Like many midcoast residents, Camden resident Electa Cerce anticipates having to tighten her budget this winter.
The 70-year-old retiree plans to cut back spending on Christmas gifts and holiday festivities. She may cancel the MLB.TV subscription she purchases for her grandson. And she will have to spread out payments to MaineHealth for the cost of her husband’s recent surgeries instead of paying it all at once.
She hopes these adjustments allow her to purchase the heating oil she needs to keep her family warm in the coming months.
“If oil prices don’t go any higher, we should be OK,” Cerce said. “But it will be tricky.”
Many others will be forced to choose between going cold, dipping into savings, turning to unsafe heating sources or seeking financial assistance from the state, which hopes to have enough funding to help everyone who needs it.
“We are in an unprecedented territory,” said Celina Cunningham, the acting commissioner of the Maine Department of Energy Resources. “The prices are going up just as it’s starting to get colder.”
The average price of heating oil in the state hit a record high of more than $6 per gallon last month — and as of Sept. 28, was up 80% over the same time last year, according to the department, with prices in the midcoast trending slightly above the statewide average.
That equates to an extra roughly $725 to refill a standard 275-gallon tank, which might need refilling every few weeks in the winter.
Maine is more dependent on home heating oil than most of the country, with roughly half of households using fuel to heat, making Mainers especially susceptible to the fuel’s cost volatility.
The price increase has been driven by the U.S. and Israel’s ongoing war with Iran, which has disrupted oil supplies worldwide. The previous record for heating oil of $5.92 per gallon was set in the spring of 2022 after Russia invaded Ukraine. But that spike came toward the end of the heating season in late spring and prices fell again relatively quickly. This time, the spike is coming before many Mainers have filled their tanks for the winter.
“People have been paying attention to gas prices going up, but not so much to heating oil,” said Mary Ellen Eagan, who’s the board president of WindowDressers.
The organization produces low-cost and custom insulating window inserts, which Eagan said provide increased comfort and reduced fuel costs. The inserts have to be requested well ahead of winter so they can be measured over the summer and built in the fall. But Eagan anticipates there will soon be an uptick of people looking for custom inserts.
“We’re trying to organize an emergency sort of sprint build for this,” she said.
Heating assistance
The price jump will be particularly difficult for lower-income households and seniors on fixed incomes to navigate. Many already turn their thermostats down and let their houses run cold. They’ll have to make difficult decisions about how much money to direct toward different necessities, said Anne Saggese, a volunteer and board member at the Waldo County Woodshed.
“It’s kind of an impossible choice,” she said.
The nonprofit distributes free firewood to people who rely on wood for heat and always runs out before the cold season is over.
“We expect that this year is going to have a higher need, and we’re going to run out earlier,” she said.
The state encouraged residents struggling with heat costs to apply for aid through the Home Energy Assistance Program, which is administered by MaineHousing and funded by the federal government.
Eligibility for the once-per-season subsidy is determined by household income and size. Applications remain open until May 29 or funds are exhausted, but the state encouraged residents to apply early. Applications are already up 5%, the state said.
“It’s not designed to pay a household’s full fuel bill,” explained Sarah Johnson, who manages HEAP for MaineHousing. “It’s a one-time annual assistance.”
The average benefit last year was $570, and it’s projected to increase this year, with Johnson hoping for around $700. At current prices, that would still purchase fewer gallons of oil, however.
The funds are distributed through nine community action agencies and usually go directly to fuel vendors. Locally, those agencies are the Waldo Community Action Partners and the Rockland office of Penquis Community Action.
Last year, MaineHousing was able to provide assistance to every eligible Mainer who applied to HEAP, Johnson said. That was about 44,000 people.
“We do try to manage as best as possible to assist as many households statewide,” Johnson said.
Johnson recognized that households will have greater needs this winter because of the rising costs. She still encouraged everybody who’s eligible for HEAP to apply. The program will move to a waitlist if necessary, she said.
