Heating-oil Price Shock Sets In

[Purveyor]

Source: TRIBUNE-REVIEW NEWS SERVICE

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"People are panicking. They're calling every other day, every day," said Adams, owner of Adams Petroleum in Emsworth, a family business that's been delivering heating oil for nearly 75 years.

"They ask me, 'What should we do?' I tell them, 'My crystal ball is cloudy, I don't know,'" Adams said.

The only certainty concerning heating oil, electricity and natural gas used for heating homes this coming winter is that prices are rising -- quickly and substantially, experts said.

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"Heating oil is expensive. It's already at a near-record price and it's not even cold yet," said Phil Flynn, an analyst at Alaron Trading Corp. in Chicago. "Prices have been going up each year but this year's prices could really shock people."

The Energy Information Administration projects that for this winter heating season, which began Oct. 1 and runs through March 31, Northeast retail heating oil prices will be about 40 cents a gallon higher than one year ago, averaging around $2.89 a gallon.


Read more: http://www.pittsburghlive.com/x/dailycourier/news/s_534754.html

[beberocks]

1. Gee, I wonder how many people took this into consideration when they bought their McMansions. n/t

[bigscott]

2. i have a very modest house

and a wood stove and heating oil still costs 3.00 per gallon - with a 300 gallon tank. 3 or 4 tanks to get through a long New England winter

you do the math -

your statement is pretty ignorant

[beberocks]

4. Sorry, all I meant to say is this will compound the mortgage problem.

Most people caught up in the real estate bubble didn't think about anything but getting a big house. Many people didn't even know what type of mortgage they signed up for. I'm pretty sure that figuring out how higher heating costs will affect their finances was not on their priority list.

[yy4me]

26. We are retired and believe me, the cost of oil compounds

a lot more than just our mortgage. It compounds our ability to eat, to pay our bills, drive our car, pay for medical care. Forget Medicare, part D, had to do without.

This tyrannical government is causing serious fear and desperation among the citizens of these united states.

[sarge43]

5. I'll second that

We too have a modest house in NH and it's well insulated. We buy a year's worth of heating oil. I'm estimating o/a 3K this year.

[truthisfreedom]

14. self-delete

[SujiwanKenobee]

16. Somehow I doubt this will affect owners of McMansions

Seems to me that most heating oil customers I know of live in older homes. Many modern homes are heated by electric or gas heat and noe of the big bank-busters going up around me are going to have oil heating.

[depakid]

22. Wait'll you see what's in store for those heating with gas

It's already in depletion in North America- and it depletes faster and less predictably than oil....

[trogdor]

19. Most of those don't heat with oil.

Most homes that do are located in the Northeast US, a solid block of blue states. Not exactly the folks BushCo gives a shit about.

I guess I'll be knocking our thermostat down to 60 this year. Those six cords of waste maple scraps I had to split last year will burn nice and hot. Everybody's getting sweaters this year for Christmas.

[BonnieJW]

20. Please don't take this to be unsympathetic,

because I am most sympathetic to everyone in this stressful situation, but it's healthier to keep the thermostat at 60. You experience less colds and flu because your nose and mouth don't dry out and there isn't as much dust flying around. When I was having babies many years ago, our pediatrician told me to keep the thermostat down to 60. I was shocked to think that was good for a newborn to be in a cold house, but he said people who turned up their heat to 70 all had sick babies and ear infections. He suggested just putting them in fleece sleepers with a quilt and turning down the temp. He said we would feel better too. We've followed his advice all these years and we never get colds or flu.

[trogdor]

21. Thanks.

As a matter of fact, I had my electronic thermostat at something like 64 daytime/62 evening/60 overnight last year. You dress accordingly (the aforementioned Christmas sweaters) and get used to it fairly quickly. After an hour of snowblowing my driveway (all 160 feet of it), it still feels toasty when you go back inside.

[natrat]

3. well maybethey should have voted for progressives

[Terran]

6. Pfft. How do you know they didn't? n/t

[AndyTiedye]

9. Most of those Cold Northern States Are Blue. Went for Gore and Kerry

[Xipe Totec]

13. Now you know why we're blue states

[aquart]

12. Yeah, anyone who doesn't vote like you should freeze.

[rich1107]

7. How about veg oil as a substitute...

Here is one outfit that claims it can be done.

http://www.dieselsecret.com/heatingoil.html

[meow2u3]

10. ...or even used motor oil

One can conceivably put their used motor oil into the oil tank after he or she has changed the oil in the car, can they?

[midnight armadillo]

28. A little would be fine

There are specialty burners that'll directly burn motor oil, they're often found in mechanic's shops where there's a steady supply of waste oil.

In a regular furnace, the motor oil is going to be thicker than the heating oil and too much wouldn't be a good idea. 4 qts of motor oil in a 300 gallon tank isn't going to hurt anything though, methinks.

[SpiralHawk]

8. "Smirk" - republicon oil cronies

[The2ndWheel]

11. When we submit more of our lives over to corportions and governments

(for ease and comfort), what else would we do but panic in any and all situations?

[NinetySix]

15. Please indulge me for a moment while I gloat...

...but I live in Canada, where a) oil is so plentiful that we're the single largest exporter to the US market, so there's more than enough to go around here; b) the Canadian Dollar, or Loonie, is now above parity against the Greenback for the first time in over 30 years, so it's cheaper still; and c) prices for home heating oil are thus relatively stable.

Canadians are about as critical of BushCo foreign policy as the most left-leaning elements of US dissenters, and yet it is in part because of those policies that Canada is being enriched enormously, while remaining relatively unaffected by their fallout. Ironic, ain't it, Georgie?

The truth is, however, that it's a great deal more relief than joy. Canada is COLD in the Winter.

[Lone_Star_Dem]

17. Here comes $100 oil, and $3 gas

http://money.cnn.com/2007/10/26/news/economy/gas_oil/index.htm?postversion=2007102612

NEW YORK (CNNMoney.com) -- With oil prices setting records over $90 a barrel and $100 looking ever more likely, experts say there's a good chance drivers will see $3 gasoline before the end of the year.

"Three dollar gasoline in this market is unavoidable," said Stephen Schork, publisher of the industry newsletter the Schork Report. "At this rate, we're going to see $4 a gallon."

Crude oil prices have soared nearly 30 percent over the last month, mainly over fears that supply won't meet demand, a falling U.S. dollar, and what some say is a high degree of speculative investment money.

<snip>

Schork also said a lack of refining capacity means U.S. refiners will struggle to produce both gasoline and heating oil, so the country will end up importing more gas during the holidays. And he noted that importing gas with a weak U.S. dollar is an expensive proposition.

"We could easily see $3 by the end of the year," he said.

---------------------------

I know many people who argued with me that oil would never hit $100 a barrel. I'm not convinced it will this year, but if it doesn't I know it will next year. I also expect the price of fuel next summer is going to send the American consumer into shock.

[Zhade]

23. Uh, we've had $3 gas in SoCal for a while now.

We WISH it would go back DOWN to $3!

[Lone_Star_Dem]

24. I think the article is referring to average price.

Even at that I think they're being very optimistic. The average price has to be over $2.80 already.

[sarcasmo]

27. It's already 2.99 in Michigan try 3.99 this summer if not sooner.

[siri2k]

18. Bush's war against the poor and middle class continues. n/t

[133724]

25. Next door neighbor paid about $3.75 a gallon in North Seattle...

I put a heatpump in about 3 years ago and it has cut the heating bill in half.....(and that was 3 years ago)...