According to the United States Department of Energy, New York is the top state when it comes to heating oil consumption.
When you’ve lived for a while in a home that is heated with heating oil, you’re very familiar with the crazy ups and downs of heating oil prices. But if you recently moved into a home that uses heating oil, you may get worried.
We’re here to reassure you. Fluctuations in heating oil prices are normal. So many factors affect heating oil prices that changes are always happening. And trying to predict where heating prices will go is challenging because of so many factors that can change suddenly and unexpectedly.
Here are some things that affect the price of your heating oil.
Weather. Did you know that the northeastern U.S. makes up 90 percent of the country’s heating oil usage? The rules of supply and demand mean that when winters are very cold, heating prices are expected to rise.
Crude oil pricing. Crude oil is a globally traded commodity. That means its price can be impacted by events happening all over the world. If big oil refineries are shut down by hurricanes or typhoons, that affects the world’s supply of not only heating oil, but other refined crude oil products include gasoline and diesel. If there are geopolitical issues, such as sanctions against an oil-producing nation, or a conflict involving oil-producing nations, speculation can cause crude oil prices to go up.
Where you live. When there are several heating oil providers in one region, competition means that prices will likely be kept down. But when there are only a few heating oil delivery companies, there’s little incentive to keep prices low so they may be higher.
That’s where Resnick Energy comes in. We make riding the highs and lows of the oil markets easier with pricing programs such as our Smart Cap Budget Plan and Pre-Buy Protection Price Plan, and our budget plan that lets you spread your heating oil costs over 11 equal payments.
Get in touch with us and find out more about how heating oil delivery from Resnick Energy can be good for your wallet!