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AXIOS (Josephine Walker) - A brutal winter heating bill is coming for some homes

Americans could pay far more to heat their homes with oil this winter than last, a new analysis reviewed by Axios shows, as volatile energy markets and the Iran War deepen the affordability crisis. Why it matters: Heating bills are eating into household budgets before winter sets in, with stark divides between fuel types. By the numbers: Families that heat with oil could pay about 50% more this winter than last, according to estimates from the National Energy Assistance Directors Association (NEADA), up from its 31.3% projection in mid-September. - The average cost of heating a home with oil is expected to rise by about $878, costing over $2,600 this winter. - By comparison, the Energy Information Administration's Winter Fuels Outlook released Tuesday projects electricity bills will rise 4% nationally, while natural gas bills will fall 9% and propane spending will drop 3%. EIA expects a smaller increase on heating oil than NEADA, projecting a 21% increase in household expenditures. Northeastern households will feel the pain most acutely: about 82% of home heating oil is consumed in the region, where some states lack robust natural gas pipelines, according to NEADA data. - Just 3% of U.S. households use oil as their primary heat source, compared to about 45% using natural gas and 43% using electricity, NEADA says. The big picture: Heating oil prices are rising as global oil markets falter because of the wars in Iran and Ukraine and as refinery activity declines. - "Those trends really reflect the worst-case scenario of this war, and they are going to feel it this winter, and it's unfortunate," Mark Wolfe, executive director of the NEADA, tells Axios. What they're saying: Because of the cost, some families will cut back on food or medicine, borrow from payday lenders, or turn the heat down to unsafe levels to cover their heating bills, Wolfe says. - "With low-income families, sometimes states will move money around to help them, but they'll go without," Wolfe says. Between the lines: States can put more money toward heating assistance, but they have fewer tools to protect heating-oil customers than households served by regulated gas and electric utilities, Wolfe says. - States can require utilities to offer discounts, affordability programs or winter shutoff protections, but they generally don't apply to independent heating-oil dealers. Zoom in: Massachusetts Gov. Maura Healey declared a State of Energy Emergency Monday over rising winter energy costs, unlocking nearly $150 million in relief and expanding assistance to middle-class households that heat with oil. - Rhode Island has also declared an energy affordability emergency and directed $28 million in reserves toward winter electric-bill relief, and Maine Gov. Janet Mills announced $40 million in automatically applied electricity discounts for low-income residents. Zoom out: The energy affordability crisis is compounded by the Trump administration's attempts to dismantle the Low Income Home Energy Assistance Program, or LIHEAP. - The administration fired LIHEAP's federal staff at the Department of Health and Human Services in April 2025 and proposed eliminating funding for the program. - LIHEAP is still running, but state administrators are operating without dedicated federal staff. - The White House referred Axios to HHS, which said it "will carry out its responsibilities for funding Congress has made available" and that "HHS has the staff and capacity to distribute these funds in a timely manner." The bottom line: Winter is coming, and Americans need to prepare for both the cold — and the prices — to bite. Go deeper: How to save money on your electric bill this winter

What actions has the Trump administration taken regarding the Low Income Home Energy Assistance Program (LIHEAP) as of 2025?
The administration fired LIHEAP's federal staff at the Department of Health and Human Services in April 2025 and proposed eliminating funding for the program. While the program is still running, state administrators are currently operating without dedicated federal staff.
Q&A ID c65011b9-0a1b-4e34-98f4-7361d3e337f9
What specific state-level actions have been taken by Massachusetts, Rhode Island, and Maine to address rising winter energy costs?
Massachusetts Governor Maura Healey declared a State of Energy Emergency to unlock nearly $150 million in relief and expand assistance to middle-class households using oil. Rhode Island declared an energy affordability emergency and directed $28 million toward winter electric-bill relief. Maine Governor Janet Mills announced $40 million in automatically applied electricity discounts for low-income residents.
Q&A ID 45cba53d-04b7-455a-821f-9915d46169ff
What are the primary global and domestic factors cited as reasons for the increase in heating oil prices?
The price increases are attributed to faltering global oil markets caused by the wars in Iran and Ukraine, as well as declining refinery activity.
Q&A ID 3c675a36-49a3-4c71-ac3d-6ac6f580b956
Why is the Northeast region expected to feel the impact of rising heating oil prices more acutely than other parts of the United States?
Northeastern households are expected to feel the pain most acutely because about 82% of home heating oil in the U.S. is consumed in that region, and some states in that area lack robust natural gas pipelines.
Q&A ID 7b037b6c-9d80-44b0-bcd4-1a1f0b9c7599
How do the projected price changes for heating oil, electricity, natural gas, and propane compare between the NEADA and the Energy Information Administration (EIA) for the upcoming winter?
The NEADA projects a 50% increase for heating oil, with the average cost expected to rise by about $878 to over $2,600. In contrast, the EIA projects a smaller 21% increase for heating oil. For other fuels, the EIA projects a 4% national rise in electricity bills, a 9% fall in natural gas bills, and a 3% drop in propane spending.
Q&A ID 5630694e-4726-4001-8bbc-4684ba8b9a17

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