The Energy Information Administration (EIA) has released data on projected energy costs, indicating that Americans can expect to pay higher fees for natural gas for the upcoming winter.
The EIA said it forecasted that U.S. households that primarily use natural gas for heating will spend an average of $931 on heating this winter – a whopping 28%, or $206, more than last year.
Nearly half of all U.S. homes rely on natural gas as the primary heating fuel, according to the U.S. Census Bureau’s 2021 American Community Survey.
The expected increase in natural gas bills, according to the EIA, is due to higher retail natural gas prices. The agency said it expected retail natural gas prices to rise 22%, from $13.02 per thousand cubic feet (McF) last winter, to $15.95/McF this winter.
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Off all regions, the EIC projected that the Midwest would increase the most nationally, by 27% compared with last winter, to $13.80/Mcf.
“This winter, we expect colder temperatures and slightly more household consumption to contribute to higher natural gas bills compared with last winter,” the EIC said. “For households that use natural gas as their primary space heating fuel, we expect average consumption this winter to increase by 5%, or 58.4 Mcf, from last winter.”
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President Biden has taken a number of steps since taking office to disincentive fossil fuel production. Oil production on federal lands and waters fell to less than 12 million barrels per day this month, more than a million barrels less than its March 2020 pre-pandemic level, according to federal data. Gulf of Mexico oil production remains about 250,000 barrels per day lower than pre-pandemic levels.
FOX Business’ Thomas Catenacci contributed to this report.
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