What This Winter’s Heating Bills Could Look Like, and How to Lower Them
This winter’s heating bills will depend heavily on the fuel your home burns. Americans who heat with natural gas or propane should pay less than last year, while those who rely on heating oil or electricity face higher costs, the U.S. Energy Information Administration said Tuesday in its 2026-27 winter fuels outlook, according to Dow Jones Newswires via Morningstar.
Homes heated with natural gas are expected to spend an average of $640 for the November-through-March period, down 9% from last winter. Propane users should spend about $1,246, down 3%. Electric-heated homes face an average of $1,196, up 4%.
The sharpest increase falls on heating oil, the most expensive way to heat a home. The EIA projects average oil-heating spending of $2,115 for the winter, up 21% from last year, driven by global crude oil and distillate prices that are up more than 30%, the agency said.
Oil heat is concentrated in the Northeast, where about 82% of the nation’s heating-oil consumption occurs and some 3.4 million households still rely on it. The Northeast is expected to see a milder winter, which helps a little, but not enough to offset the higher fuel prices, according to the EIA.
In the Philadelphia area, where many homes heat with natural gas and some older homes still burn oil, the split matters. Gas-heated households are on the cheaper side of the forecast this year, while oil-heated homes could see some of the steepest bill increases.
There are practical ways to cut any bill. The Energy Department recommends setting the thermostat to 68 degrees while awake and lower while asleep or away, and says lowering the setting for eight hours a day can trim heating costs.
Sealing drafts is one of the cheapest fixes. Weatherstripping around doors and caulking around windows keeps warm air from leaking out. A yearly furnace tune-up and regular filter changes keep the system running efficiently, which means less fuel for the same warmth.
Calling your utility about a budget billing plan spreads payments evenly across the year so winter bills do not spike all at once. Low-income households can also ask about the federal Low Income Home Energy Assistance Program, known as LIHEAP, which helps with heating costs.