Heating Fuel Prices

For Immediate Release

Contact: Ian Burnes at 287-8927

August 18 , 2008

Heating Fuel Prices Continue to Drop

Augusta--- The Governor’s Office of Energy Independence and Security (OEIS) conducted the bi-weekly summer oil survey and has found that the current statewide average cash price for No. 2 heating oil to be at $4.00 per gallon falling $.42 from last week.

Commenting on the recent drop in prices the Director of the OEIS John Kerry says, “The American people can take a significant amount of credit for the recent drop in oil prices. They have driven 12.2 billion fewer miles through June of ’08 compared with the same period in ’07. This is the first step in changing our fossil fuel dependent culture and to a sustainable energy culture and the only reliable short term strategy for bring down petroleum prices.  However many of the market dynamics that drove prices to the record levels in July remain in place; one the increase in world wide demand in oil especially from rapidly developing countries such as China and India; three the geopolitical problems in the Mideast and Africa; four the commodities speculators around the world; five the oil production decisions of OPEC, and six the continuing decline in production from non-OPEC oil supplies. The value of the dollar has climbed lately taking pressure off the oil markets.”

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 OEIS sample, the lowest actual heating oil price of $3.40 per gallon was found in the Southwestern region.  The high-end price of $4.26 per gallon was found in the Central region. The price of WTI crude oil, major driver of refined product prices, including heating oil last closed at 113.77 per barrel. The statewide kerosene price average is $4.58 per gallon at this time. The table below provides current Maine cash prices in dollars rounded to the nearest penny.

As Of August 18,  2008

For assistance please contact MaineHousing about their Home Energy Loan Program (HELP) that provides low interest rate loans of up to $30,000 to low- and moderate-income homeowners to finance a wide variety of energy-related improvements to their homes. For program details and a list of HELP lenders visit MaineHousing’s website at www.mainehousing.org or call 1-877-544-3271.
 Many projects funded through this program save more money through the improvements then the loan payments they have to make. Businesses should take advantage of Efficiency Maine’s small business loan program to make energy upgrades: http://www.efficiencymaine.com/business_programs.htm
The next scheduled survey will be on Tuesday Sept. 2, 2008.