Dutchess County residents are buying heating oil in smaller quantities, spreading payments over the year and turning to firewood as rising prices put pressure on household budgets and heating-assistance programs.
New York’s average heating-oil price reached $6.16 a gallon in the state, according to the state’s Research and Development Authority’s Sept. 28 survey. That’s up nearly 66% from the same week last year, when a gallon cost $3.73.
A 200-gallon delivery at that price costs about $1,232, compared with $746 a year ago — an increase of about $486.
Assistance dollars stretched thin
New York residents can apply for the Home Energy Assistance Program, which provides assistance with home energy needs for low income, older individuals and families. HEAP services include financial assistance with fuel bills and referrals for weatherization service.
Basic heating benefits ranged from $400 to $900 last year, depending on an applicant’s living situation and heating method.
For those seeking longer-term fixes, New York’s Heating Equipment Repair and Replacement benefit provides $4,000 to repair or $8,000 to replace furnaces, boilers, or other essential heating equipment.
There’s also the Clean and Tune Benefit, which offers up to $500 to improve energy efficiency in the home. That could mean chimney cleaning, minor repairs, installation of carbon monoxide detectors, or programmable thermostats.
Eligibility depends on household income and size or participation in qualifying public-benefit programs. Dutchess County residents can check their eligibility at myBenefits.ny.gov or by calling the Dutchess County Department of Social Services at 845-486-3250.
Across the border in Cornwall, Connecticut, Rebecca Hurlburt, the town’s social services director and municipal agent for the elderly, said her biggest concern this heating season is how little fuel residents’ assistance will buy.
Cornwall’s Food and Fuel Fund helps low-income and vulnerable town residents pay for heating, utilities and other emergency needs.
The fund is supported by state grants Hurlburt applies for and monetary donations, she said.
The local allowance remains $1,400 per household for the season, according to Hurlburt. At $6 a gallon, that buys about 233 gallons of heating oil per year.
“The allotment amount is going to disappear at $6 a gallon,” Hurlburt said. “I don’t know how people are going to do it between the rising cost of gas, heating oil and food. It definitely creates anxiety and insecurity.”
In previous years, Hurlburt said, she might have been able to tell a client twice a year, “I’ll fill your tank.” Now, she may have to arrange smaller deliveries of about 100 gallons at a time.
“For me, the challenge is I can’t fill a tank anymore,” she said. “A 300-gallon tank, I can’t fill that.”
Hurlburt worries about what will happen as the winter progresses and assistance runs out.
“I really think people don’t get what’s going to happen this winter,” she said. “A month from now it could be worse. What happens when I run out?”
Cornwall has not seen a significant increase in residents seeking local assistance over the past three years, she said. She expects the heaviest demand between October and December, with the full impact of higher costs potentially becoming apparent in January.
Customers change how they buy
Local fuel dealers are already seeing changes in how customers purchase and budget for heat.
At Klebe Fuel Co. in Winsted, Connecticut, Operations Manager Gerry Greco said participation in the company’s budget program is up about 10% from last year.
The company’s Flex-Pay plan divides estimated annual heating costs into 11 equal monthly payments, helping customers avoid large bills when oil is delivered.
“We are having a lot more people go on budget programs,” Greco said.
For customers with limited or fixed incomes, he said, spreading out the expense can make payments more manageable. “They don’t have to come up with $1,000 to $2,000” at one time.
Greco said the company has also received more calls since Oct. 1 as colder weather approaches. Some customers have asked about smaller deliveries, although the company’s minimum is 100 gallons.
At Warren Valley Oil & Propane, which serves Litchfield County, co-owner and operator Ryan Curtiss said the company became busier earlier than usual this year.
Customers interested in price protection should contact their fuel supplier for current offers, including the price per gallon, contract duration, minimum purchase and any fees.
“We are definitely seeing a mix,” Curtiss said. Some customers are taking minimum 100-gallon deliveries rather than filling their tanks while hoping prices will fall.
The market has been unusually volatile, Curtiss said, with prices sometimes moving 30 or 40 cents during a day before settling at a different level.
“It’s been very tricky for customers to try to identify the bottom as it has been for us to price it,” he said.
At Jasinski Fuel Service in Harwinton, owner Johnnie Jasinski said customers are similarly watching their wallets, particularly those living on fixed incomes.
“Right now, with the price of heating oil trending toward the higher side, they’re scared,” Jasinski said.
“I tell people, if you don’t need it, don’t buy it,” Jasinski said, explaining that he watches the market and will call customers when he sees prices moving lower.
Turning to wood for supplemental heat
Higher heating-oil costs are prompting some homeowners to turn to firewood for supplemental heat. A cord of firewood goes for between $150 and $300 in Dutchess County, depending on the source and willingness to pay for kiln-dried firewood. If used with an occasional fireplace, a standard home will use between one and two cords over a full winter.
At Slate Ridge Farm in Sharon, owners Chris Andrews and Chelsea Weintraub said their firewood business is experiencing its busiest season in the three years they have been selling wood.
Normally, Andrews said, the peak buying season runs from October through December. This year, customers began placing orders in June, July and August.
“This year it started earlier,” Andrews said, noting that one returning customer bought three times the usual amount of firewood, something the business had not seen in previous years.
Slate Ridge sells kiln-dried firewood for $690 a cord and seasoned firewood for $520 a cord. The wood is harvested from the 125-acre farm. Andrews said the kiln-dried price had been about $580 a cord before rising diesel and other operating costs pushed it higher.
Delivery is included in the per-cord price for customers in Sharon and nearby Amenia, N.Y. Deliveries elsewhere within the farm’s Northwest Corner service area cost an additional $30 per hour, Andrews said. Although he receives inquiries from across Connecticut, he limits deliveries to the local area.
The owners also supplement oil heat with firewood in their 1800s farmhouse.
“We use firewood to help supplement our own heating oil,” Weintraub said.
Andrews said several customers are converting to outdoor wood-burning furnaces, which heat water that is then circulated through a home. He estimated the systems can cost $15,000 or more.
Jasinski said he has also seen increased interest in firewood for supplemental heat, particularly following the July 4 storm that brought down trees in Harwinton and across the region.
“I know the price of oil is ridiculous,” Jasinski said, “but you have to be careful when the temperature drops below freezing.”
Photo by Kirsten Edlund-Tunkel
