Heating Oil Prices Tumble as Summer Heat Strengthens and Demand Weakens

June 25, 2012

Augusta, Maine – The Governor’s Energy Office (GEO) is conducting a monthly spring/summer heating fuel price survey. On Monday, June 25, 2012 the current statewide average cash price for No. 2 heating oil is $3.27 per gallon, a 29 cent reduction since May 25.

“Heating oil prices continue to drop as summer begins and demand weakens,” said GEO Director Ken Fletcher. “While it’s difficult to predict where prices will go, this is a good time for consumers to examine their needs regarding their expected heating finances and consumption for the upcoming winter. For example, some fuel companies allow customers to purchase heating oil in advance to lock in a price and automatic delivery. Under a new law, fuel dealers who offer prepaid contracts for home heating oil, kerosene and propane must register their intent to offer such contracts with the Maine Department of Professional and Financial Regulation by June 30. This law is intended to protect consumers and discourage dealers from failing to meet the terms of prepaid contracts. Energy efficiency improvements, weatherization and alternative heating system options should also be investigated.”

The Governor’s Energy Office has included a calculator on its web site that will allow consumers to estimate home heating costs and price impacts of the various energy sources. Check it out!

As of June 25, 2012


Heating Oil

Statewide

Southwest

Central

Eastern

Western

Northern

Average

3.27

3.16

3.39

3.26

3.24

3.47

High

3.83

3.35

3.83

3.45

3.40

3.60

Low

3.00

3.00

3.07

3.10

3.03

3.40

Kerosene

3.71

3.63

3.81

3.63

3.71

3.87

  Propane

2.82

 

 

 

 

 

It is important to note that the price for heating oil is a statewide average and that prices in a given geographic region of the state may be considerably higher or lower than the statewide average. Within the Energy Office sample, the lowest actual heating oil price of $3.00 per gallon can be found in the Southwest region. The highest price of $3.83 per gallon was found in the Central region. The statewide kerosene price average is $3.71 per gallon at this time. The statewide average for propane based on a use of 925 gallons a year is $2.82 per gallon. The table above provides current Maine cash prices in dollars rounded to the nearest penny. On June 25, the price of WTI crude oil, a major driver of refined petroleum product prices, including heating oil, was at $78.40 per barrel.

Efficiency Maine links Maine homeowners and businesses with qualified, certified contractors who provide access to energy improvement options. For program details call 866-376-2463 or visit www.efficiencymaine.com.

For Immediate Release

Contact:
Michael Barden
(207) 624-7436