The cost of heating homes is expected to rise this winter, which may cause Ohio University students living off campus to think twice before turning up the thermostat.
The average amount a household spends on heat is predicted to be $1,137 this year, a 15 percent increase from the estimated $986 spent last winter, according to the Energy Information Administration, an independent organization that generates statistics for the U.S. Department of Energy.
People who rely on fuel oil for heat will see the largest increase, an average of $449 more than last winter, but only 7 percent of U.S. households use fuel oil. Those who rely on natural gas will see an increase of about $155 and those with electric heat will pay $89 more.
Although we have seen very recently some drops in both natural gas and heating oil prices (compared to what) we saw this summer
we are still projecting the cost of gas and heating oil to increase said Jonathan Cogan, an energy information specialist at the Energy Information Administration.
Despite the recent decrease in gas prices, much of the nation's oil and gas was purchased when prices were higher, which keeps prices at a higher rate, Cogan said. The cost of electric heating is up because the natural gas and coal that power most electric plants is more expensive, he added.
The prediction of colder weather this winter also had a small effect on the price increase, Cogan said.
This winter in Ohio is predicted to be colder and snowier than average, said Andrew Ulrich, a meteorologist for Accuweather.com.
The estimated 4,300 Athens residents who use Columbia Gas of Ohio for natural gas heating will face higher prices than last year, at least at the beginning of winter, said Ken Stammen, spokesman for Columbia.
A lot of the natural gas being used at the beginning of the winter was bought in the summer when gas prices were still high, Stammen said. If the price of gas continues to go down, prices may change, but there is no way to know for sure, he said.
Columbia Gas also might raise their delivery charges up to as much as $5.50 a month to improve maintenance of their pipelines, Stammen said. The company is waiting for approval from the Public Utilities Commission of Ohio, which will decide on the price change by December, he said.
American Electric Power Ohio is also waiting for the Public Utilities Commission to approve a price increase, said Shelly Clark, corporate communications consultant. AEP Ohio has 25,797 residential customers in Athens, including 8,422 who use electric heat, Clark added.
If approved, the increase will charge the average customer using 1,000-kilowatt hours, an increase of $12 to $16 dollars a month beginning in 2009 and continuing until 2011 to recover fuel costs, Clark said.
This increase is part of AEP Ohio's electric security plan, said Shana Eiselstein, spokeswoman for the Public Utilities Commission of Ohio. An electric security plan is required by Ohio energy law and describes how much publicly owned utility companies charge customers for their electricity, she said.
For students living off campus who pay their heating bill as well as rent, the rising costs of heat might cause them to conserve energy.
Justin Krulock, a junior studying exercise physiology, said he and his roommates will probably try to keep their house at 102 E. State St. around 60 degrees.
None of (my roommates) are really rich and the money for the heat is going to come out of pocket he said. We all have jobs here in Athens
and we might have to work extra hours.
Even students in apartments, whose heating costs are included in their rent, might see a price increase.
Students who sign leases at Mill Street Village after December will be charged about $30 more per month, said Tina Schall, property manager. Schall kept raising heating costs in mind when deciding on the new price.
At University Courtyard, Tammi Finan the regional vice president for Ambling Management Company, which supervises the property, consults with the utility companies about heating costs before deciding how much rent to charge tenants.
Sorority and fraternities might also feel the effects of the price increase. There is discussion among some Greek organizations of increasing dues for members or rent for those living in fraternity or sorority houses to combat the rising costs of heating and other necessities, said Ben Richart, a member of Theta Chi.
Although higher heating prices can be challenging, customers usually try to conserve heat during price increases to keep costs down, Stammen said.
Whether that means putting in more efficient gas appliances or sealing air leaks
people can and will manage their usage
he said.
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