The federal government has not yet released funding for this year’s Low Income Home Energy Assistance Program, which funds the state’s program. The U.S. Department of Health and Human Services is required by law to release 90% of the money by Nov. 1.
A bipartisan group of lawmakers, including U.S. Sens. Susan Collins and Angus King, recently urged the department to distribute the funding well before the deadline.
“State agencies and tribes are already activating their LIHEAP programs for the coming winter. A quick release of funding will ensure no gaps in assistance,” the lawmakers wrote in a letter last month.
President Donald Trump has repeatedly tried to eliminate the program, which he called “unnecessary” in his official budget proposal for the next fiscal year, saying he would “instead support low-income individuals through lower energy prices and an America First economic platform.”
Earlier this year, Trump fired the staff that administers the federal program and withheld funding for heating assistance that had already been appropriated, which ended up later being released.
Maine’s heating assistance program has not been affected by Trump’s actions and threats, Johnson said, noting the program has strong bipartisan support and has been funded stably.
Still, candidates in both parties have called for more heating assistance as they campaign ahead of the critical November election.
Democratic gubernatorial candidate Hannah Pingree has called on the federal government to double its funding for Maine’s heating assistance program to meet the “unprecedented need.”
“Providing relief this winter will be urgent and with this war continuing to push prices, the state and federal government needs to step up,” she wrote in a statement last month.
Gov. Janet Mills also asked Congress to provide the state with additional home heating assistance.
Bobby Charles, the Republican nominee for governor who has aligned himself with Trump, has proposed tapping the state’s “rainy day fund” to supplement LIHEAP funding.
Charles also voiced support for Collins and King’s request that Trump release home heating oil from the Northeast Home Heating Oil Reserve, which the senators have said would help ease oil prices.
Another staunch Trump ally, Republican former Gov. Paul LePage, now running for the open 2nd Congressional District seat, said he would personally call Trump to make sure the administration distributes LIHEAP money on time since “they did not do that last year.”
In addition to applying for HEAP, eligible households can apply for Maine’s Energy Crisis Intervention Program, which offers emergency fuel assistance. And, Johnson said, they should utilize the state’s Low Income Assistance Plan to receive credits on their electric bills.
Alternative heating options
The fuel prices have some Mainers turning to other sources for warmth in the coming months.
Matt Wagner, who owns Upright Energy, said he’s seen an uptick in interest in heat pump installations over the past few months as people look to take advantage of Efficiency Maine rebates.
“A lot of people have already transitioned to heat pumps,” he said. “They’re going to benefit.”
Electricity prices have risen as well, but heat pumps’ efficiency still gives them the edge. According to the latest state data on fuel prices, a kerosene furnace costs about $72 to produce one million units of heat, while a heat pump produces the same amount for just under $35.
Some heat pump and insulation contractors have growing backlogs because of the public’s anxiety over oil prices, said Bridget Gifford, a senior program manager at Efficiency Maine.
Residents should also prioritize weatherizing their homes and keeping cold air out, she said. Efficiency Maine recommends insulating windows, installing door sweeps and sealing cracks with caulk or spray foam. The state Department of Energy Resources has more resources in its Home Heating Guide and tracks current prices of a wide range of heating options throughout the winter, from electricity to cordwood.
Local fire departments are concerned about the expected increase in people heating with wood or turning to risky improvised methods, like kitchen ovens or using space heaters in ways they were not designed.
Belfast Deputy Fire Chief Chris Kulbe said the department is “acutely aware” there could be more fires this winter, anticipating that people who have never burned wood before or haven’t in years might use appliances that have not been inspected or are unsafe.
Chimneys need regular cleaning and inspection, he said, urging Mainers burning wood to make sure they have working smoke and carbon monoxide detectors.
“If you’re going to do something different, please seek the help of a professional,” he said. “Make sure you understand what you’re doing and what the risks are.”
This story appears through a media partnership with Midcoast Villager.