US household energy costs projected to rise 8.7% this winter — TIME

US household energy costs could rise by 8.7% this winter, the National Energy Assistance Directors Association forecasts. The projected increase is more than twice the latest annual inflation rate of 3.4%, according to an op-ed in TIME by Sanya Carley, a professor at the University of Pennsylvania.

Fuel and heating are becoming more expensive

According to AAA data cited in the column, filling a 14-gallon gasoline tank now costs about $62, compared with $44 a year ago. If a driver uses a full tank each week and this price difference remains, additional annual fuel expenses would amount to approximately $912.

Carley notes that nearly 5 million US households, primarily in the Northeast, use heating oil for heating. According to her data, energy costs have already increased by almost 30% on average since 2021, while the cost of heating oil is forecast to rise by more than 31% this winter.

More current news is available on the UA.News Telegram channel Telegram.

Risks for vulnerable households

The author links the increase in costs to the US war with Iran and believes that low-income families and older people will face the greatest burden. She points out that cold temperatures indoors can raise blood pressure and the risk of heart attacks and strokes, particularly among older people.

Higher diesel fuel prices also affect the cost of transporting goods and, consequently, the prices of food, clothing, and household items. According to a CNBC survey cited by Carley, 63% of US adults live paycheck to paycheck.

Among possible short-term solutions, the author names increased funding and expanded eligibility criteria for the program that helps low-income households pay for energy. She considers reducing US dependence on oil and developing clean energy sources to be a long-term solution.