Buffalo, N.Y. (WBEN) - Some encouraging news for your home budget as National Fuel forecasts home heating prices will go down 30 percent this upcoming winter. The utility says there are several factors helping you save this winter.
National Fuel's Karen Merkel estimates the average residential customer will pay $572, or $114 a month, to heat their home this upcoming winter. "That pretty much means a $50 a month reduction from what customers may have seen last year," says Merkel.
She says the biggest factor is the natural gas price, which is the cost that national fueled buys the natural gas for that has declined significantly since last winter. "Last winter, natural gas commodity prices spiked due to several variables, the war in Ukraine and coming off of COVID and supply and demand issues, those have now leveled off and starting late last winter, the commodity prices of the natural gas started to decrease," explains Merkel. She adds National Fuel has been able to buy more than 50% of the gas it will use throughout the winter season, and was able to put that into storage at almost a 50% reduction in price compared to last year.
Merkel says the weather last winter was deceptively better than average. "Even despite last year's crazy weather, with two major storms, at the end of the day, last winter was warmer than normal," says Merkel. She adds that's when customers start to turn their thermostats down and not use as much gas because the winter weather isn't as severe. In fact, Merkel notes our last three winters have been warmer than normal.
National Fuel considers the winter heating period to run from November to March.