Consumers should expect to see heating fuel prices to remain stable through the winter this year, but forecasters do predict a volatile market. The majority of analysts feel that there will be no return to the $90 or $100 per barrel days, at least not to the end of this decade. Nevertheless, homeowners who are interested in finding the best fuel oil prices near me, can do some things to help save money on fuel bills. Primarily, they should search for the best Allentown fuel oil delivery companies that offer high quality heating oil. BHHC offers premium and affordable fuel oil deliveries through our quality oil dealers.
By staying on top of fuel oil prices that are expected for this winter…
you can budget appropriately for the cost of fuel oil . That way, you can set aside the right amount of money needed to heat your home comfortably. Sometimes, homeowners are blindsided by the high cost of heating their home. To compensate for this, they often lower the thermostat and compromise their family’s comfort level. This could be avoided by carefully planning ahead. In this article, we will discuss what is expected for heating oil prices this winter.
Worldwide Oil Prices
For the most part, estimates say that current worldwide oil prices, often termed Brent, will hover about $59 to $60. In the United States, oil prices typically average a little lower around $52 to $55 per barrel. The oil glut is the primary reason why fuel oil prices are so low, especially in the USA. A part of the glut has to do with the 2016-2017 winter that is characterized by higher than normal temperatures across colder areas of the country. Recently, crude oil inventories reached a record high of 528 million barrels and that means no home heating fuel shortages are expected. For homeowners, this means there is already a fairly good stock of heating oil on hand. Also, they should not see a hike in prices in the foreseeable future.
U.S. Shale Production
It is also expected that the production of American shale…
will continue to grow till the end of 2017. This contributes to a larger supply of domestic oil. Although there have been cuts in OPEC production worldwide and vis-à-vis that is occurring between American and OPEC markets, the banks maintain lower forecasts. This is because OPEC projects that a new supply of oil will be on the market as production cuts expire. For this reason, there should be a drop in heating oil costs with a renewal of the American market glut.
Recent projections for oil prices have been offered by major players such as those that follow:
- Goldman Sachs-$55.39
- BP-$55 to$60
The daring prediction came from JP Morgan stating expectations that crude oil prices may fall to a price of $42 per barrel. At the same time, some forecasters say that there could be a slight increase in prices. However, the trend does not support that, but the converse is true. While fuel oil prices have become more steady from the 2016 lows, consumers should not see any significant increases any time soon.
What Can Consumers Expect?
At the current time, heating oil prices in PA…
are balanced without being high enough to illicit concern for the average homeowner using oil to heat their homes. Prices today are about half the 2014 prices. Still, there are a number of factors that might create volatility for the market and shoot the prices back up.
It is possible for OPEC to again reduce production or extend current cuts. The upheaval of Venezuela’s political environment may further affect what the market does and Iranian sanctions can be of concern since it is now a major producer of oil.
Currently, the United States isn’t dependent upon imported oil supplies. There are 727 million barrels stored in the Strategic Petroleum Reserve. Additionally, estimates claim that there are about 2 million more barrels in the Northeast Heating Oil reserve. Simply put, you can rest assured that you will have no reason to fear that the supplies of fuel oil will be running low any time soon. That means you and your family will stay warm and comfortable without paying high prices throughout the entire coming winter.
Best Allentown Heating Oil Delivery Companies
Better Home Heat Council was established as a way to provide heating and energy resources for individuals throughout the Lehigh Valley. We aim to educate homeowners and business owners about the the benefits of heating a home with fuel oil. Topics that we cover tend to include energy efficiency and how heating oil is one of the most energy efficient fuels available. BHHC also discusses topics that inform individuals on ways to improve the energy use in their home or business.
By reading these resources, our audience is able to reduce their heating and cooling costs. Not only that but we can connect you with many local oil companies throughout the Lehigh Valley which offer a range of services and products, including the best Lehigh Valley heating oil prices. Click here to connect with a professional home heating oil delivery company in your area. Some of the services they provide include heating and cooling services such as heater tune-ups, repairs, professional maintenance, and installations. These services help reduce your energy bills while enhancing the comfort levels of your home. Click the button below to find a dealer that offers the best price of heating oil per gallon today.
Some of the areas we service include: Allentown, Bethlehem, Easton, Whitehall and these zip codes: 18101, 18015, 18042, 18052 as well as all surrounding areas in the Lehigh Valley.