Dec. 12, 2005: EIA Expects High Energy Prices Through 2006
In its new Short Term Energy Outlook, the EIA expects elevated energy prices due to continuing tight international supplies and hurricane-induced supply losses, combined with a projected 2 percent increase in U.S. energy demand. There is some good news, though: October and November were warmer than anticipated, so the EIA has slightly reduced its projections for this winter's heating costs.
On average, says EIA, households heating primarily with natural gas likely will spend 38 percent more for fuel this winter than last winter. Households heating primarily with heating oil can expect to pay, on average, 21 percent more this winter than last. Households heating primarily with propane can expect to pay, on average, 15 percent more this winter than last. Households heating primarily with electricity can expect to pay, on average, 7 percent more.
Publication date: 12/12/2005