Minnesotans To Pay $165 More This Winter For Heat: Xcel

TWIN CITIES, MN — Thanks to a nationwide increase in natural gas costs, the average Xcel Energy customer in Minnesota can expect to pay an increase of about $165 over the course of the winter.

Inflation and pandemic-related supply chain are to blame for the spike. Natural gas is at its highest price since 2014, and the price for heating oil has doubled in the past year.

"Production has not yet rebounded from the pandemic and there’s greater demand in the country and through exports," Matt Lindstrom, a spokesperson for Xcel Energy, told Patch.

"We don’t make a profit on fuel provided to natural gas customers or purchased for the generation of electricity as the cost of fuel is passed directly to our customers."

Lindstrom said that Xcel is working to minimize the impacts of increased natural gas prices.

"We have filled our storage accounts in advance of winter, contracted for some gas in advance, put extra inventory in our fuel oil tanks to back up power generation, and purchased financial hedges, as approved in advance by our regulators, to address a portion of the month over month price increases," Lindstrom said.

Xcel customers who are struggling to pay their bills may qualify for payment plans and energy assistance. There are incentives and rebates available as well.

Xcel also provided the following tips to reduce heating costs this winter:

Adjusting your thermostat a few degrees and installing a programmable thermostat

Open drapes and blinds to maximize heat from direct sunlight

Run ceiling fans in a clockwise direction to push warm air down from the ceiling, adding comfort and savings.

Keep interior doors open to help circulate air more freely and maintain constant heating levels.

Operate energy-intensive appliances, such as electric space heaters, water heaters, dishwashers, washing machines and dryers, during early morning and late evening hours.

Reporting from the Associated Press was used in this story.