Is Home Heating Oil or Natural Gas Best for New Hampshire?
Choosing a type of home heating fuel should not be based on price alone. Energy prices have always fluctuated due to market forces. As a result, one energy source often enjoys a price advantage, even if temporarily. From 1992 through 2006, oil heating had the advantage and was a better value than natural gas in nearly every year in nearly every state of the country. From 2006 to 2010, the tide shifted and natural gas had the advantage in many states. Today, oil heating is once again a better value as prices hover below $2.00 per gallon.
Despite this, natural gas utilities are promoting conversion to gas and are targeting oil heating customers. Despite the facts, they are touting natural gas as a cheaper alternative. What they’re not disclosing is that natural gas producers are seeking market expansion. Evidence of this can be seen with the 77-mile gas pipeline that has been proposed by Northeast Energy Direct, Tenessee Gas Pipeline and Kinder Morgan Energy Partners for the southern part of New Hampshire. Expanded use of natural gas in transportation and power generation along with increased export of liquefied natural gas may increase demand and cause prices to rise. The strong forces of supply and demand will likely force oil and gas to equalize in the near future.
Volatility in energy prices are likely to continue, but it will most likely affect all fuel types equally. Customers who heat with oil can work with their providers to implement conservation measures, which include advanced high-efficiency technologies that can deliver up to a 35% reduction in home heating oil consumption.
Despite what the big gas utilities say, it still makes good financial sense to upgrade your oil heating system rather than converting to gas. Here are seven great reasons to stick with oil!
1. Natural gas prices are volatile and can rise due to supply and demand as markets expand. This would leave you with no benefit for your investment in a gas system. When prices rise, you’re stuck!
2. Switching to natural gas means dealing with a large faceless corporation. You’d likely be walking away from an excellent local business that works hard for your business only to depend on a faceless utility with no in-home service and a poor customer service record.
3. Converting your existing oil system to gas is costlier than upgrading to a high-efficiency oil heating system that can cut your fuel consumption by 30% or more.
4. A full-service oil company will provide preventative maintenance and respond to emergency service calls any time of the day or night because your business is important to them! Most big utility companies offer no in-home service forcing you to turn to an independent contractor for heating maintenance where you’ll be another small account.
5. The U.S. natural gas industry accounts for 2% of all U.S. greenhouse gas emissions simply through methane leaks! Natural gas utilities routinely ignore non-emergency leaks.
6. Oil heating is safer than natural gas. Natural gas can explode and has been known to destroy entire neighborhoods. Home heating oil, is not as flammable as most people believe. If a match were dropped into home heating oil, the oil would extinguish it.
In New England, we’re getting another break on heating oil prices this winter with potential savings of hundreds of dollars for every oil heating customer. Low oil and propane prices have been making it increasingly difficult for gas distribution companies seeking to expand in the region.
The trend is expected to continue putting more money into customer’s pockets and even out price spikes caused by inadequate gas pipeline capacity throughout New England. The latest New Hampshire survey puts the average heating oil price at close to $2 per gallon, about 50 cents lower that one-year ago. Lower energy prices and the forecast for a warmer winter mean savings of 25% for oil heat users over last winter. Why not consider putting those savings into an upgrade on your oil heating system for even greater savings in the years to come!
About M.L. Halle Oil
Halle Oil is a family owned business with a fleet of 11 delivery trucks and five service vans. We provide oil delievery and equipment service to Greater Manchester and surrounding towns. We are here to serve you 24/7/365 days a year and have been doing so since 1961.