Heating oil costs projected to rise 31% this winter

Households relying on heating oil are projected to face a 31.3% increase in costs this winter, with average seasonal expenditures estimated at approximately $2,300. This surge is attributed to rising crude oil prices, which remain above $100 a barrel due to the ongoing conflict with Iran.

An analysis by the National Energy Assistance Directors Association (NEADA) indicates that overall winter heating costs across all fuel types are forecast to rise by 8.7%, a rate more than double the current inflation rate. The heating season is expected to run from mid-November to mid-March.

The Energy Information Administration (EIA) projects that retail heating oil will average $5.66 per gallon in the fourth quarter and $4.94 in the first quarter of 2027. Heating oil prices have already reached $6 per gallon in parts of the Northeast, representing a 60% increase over the previous year.