- Highlights
- Full Text
[2:25] ..." to keep in mind as we're working with federal government suggestions -- oil prices. You know it's it's it's in the processes exceed -- there's going to be a corresponding increase in -- of expenditures you know oil prices have been quite volatile lately and and so it's very difficult project and accuracy we rely on the federal government numbers. For"...
[4:05] ..." a big difference people can save money simply by by casting their oil consumption and modest amount and so. You know regulating the use of temperature. Making investments in insulation and conservation. I I think Israeli"...
[4:46] ..." we've looked at the average foreign oil bill how much more -- natural gas customers be paying this year."...
[4:51] ..." Between 20032008. Natural gas prices have risen nearly 48% to electric utility customers many. Use electricity -- experienced a 43%. Increase. So we're expecting oil prices to rise substantially. The gas and electric prices will rise as well. Fifteen point 6% seven point 6% respectively so. And of"...
[0:00]" I'm speaking with Michael good men and he is one of the authors of a year alarming forecast on the Donahue institutes. Out of UMass. Regarding our heating costs for the upcoming winter and thanks for being with us Michael. Tell a little bit above what you found of course we've been hearing so much about that it's it's going to be dad how bad is it going to be."
[0:23]" I think it's going to be sick had I mean we've we've taken a conservative look at what additional expenditures Massachusetts -- are going to have to bear. This year to detonate and into next year and what we estimate is they'll be an additional 927. Billion dollars spent on. Home heating oil and natural gas in Massachusetts in 2008. And an additional 470. Million in 2009 which over the two years -- an additional. Beetle that social that the state have to bear nearly one point four billion -- if we just households. Ordeal -- bills we estimate that when we get its 2000 bridge built for council that he with the oil will exceed 3000 dollars."
[1:04]" I can see that happen only happening at fairly easily. I have a small house we heat with oil and looking at one month it was nearly 700 dollars."
[1:15]" And it's it's to speak to submit -- how fast things -- In Massachusetts we we have a -- are told that he widow has been declining in recent years but still substantial. Any of those homes are older and disproportionately moral debate well insulated. Most trouble. Great to be head status. An elderly. Remember which sound that of that extra 63000. Household we believe what some difficulty or severe difficulty -- home heating oil bill this coming year up to the Church were headed over 62. And households headed by residents who were over the age of eighty so we're really talking about a minute. Crisis at home heating oil. Secretly going to escape from -- certainly people who heat with natural gas electricity a year or other fuel sources. To bear the but the burden of higher prices but it's home heating oil our customers were really going to be hit hardest."
[2:14]" And we should say that this is the average so when you say 3000 dollars. What's the real range here we're looking at how high -- ago."
[2:22]" Architects to get it needs. Group that sort of the main ticket to keep in mind as we're working with federal government suggestions -- oil prices. You know it's it's it's in the processes exceed -- there's going to be a corresponding increase in -- of expenditures you know oil prices have been quite volatile lately and and so it's very difficult project and accuracy we rely on the federal government numbers. For every additional time because up they'll be aggregate are total additional expenditures of about fifty million dollars so. It is quite tentative to price prices to seem to have been moderating lately -- Heating oil -- a different kind of market and so if that the past is any indication. I think it's safe to assume that. The prices are headed upward and so if anything I think our analysis is conservative of course the full report lays out a number of different scenarios and is available about web site."
[3:12]" Tell us a little bit more the highlights that you found and we certainly want to click on the air but give us some of the highlights some of the things we should really be thinking about."
[3:21]" It is no easy solution to this. In common household and I think even extending into the middle class are going to really be burdened this winter and -- next winter if these prices continue as expected and projected at our report. -- clearly more public subsidies are going to be needed in -- I think the federal government is really going to have to step up but. It's going to be very difficult to subsidize subsidize our way out of this problem I think -- really has to be more widespread conservation. Upgrading of equipment -- efficient furnaces replaced by more efficient furnaces. Things as simple as weather stripping and and other basic forms of insulation. Conservation can can. Can make a big difference people can save money simply by by casting their oil consumption and modest amount and so. You know regulating the use of temperature. Making investments in insulation and conservation. I I think Israeli and some subsidies for those who needed. It's going to be growing number we estimate over a 160000. Households -- are going to be burdened and and not be able to afford it those bills. I think there's no easy answer. I'm hoping that people can come together and really start to talk seriously about. How to how to overcome the substantial challenge we -- basic."
[4:44]" Just getting back to some of the hard numbers we've looked at the average foreign oil bill how much more -- natural gas customers be paying this year."
[4:51]" Between 20032008. Natural gas prices have risen nearly 48% to electric utility customers many. Use electricity -- experienced a 43%. Increase. So we're expecting oil prices to rise substantially. The gas and electric prices will rise as well. Fifteen point 6% seven point 6% respectively so. And of fuel you used to heat you're going to be. Having to contend with higher bills. Gas customers will not be immune from that certainly back again that the overwhelming burden is going to fall on those who heat with oil which is really experienced the most. Price volatility and as expected to have the highest rate increased at least in the future."
[5:34]" Michael what's the website again please."
[5:37]" B -- BW. Mass benchmark stock --"
Del.icio.us
Digg
Reddit
