Connecticut and Rhode Island residents.
Whether you heat with oil, gas or (eek!) electricity, if you live in a home that isn’t energy-efficient, there are several things you can do to reduce energy use in the winter.
Reducing drafts at doors and windows:
Starting in the fall, home improvement centers usually sell kits for sealing windows and doors. This can include better weatherstripping or even plastic to seal old window frames. Not everyone can afford to replace old, leaky doors and windows, but heat losses can be significantly reduced with a bit of effort.Turning your thermostat down 2-4 degrees and wearing a sweater:
I know, this seems obvious, but I’m surprised by the number of people who’ve never tried it. If you’re really eager to save a buck, sleep in long underwear so you can turn the heat down even more.Investing in programmable thermostats:
Often, your local heating utility will install one of these at no charge. Check out the Dsire site listed below to find out if your utility company offers this.Free energy audits:
Most heating utilities offer free audits to their customers, both renters and owners. In some cases they’ll subsidize the cost of improving your home’s insulation. If this isn’t available, or if you’re a do-it-yourselfer, consult the Dept. of Energy’s guide to insulating your home.Have your furnace tuned and adjusted:
This may also be offered by your local utility. Even if you have to pay for it yourself, at current prices a regular tune-up could pay for itself in reduced heating costs.
Close vents/turn off heat in unused areas:
This sounds like a no-brainer, but I often find in the winter that I forget to shut off the heat in unoccupied rooms.Use ceiling fans:
Reversible fans are a good investment for living rooms and other frequently-occupied rooms. In the winter, running a fan slowly so that it blows downward ciculates warm air that would otherwise remained trapped at the ceiling where no one can enjoy it.Have lots of friends come visit you:
Somewhere long ago I learned that that when you cool a room that will be occupied by a number of people, you must allow a load factor of about 400 BTU/person. This works in the winter too; a room full of people feels warmer than it does when you are alone. Hospitality reduces your heating bill!
You can identify incentive programs provided in your area by checking out Dsire, the Database of State Incentives for Renewables and Efficiency.
Their site includes links to rebate, loan, and grant programs for energy efficiency measures. If you’ve recently taken steps to make your home more energy-efficient, check to see if something you’ve done already qualifies for a rebate.
Congress extended a number of energy tax credits that were slated to expire at the end of 2007. The Dsire site also includes information on federal tax incentives.
Finally, if you live in the northeast, consider making a donation or providing volunteer services to local agencies that provide assistance to low-income and elderly households. As the Donohue Institute report concludes, there will be many households this winter struggling to pay for heat. In Massachusetts, heating utilities are not permitted to shut off heat to elderly and low-income households, and utilities are required to provide discounted service to low-income households. However, these protections are not extended to homes that heat with oil, because oil distributors are not regulated utilities.