Many Suffolk County homeowners rely on oil to heat their homes, and for good reason because this fuel source offers many benefits. It’s extremely efficient, it’s very safe, and it’s readily available. Compared to other fuel sources, historically, heating oil has been cost-effective. Recently, however, there’s been a marked uptick in home heating oil prices. According to the US Energy Information Administration (EIA), Americans are paying more to heat their homes in the winter of 2022-2023 compared to recent winters. The average homeowner can expect to pay a total of $2,354 to heat their homes with oil, a 27% increase compared to last winter. Prices do vary from region to region.
Why has the price of home heating oil increased so dramatically? Is there anything that you can do to cut your expenses and make fuel more affordable? To find the answers to these questions, please keep on reading.
What Impacts Home Heating Oil Prices?
Heating oil is a consumer product, and just like many other consumer products, the prices of heating oil are largely influenced by demand. When the demand for heating oil is low, the prices remain stable, but when demand increases, prices shoot up. Let’s take a closer look.
The Impact of Supply and Demand on Heating Oil Prices
Between the months of October and March – the cold season in the United States – homeowners who heat their properties with heating oil use more fuel to stay warm. In other words, the demand for heating oil increases at this time of the year, and as a result, the prices increase. The average Suffolk County homeowner can use as much as 1,200 gallons of heating oil throughout the winter months, but during the warm weather seasons when heating isn’t necessary, the demand for heating oil sharply decreases and in turn, the prices drop.
The Impact of Crude Oil Prices
The price of crude oil also affects the amount you pay to heat your home with oil. The US Energy Information Administration indicates that the cost of crude oil is one of the leading factors that impact the price of home heating oil. The demand for crude oil in the global market influences its cost, as do several other factors, such as the weather and the economy. The colder the weather on a global scale, the higher the demand for crude oil. Additionally, the amount of oil produced by the Organization of the Petroleum Exporting Countries (OPEC) will directly influence the cost of home heating oil around the world – including here on Long Island.
The Local Market
The local market is yet another factor that influences the price of home heating oil. The number of suppliers in a locality will impact the prices in each particular region. The more suppliers, the more competition, and the lower home heating oil prices will be. Conversely, in areas where there are fewer suppliers, the prices are higher, as the competition is lower. In Suffolk County, where heating oil is the most widely used fuel source, there are a lot of suppliers, which translates to lower prices than in other regions. That said, however, taxes also play a part in pricing, and given that taxes in New York and on Long Island are high, they drive up the cost.
How to Lower Your Home Heating Oil Bills
Fortunately, there are a few things that you can do to lower the cost of heating your home with fuel oil.
- Keep your thermostat low when you aren’t home; no higher than 68°.
- Switch to a programmable thermostat, as it’s more accurate and easier to control.
- Using a humidifier to increase the relative humidity inside your home can make it feel warmer when the thermostat is set lower.
- Shop around and switch to a supplier that charges the most affordable rates.
For the Best Home Heating Oil Prices in Suffolk County, Contact Suffolk Oil
Suffolk Oil is a leading Suffolk County home heating oil supplier. We’re committed to charging the fairest and most affordable prices, and we make the ordering and delivery process as convenient as possible. To learn more about our delivery services and current rates, give us a call or browse our website, where you can see the most updated pricing and schedule a delivery.