Winter Heating Costs Spike: How Much More Will IL Residents Pay?

ILLINOIS — Home heating costs in Illinois are expected to rise sharply this winter, especially for households that use natural gas and heating oil, which will cause the average family to pay more than $1,000 in heating costs this winter, the Energy Department said Wednesday.

The bleak report sparked worry by some that local home heating assistance programs may not be able to make up the difference for struggling families.

The agency projects natural gas bills across the nation will jump by 28 percent over last winter, heating oil bills will go up 27 percent, electricity will be 10 percent higher, and propane will cost 5 percent more.

The Energy Department projects the average household in the Midwest will pay about $1,013 to heat their homes with natural gas this winter, an increase of 28 percent.

The Energy Department also projects that the cost of electricity will also spike for homeowners across the country. The utility predicts that the average household in the Midwest will pay about $1,437 to heat their homes with natural gas this winter, an increase of 8 percent.

The surge in home heating costs comes on top of stubborn inflation that is raising the price of almost everything. Inflation rates accelerated last month with consumer prices, excluding the volatile food and energy sectors, growing 6.6 percent, the fastest such pace in four decades. Overall, the September Consumer Price Index was up 8.2 percent from the year prior.

People who need help paying their heating bills should check to see if they’re eligible for assistance under the federally funded Low-Income Home Energy Assistance Program. In Illinois, the state offers assistance to low-income families who may be struggling to keep their bills paid. With winter coming, residents across the state who may fall into this category are eligible to receive financial help in keeping their homes heated during the cold and snowy months. More information about the state program can be found here.

Congress added $1 billion to the LIHEAP fund, strained during the third-hottest summer on record, bringing it to $4.8 billion. But the amount of assistance available falls short of last year when pandemic relief packages took the fund to $8 billion.

Advocacy groups across the country are pressuring utilities to implement a moratorium on winter shut-offs.

The projected spike in winter’s heating bills — the highest in more than a decade, according to the National Energy Assistance Directors Association — is the result of converging factors.

Global energy consumption has rebounded from the early days of the pandemic, and supply was barely keeping pace before the war in Ukraine further reduced supplies. The situation is even bleaker in Europe, where Russia’s continued curtailment of natural gas is pushing prices upward and causing painful shortages.

Anxiety is growing among consumers across the country. The pain will be especially acute in New England, which is heavily reliant on heating oil to keep homes warm. It’s projected to cost more than $2,300 to heat a typical home with heating oil this winter, the Energy Department said.

“People are scared. They’re worried. They’re frustrated,” Lisa McGee, who coordinates the heating aid program in Lewiston, Maine, told the Associated Press. “There’s more anxiety this year.”

Mark Wolfe, the executive director of the National Energy Assistance Directors Association, said a “crisis is coming.”

“There’s a lot of uncertainty and factors in play that could drive prices higher,” he told the AP.

The Associated Press contributed reporting.